Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Share data in Thousands, unless otherwise specified | Dec. 31, 2013 | Mar. 11, 2014 | Jun. 30, 2013 |
Document and Entity Information | ' | ' | ' |
Entity Registrant Name | 'Lantheus Medical Imaging, Inc. | ' | ' |
Entity Central Index Key | '0001500157 | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Amendment Flag | 'false | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'Yes | ' | ' |
Entity Current Reporting Status | 'No | ' | ' |
Entity Filer Category | 'Non-accelerated Filer | ' | ' |
Entity Public Float | ' | ' | $0 |
Entity Common Stock, Shares Outstanding | ' | 1 | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current assets | ' | ' |
Cash and cash equivalents | $16,669 | $31,595 |
Accounts receivable, net | 38,910 | 41,380 |
Inventory | 18,310 | 18,048 |
Income tax receivable | 325 | 736 |
Deferred tax assets | 18 | 115 |
Other current assets | 3,087 | 2,943 |
Total current assets | 77,319 | 94,817 |
Property, plant and equipment, net | 97,653 | 109,573 |
Capitalized software development costs, net | 1,470 | 2,234 |
Intangibles, net | 34,998 | 66,802 |
Goodwill | 15,714 | 15,714 |
Deferred financing costs | 9,639 | 11,372 |
Deferred tax assets | 15 | ' |
Other long-term assets | 22,577 | 22,414 |
Total assets | 259,385 | 322,926 |
Current liabilities | ' | ' |
Line of credit | 8,000 | ' |
Accounts payable | 18,103 | 18,945 |
Accrued expenses and other liabilities | 25,492 | 29,689 |
Deferred tax liability | 57 | ' |
Deferred revenue | 3,979 | 7,320 |
Total current liabilities | 55,631 | 55,954 |
Asset retirement obligations | 6,385 | 5,416 |
Long-term debt, net | 399,037 | 398,822 |
Deferred tax liability | 12 | 435 |
Other long-term liabilities | 35,408 | 36,652 |
Total liabilities | 496,473 | 497,279 |
Commitments and contingencies (see Notes 14 and 16) | ' | ' |
Stockholder's deficit | ' | ' |
Common stock ($0.001 par value, 10,000 shares authorized; 1 share issued and outstanding) | ' | ' |
Due from parent | -1,259 | -1,353 |
Additional paid-in capital | 2,903 | 2,325 |
Accumulated deficit | -238,338 | -176,660 |
Accumulated other comprehensive income | -394 | 1,335 |
Total stockholder's deficit | -237,088 | -174,353 |
Total liabilities and stockholder's deficit | $259,385 | $322,926 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Consolidated Balance Sheets | ' | ' |
Common stock, par value (in dollars per share) | $0.00 | $0.00 |
Common stock, shares authorized | 10,000 | 10,000 |
Common stock, share issued | 1 | 1 |
Common stock, share outstanding | 1 | 1 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Loss (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenues | ' | ' | ' |
Net product revenues | $271,809 | $277,354 | $345,762 |
License and other revenues | 11,863 | 10,751 | 10,530 |
Total revenues | 283,672 | 288,105 | 356,292 |
Cost of goods sold | 206,311 | 211,049 | 255,466 |
Loss on firm purchase commitment | ' | 1,859 | 5,610 |
Total cost of goods sold | 206,311 | 212,908 | 261,076 |
Gross profit | 77,361 | 75,197 | 95,216 |
Operating expenses | ' | ' | ' |
General and administrative expenses | 33,159 | 32,520 | 32,057 |
Sales and marketing expenses | 35,227 | 37,437 | 38,689 |
Research and development expenses | 30,459 | 40,604 | 40,945 |
Proceeds from manufacturer | -8,876 | -34,614 | ' |
Impairment on land | 6,406 | ' | ' |
Total operating expenses | 96,375 | 75,947 | 111,691 |
Operating loss | -19,014 | -750 | -16,475 |
Interest expense | -42,915 | -42,014 | -37,658 |
Interest income | 104 | 252 | 333 |
Other income (expense), net | 1,161 | -44 | 1,429 |
Loss before income taxes | -60,664 | -42,556 | -52,371 |
Provision (benefit) for income taxes | 1,014 | -555 | 84,098 |
Net loss | -61,678 | -42,001 | -136,469 |
Foreign currency translation, net of taxes | -1,729 | 964 | -337 |
Total comprehensive loss | ($63,407) | ($41,037) | ($136,806) |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholder's (Deficit) Equity (USD $) | Total | Common Stock | Due from Parent | Additional Paid-in Capital | (Accumulated Deficit) Retained Earnings | Accumulated Other Comprehensive Income (Loss) |
In Thousands, except Share data, unless otherwise specified | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |
Balance at Dec. 31, 2010 | $153,434 | ' | ' | $150,316 | $2,410 | $708 |
Balance (in shares) at Dec. 31, 2010 | ' | 1 | ' | ' | ' | ' |
Increase (Decrease) in Stockholder's Equity | ' | ' | ' | ' | ' | ' |
Dividend paid to LMI Holdings (see Note 10) | -150,000 | ' | ' | -149,400 | -600 | ' |
Net loss | -136,469 | ' | ' | ' | -136,469 | ' |
Foreign currency translation | -337 | ' | ' | ' | ' | -337 |
Stock-based compensation | 169 | ' | ' | 169 | ' | ' |
Balance at Dec. 31, 2011 | -133,203 | ' | ' | 1,085 | -134,659 | 371 |
Balance (in shares) at Dec. 31, 2011 | ' | 1 | ' | ' | ' | ' |
Increase (Decrease) in Stockholder's Equity | ' | ' | ' | ' | ' | ' |
Net loss | -42,001 | ' | ' | ' | -42,001 | ' |
Due from parent (See Note 17) | -1,353 | ' | -1,353 | ' | ' | ' |
Foreign currency translation | 964 | ' | ' | ' | ' | 964 |
Stock-based compensation | 1,240 | ' | ' | 1,240 | ' | ' |
Balance at Dec. 31, 2012 | -174,353 | ' | -1,353 | 2,325 | -176,660 | 1,335 |
Balance (in shares) at Dec. 31, 2012 | ' | 1 | ' | ' | ' | ' |
Increase (Decrease) in Stockholder's Equity | ' | ' | ' | ' | ' | ' |
Net loss | -61,678 | ' | ' | ' | -61,678 | ' |
Payments from parent | 94 | ' | 94 | ' | ' | ' |
Foreign currency translation | -1,729 | ' | ' | ' | ' | -1,729 |
Stock-based compensation | 578 | ' | ' | 578 | ' | ' |
Balance at Dec. 31, 2013 | ($237,088) | ' | ($1,259) | $2,903 | ($238,338) | ($394) |
Balance (in shares) at Dec. 31, 2013 | ' | 1 | ' | ' | ' | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash flow from operating activities | ' | ' | ' |
Net loss | ($61,678) | ($42,001) | ($136,469) |
Adjustments to reconcile net loss to cash flow from operating activities | ' | ' | ' |
Depreciation | 9,336 | 9,722 | 12,915 |
Amortization | 15,819 | 17,680 | 19,847 |
Impairment of land | 6,406 | ' | ' |
Impairment of intangible assets | 17,175 | ' | 23,474 |
Amortization of debt related costs | 2,600 | 2,403 | 1,554 |
Write-off of deferred financing costs | 598 | ' | ' |
Provision for bad debt | 63 | -117 | 301 |
Provision for excess and obsolete inventory | 4,854 | 12,809 | 29,432 |
Stock-based compensation | 578 | 1,240 | -969 |
Deferred income taxes | -272 | -428 | 81,330 |
Accretion of asset retirement obligations | 628 | 553 | 496 |
Loss on disposal of long-lived assets | 35 | 285 | 54 |
Loss on firm purchase commitment | ' | 1,859 | 5,610 |
Long-term income tax receivable | -566 | 299 | -1,122 |
Long-term income tax payable and other long-term liabilities | 187 | 139 | 1,533 |
Increase (decrease) in cash from operating assets and liabilities | ' | ' | ' |
Accounts receivable, net | 2,627 | -1,442 | 9,466 |
Prepaid expenses and other current assets | 1,043 | 1,304 | 626 |
Inventory | -4,741 | -6,903 | -22,293 |
Due from parent | ' | ' | -614 |
Deferred revenue | -4,874 | 5,349 | -5,995 |
Accounts payable | -1,147 | -2,204 | -1,002 |
Income tax payable | 410 | -2,217 | 1,353 |
Accrued expenses and other liabilities | -4,759 | 2,193 | 2,893 |
Cash (used in) provided by operating activities | -15,678 | 523 | 22,420 |
Cash flows from investing activities | ' | ' | ' |
Capital expenditures | -5,010 | -7,920 | -7,694 |
Proceeds from sale of property, plant and equipment | 1,527 | ' | ' |
Purchase of certificate of deposit | ' | -225 | ' |
Cash used in investing activities | -3,483 | -8,145 | -7,694 |
Cash flows from financing activities | ' | ' | ' |
Proceeds from issuance of debt | ' | ' | 152,250 |
Consent solicitation fee | ' | ' | -3,750 |
Payments on note payable | -1,310 | -1,530 | ' |
Deferred financing costs | -1,249 | -442 | -5,491 |
Payments from / (to) parent | 94 | -67 | ' |
Proceeds from line of credit | 8,000 | ' | 10,000 |
Payments on line of credit | ' | ' | -10,000 |
Payment of dividend | ' | ' | -150,000 |
Cash provided by (used in) financing activities | 5,535 | -2,039 | -6,991 |
Effect of foreign exchange rate on cash | -1,300 | 649 | -134 |
(Decrease) Increase in cash and cash equivalents | -14,926 | -9,012 | 7,601 |
Cash and cash equivalents, beginning of year | 31,595 | 40,607 | 33,006 |
Cash and cash equivalents, end of year | 16,669 | 31,595 | 40,607 |
Supplemental disclosure of cash flow information | ' | ' | ' |
Interest paid | 39,150 | 39,020 | 33,958 |
Income taxes paid / (refunded), net | 118 | 1,146 | -233 |
Noncash investing and financing activities | ' | ' | ' |
Property, plant and equipment included in accounts payable and accrued expenses and other liabilities | $1,243 | $963 | $1,641 |
Description_of_Business
Description of Business | 12 Months Ended |
Dec. 31, 2013 | |
Description of Business | ' |
Description of Business | ' |
1. Description of Business | |
Overview | |
The Company manufactures, markets, sells and distributes medical imaging products globally with operations in the United States, Puerto Rico, Canada and Australia and distribution relationships in Europe, Asia Pacific and Latin America. The Company provides medical imaging products, primarily focused on cardiovascular diagnostic imaging, to nuclear physicians, cardiologists, radiologists, internal medicine physicians, independent delivery networks, group purchasing organizations and technologists/sonographers working in a variety of clinical settings. | |
The Company's principal products include: | |
• | |
DEFINITY—an ultrasound contrast agent; | |
• | |
TechneLite—a generator that provides the radioisotope used to radiolabel Cardiolite and other radiopharmaceuticals; | |
• | |
Xenon—a radiopharmaceutical inhaled gas used to assess pulmonary function and also for imaging blood flow, particularly in the brain; and | |
• | |
Cardiolite—a myocardial perfusion imaging agent. | |
In the U.S., the Company's nuclear imaging products are primarily distributed through radiopharmacy chains, with a small portion of the sales of these products also made to hospitals and clinics that maintain their own in-house radiopharmacies. In the U.S., sales of the Company's contrast agents are made through a direct sales force. Outside of the U.S., the Company owns five radiopharmacies in Canada and two radiopharmacies in each of Puerto Rico and Australia. The Company also maintains a direct sales force in each of these countries. In the rest of the world, the Company relies on third-party distributors to sell both nuclear imaging and contrast agent products. | |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Summary of Significant Accounting Policies | ' | ||||||||||||||||
Summary of Significant Accounting Policies | ' | ||||||||||||||||
2. Summary of Significant Accounting Policies | |||||||||||||||||
Basis of Consolidation and Presentation | |||||||||||||||||
The financial statements have been prepared in United States dollars, in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. | |||||||||||||||||
The accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the discharge of liabilities in the normal course of business. The Company incurred a net loss of $61.7 million and an operating loss of $19.0 million during the year ended December 31, 2013. During 2013, the Company relied on Ben Venue Laboratories, Inc. ("BVL") as its sole manufacturer of Neurolite and one of two manufacturers of its DEFINITY and Cardiolite product supply. Following extended operational and regulatory challenges at BVL's Bedford, Ohio facility, as of November 15, 2013, BVL ceased manufacturing for the Company any DEFINITY, Cardiolite or Neurolite. BVL has since released for commercial distribution all of the Company's remaining manufactured product that was awaiting BVL quality approval. The supply challenges with BVL in recent years have had a negative impact on the Company's results. The Company has taken specific steps to address the supply chain risks and reduce discretionary spend. | |||||||||||||||||
Following extensive technology transfer activities, the Company currently relies on Jubilant HollisterStier ("JHS") as its sole source manufacturer of DEFINITY. The Company has additional ongoing technology transfer activities at JHS for its Neurolite and Cardiolite product supply. In the meantime, the Company has no other currently active supplier of Neurolite, and its Cardiolite product supply is manufactured by a single manufacturer. | |||||||||||||||||
Based on current projections, the Company believes that it will have sufficient supply of DEFINITY from JHS to meet expected demand and sufficient Cardiolite product supply from its current supplier to meet expected demand. The Company also currently anticipates that it will have sufficient BVL-manufactured Neurolite supply for the U.S. market to last until Neurolite technology transfer and U.S. regulatory approval at JHS are completed. Currently, the regulatory authorities in certain countries prohibit the Company from marketing products previously manufactured by BVL, and JHS has not yet obtained approval of such regulatory authorities that would permit the Company to market products manufactured by JHS. Accordingly, until such regulatory approvals have been obtained, the Company will not be able to sell and distribute those products in the relevant markets. | |||||||||||||||||
The Company is currently working to secure additional alternative suppliers for its key products as part of its ongoing supply chain diversification strategy. For example, on November 12, 2013, the Company entered into a Manufacturing and Supply Agreement with Pharmalucence to manufacture and supply DEFINITY. However, the Company is uncertain about the timing of the completion of the technology transfer contemplated by the Pharmalucence agreement and whether the Pharmalucence arrangement or any other arrangements could provide meaningful quantities of product. | |||||||||||||||||
During 2012, the Company received net proceeds of $34.6 million from BVL to compensate the Company for business losses associated with a lack of product supply. The Company has recognized these proceeds within the Company's results of operations, and the payments are included within operating income as proceeds from manufacturer. During the second quarter of 2013, the Company received $0.9 million from BVL to compensate the Company for low yield and failed batches of DEFINITY and Cardiolite under the then-current manufacturing agreement with BVL. This payment is included within cost of goods sold in the statement of comprehensive loss for the year ended December 31, 2013. As 2013 progressed, the Company continued to experience losses as a result of the prolonged supply disruption from BVL. During the fourth quarter of 2013, the Company received an additional $8.9 million from BVL under a second Settlement and Release Agreement to compensate the Company for additional historic business losses associated with limited product availability under the then-current manufacturing agreement with BVL. The Company does not anticipate any further cash payments from BVL for historic losses. | |||||||||||||||||
During 2013, the Company has utilized its line of credit as a source of liquidity. On July 3, 2013, LMI, Lantheus Intermediate and Lantheus MI Real Estate, LLC ("Lantheus Real Estate") entered into an amended and restated revolving credit facility (the "New Facility") which replaced the previous facility (the "Old Facility"), the terms of which New Facility are more fully described in Note 10. Borrowing capacity under the New Facility is calculated by reference to a borrowing base consisting of a percentage of certain eligible accounts receivable, inventory and machinery and equipment minus any reserves (the "Borrowing Base"). If the Company is not successful in achieving its forecasted results, the Company's accounts receivable and inventory could be negatively affected, thus reducing the Borrowing Base and limiting the Company's borrowing capacity. As of December 31, 2013, the aggregate borrowing base was approximately $42.5 million, which was reduced by (i) an outstanding $8.8 million unfunded Standby Letter of Credit and (ii) an $8.0 million outstanding loan balance, resulting in a net borrowing base availability of approximately $25.7 million. | |||||||||||||||||
The Company took actions during March 2013 to substantially reduce its discretionary spending. In particular, the Company began to implement a strategic shift in how it funds its research and development ("R&D") programs. The Company reduced its internal R&D resources during 2013, while at the same time it seeks to engage one or more strategic partners to assist in the further development and commercialization of its development candidates, including flurpiridaz F 18, 18F LMI 1195 and LMI 1174. The Company has completed its 301 trial for flurpiridaz F 18 with internal funding. The Company will seek to engage strategic partners to assist with the further development and possible commercialization of the agent. For the other two development candidates, 18F LMI 1195 and LMI 1174, the Company will also seek to engage strategic partners to assist with the ongoing development activities relating to these agents. Based on the Company's current operating plans, the Company believes the existing cash and cash equivalents, results of operations and availability under the New Facility will be sufficient to continue to fund the Company's liquidity requirements for at least the next twelve months. | |||||||||||||||||
If JHS is not able to continue to manufacture and release adequate product supply on a timely and consistent basis, the Company is not successful with the remainder of its JHS technology transfer programs and cannot obtain adequate supply from JHS, or the Company is unable to continue to grow DEFINITY sales, then the Company will need to implement additional expense reductions, such as a delay or elimination of discretionary spending, in all functional areas as well as other operating and strategic initiatives. | |||||||||||||||||
Use of Estimates | |||||||||||||||||
The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period. The more significant estimates reflected in the Company's consolidated financial statements include certain judgments regarding revenue recognition, goodwill, tangible and intangible asset valuation, inventory valuation and potential losses on purchase commitments, asset retirement obligations, income tax liabilities, deferred tax assets and liabilities, accrued expenses and stock-based compensation. Actual results could materially differ from those estimates or assumptions. | |||||||||||||||||
Revenue Recognition | |||||||||||||||||
The Company recognizes revenue when evidence of an arrangement exists, title has passed, the risks and rewards of ownership have transferred to the customer, the selling price is fixed or determinable, and collectability is reasonably assured. For transactions for which revenue recognition criteria have not yet been met, the respective amounts are recorded as deferred revenue until such point in time the criteria are met and revenue can be recognized. Revenue is recognized net of reserves, which consist of allowances for returns and rebates. | |||||||||||||||||
Revenue arrangements with multiple elements are divided into separate units of accounting if certain criteria are met, including whether the delivered element has stand-alone value to the customer. The arrangement's consideration is then allocated to each separate unit of accounting based on the relative selling price of each deliverable. The estimated selling price of each deliverable is determined using the following hierarchy of values: (i) vendor-specific objective evidence of fair value; (ii) third-party evidence of selling price; and (iii) best estimate of selling price. The best estimate of selling price reflects the Company's best estimate of what the selling price would be if the deliverable was regularly sold by the Company on a stand-alone basis. The consideration allocated to each unit of accounting is then recognized as the related goods or services are delivered, limited to the consideration that is not contingent upon future deliverables. Supply or service transactions may involve the charge of a nonrefundable initial fee with subsequent periodic payments for future products or services. The up-front fees, even if nonrefundable, are recognized as revenue as the products and/or services are delivered and performed over the term of the arrangement. | |||||||||||||||||
On January 1, 2009, LMI executed an amendment to a license and supply agreement (the "Agreement") with one of its customers, granting non-exclusive U.S. license and supply rights to the customer for the period from January 1, 2009 through December 31, 2012. Under the terms of the Agreement, the customer paid LMI $10.0 million in license fees; $8.0 million of which was received upon execution of the Agreement and $2.0 million of which was received in June 2009 upon delivery of a special license as defined in the Agreement. The Company's product sales under the Agreement are recognized in the same manner as its normal product sales. The Company recognized the license fees as revenue on a straight-line basis over the term of the four-year Agreement. The Company recognized $2.5 million in fiscal years 2012 and 2011 in license fee revenue pursuant to the Agreement. | |||||||||||||||||
In February 2012, the Company entered in to the first amendment to the Agreement. The amendment contained obligations for the Company to deliver a specified number of product unit shipments at various prices. Revenue under this arrangement is being recognized at an average selling price as the units are shipped. The Company recognized $5.6 million and $12.8 million in revenue pursuant to the first amendment during the years ended December 31, 2013 and 2012, respectively, and at December 31, 2012, had deferred revenue of $5.6 million attributable to units to be shipped. There was no deferred revenue attributable to these units at December 31, 2013. | |||||||||||||||||
On December 27, 2012, the Company entered into the second amendment to the Agreement, which extended the term from December 31, 2012 to December 31, 2014 and established new pricing and purchase requirements over the extended term. The second amendment also provided for the supply of TechneLite generators containing molybdenum-99 sourced from LEU targets. The agreement includes a $3.0 million upfront payment by the customer to the Company and potential future milestone payments. During 2012, the Company received the $3.0 million upfront payment, of which $1.5 million was included in deferred revenue as a current liability and $1.5 million was included in other long-term liabilities at December 31, 2012 in the accompanying consolidated balance sheets. During 2013, the Company received an additional $4.0 million upon achievement of the required milestones. At December 31, 2013, $3.6 million is included in deferred revenue as a current liability in the accompanying consolidated balance sheets. The Company is recognizing the upfront payment as revenue on a straight-line basis over the term of the two year agreement. | |||||||||||||||||
The Company had other revenues of $8.5 million, $8.3 million and $8.0 million in fiscal years 2013, 2012 and 2011, respectively. Other revenue primarily represents contract manufacturing services related to one of the Company's products for one customer. The related costs are included in cost of goods sold. Effective December 13, 2013, the Company entered into an Asset Purchase Agreement to purchase the rights to serve as the direct manufacturer and supplier of this product. These revenues will be reported as net product revenues in the consolidated statement of comprehensive loss. Under this agreement, the Company did not have to pay any upfront consideration and will be required to pay royalties based upon net revenues generated by the sale of the product. | |||||||||||||||||
Product Returns | |||||||||||||||||
The Company provides a reserve for its estimate of sales recorded for which the related products are expected to be returned. The Company does not typically accept product returns unless an over shipment or non-conforming shipment was provided to the customer, or if the product was defective. The Company adjusts its estimate of product returns if it becomes aware of other factors that it believes could significantly impact its expected returns, including product recalls. These factors include its estimate of actual and historical return rates for non-conforming product and open return requests. Historically, the Company's estimates of returns have reasonably approximated actual returns. | |||||||||||||||||
Distributor Relationships | |||||||||||||||||
Revenue for product sold to distributors is recognized at shipment, unless revenue recognition criteria have not been met. In such instances where collectability cannot be determined or the selling price cannot be reasonably estimated until the distributor has sold through the goods, the Company defers such revenue until such time as the goods have been sold through to the end-user customer, or the selling price can be reasonably estimated based on history of transactions with such distributor. | |||||||||||||||||
Rebates and Allowances | |||||||||||||||||
Estimates for rebates and allowances represent the Company's estimated obligations under contractual arrangements with third parties. Rebate accruals and allowances are recorded in the same period the related revenue is recognized, resulting in a reduction to product revenue and the establishment of a liability which is included in accrued expenses in the accompanying consolidated balance sheets. These rebates result from performance-based offers that are primarily based on attaining contractually specified sales volumes and growth, Medicaid rebate programs for certain products, administration fees of group purchasing organizations and certain distributor related commissions. The calculation of the accrual for these rebates and allowances is based on an estimate of the third party's buying patterns and the resulting applicable contractual rebate or commission rate(s) to be earned over a contractual period. | |||||||||||||||||
The accrual for rebates and allowances was approximately $1.7 million and $1.5 million at December 31, 2013 and 2012, respectively. Rebate and allowance charges against gross revenues totaled $4.8 million, $2.8 million and $3.6 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||||||||
Income Taxes | |||||||||||||||||
The Company accounts for income taxes using an asset and liability approach. The provision for income taxes represents income taxes paid or payable for the current year plus the change in deferred taxes during the year. Deferred taxes result from differences between the financial and tax bases of the Company's assets and liabilities. Deferred tax assets and liabilities are measured using the currently enacted tax rates that apply to taxable income in effect for the years in which those tax attributes are expected to be recovered or paid, and are adjusted for changes in tax rates and tax laws when changes are enacted. | |||||||||||||||||
Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized. The assessment of whether or not a valuation allowance is required involves the weighing of both positive and negative evidence concerning both historical and prospective information with greater weight given to evidence that is objectively verifiable. A history of recent losses is negative evidence that is difficult to overcome with positive evidence. In evaluating prospective information there are four sources of taxable income: reversals of taxable temporary differences, items that can be carried back to prior tax years (such as net operating losses), pre-tax income, and tax planning strategies. Any tax planning strategies that are considered must be prudent and feasible, and would only be undertaken in order to avoid losing an operating loss carryforward. Adjustments to the deferred tax valuation allowances are made in the period when such assessments are made. | |||||||||||||||||
The Company accounts for uncertain tax positions using a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Differences between tax positions taken in a tax return and amounts recognized in the financial statements are recorded as adjustments to income taxes payable or receivable, or adjustments to deferred taxes, or both. The Company provides disclosure at the end of each annual reporting period on a tabular reconciliation of unrecognized tax benefits. The Company classifies interest and penalties within the provision for income taxes. | |||||||||||||||||
Cash and Cash Equivalents | |||||||||||||||||
Cash and cash equivalents include savings deposits, certificates of deposit and money market funds that have maturities of three months or less when purchased. | |||||||||||||||||
Accounts Receivable | |||||||||||||||||
Accounts receivable consist of amounts billed and currently due from customers. The Company maintains an allowance for doubtful accounts for estimated losses. In determining the allowance, consideration includes the probability of recoverability based on past experience and general economic factors. Certain accounts receivable may be fully reserved when specific collection issues are known to exist, such as pending bankruptcy. As of December 31, 2013 and 2012, the Company had allowances for doubtful accounts of approximately $0.3 million. | |||||||||||||||||
Also included in accounts receivable are miscellaneous receivables of approximately $1.9 million and $1.7 million as of December 31, 2013 and 2012, respectively. | |||||||||||||||||
Concentration of Risks and Limited Suppliers | |||||||||||||||||
Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of trade accounts receivable. The Company periodically reviews its accounts receivable for collectability and provides for an allowance for doubtful accounts to the extent that amounts are not expected to be collected. The Company sells primarily to large national distributors, which in turn, may resell the Company's products. There were two customers that represented greater than 10% of the total net accounts receivable balance and net revenue during the year ended December 31, 2013, the majority of which is included in the U.S. segment. | |||||||||||||||||
Accounts | Revenue for the year | ||||||||||||||||
Receivable as | ended December 31, | ||||||||||||||||
of December 31, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2011 | |||||||||||||
Company A | 16.7 | % | 30.7 | % | 18.8 | % | 27.4 | % | 26.5 | % | |||||||
Company B | 13.2 | % | 8.8 | % | 10.2 | % | 8.4 | % | 8.5 | % | |||||||
Company C | 7.2 | % | 7 | % | 9.8 | % | 11.5 | % | 11.1 | % | |||||||
The Company's cash and cash equivalents are maintained with various financial institutions. | |||||||||||||||||
The Company relies on certain materials used in its development and manufacturing processes, some of which are procured from only one or a few sources. The failure of one of these suppliers to deliver on schedule could delay or interrupt the manufacturing or commercialization process and thereby adversely affect the Company's operating results. In addition, a disruption in the commercial supply of, or a significant increase in, the cost of one of the Company's materials from these sources could have a material adverse effect on the Company's business, financial position and results of operations. From May 2009 until August 2010, Nordion, the Company's largest supplier of molybdenum-99 ("Moly"), a key raw material in the Company's TechneLite product, was affected by a nuclear reactor shutdown. The Company was not fully able to replace all of the quantity of supply it previously received from Nordion, which had a negative impact on the Company's results of operations. As part of the conditions for the relicensing of the NRU reactor through October 2016, the Canadian government has asked Atomic Energy of Canada Limited, or AECL, to shut down the reactor for at least four weeks at least once a year for inspection and maintenance. The scheduled 2012 shutdown period ran from mid-April 2012 until mid-May 2012, and during such period, some of LMI's customers diverted a small amount of business to LMI's competitor, which correspondingly reduced our aggregate orders during the shutdown period. With this diversion, LMI was able to fulfill all customer demand for Moly from other suppliers during the shutdown period. On October 19, 2012 and October 30, 2012, the Company executed amendments to agreements with Nordion and NTP, the Company's Moly suppliers, which extended the contract terms of those agreements to December 31, 2015 and December 31, 2017, respectively. In addition, because Xenon is a by-product of the Moly production process and is currently captured only by Nordion, the Company is currently reliant on Nordion as the sole supplier of Xenon to meet customer demand. In March 2013, the Company entered into an agreement with Institute for Radioelements ("IRE") who had previously been supplying the Company with Moly under the previous agreement with NTP and this agreement expires on December 31, 2017. | |||||||||||||||||
Historically, the Company has relied on BVL as its sole manufacturer of DEFINITY and Neurolite and one of two manufacturers of its Cardiolite product supply. Following extended operational and regulatory challenges at BVL's Bedford, Ohio facility, as of November 15, 2013 BVL ceased manufacturing for the Company any DEFINITY, Cardiolite or Neurolite. BVL has since released for commercial distribution all of the Company's remaining manufactured product that was awaiting BVL quality approval. | |||||||||||||||||
Following extensive technology transfer activities, the Company currently relies on JHS as its sole source manufacturer of DEFINITY. The Company has additional ongoing technology transfer activities at JHS for its Neurolite and Cardiolite product supply. In the meantime, the Company has no other currently active supplier of Neurolite, and its Cardiolite product supply is manufactured by a single manufacturer. | |||||||||||||||||
Based on current projections, the Company believes that it will have sufficient supply of DEFINITY from JHS to meet expected demand and sufficient Cardiolite product supply from its current supplier to meet expected demand. The Company also anticipates that it has sufficient BVL-manufactured Neurolite supply for the U.S. market to last until Neurolite technology transfer and U.S. regulatory approval at JHS are completed. Currently, the regulatory authorities in certain countries prohibit the Company from marketing products previously manufactured by BVL, and JHS has not yet obtained approval of such regulatory authorities that would permit the Company to market products manufactured by JHS. Accordingly, until such regulatory approvals have been obtained, the Company will not be able to sell and distribute those products in the relevant markets. | |||||||||||||||||
The Company is also currently working to secure additional alternative suppliers for its key products as part of its ongoing supply chain diversification strategy. For example, on November 12, 2013, the Company entered into a Manufacturing and Supply Agreement with Pharmalucence to manufacture and supply DEFINITY. However, the Company is uncertain about the timing of the completion of the technology transfer contemplated by the Pharmalucence agreement and whether the Pharmalucence arrangement or any other arrangements could provide meaningful quantities of product. | |||||||||||||||||
The following table sets forth net product revenues for the Company's products that represented greater than 10% of total net product revenue for the years ended December 31, 2013, 2012 and 2011. | |||||||||||||||||
Year Ended | |||||||||||||||||
December 31, | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
DEFINITY | 28.7 | % | 18.6 | % | 19.8 | % | |||||||||||
TechneLite | 33.9 | % | 41.2 | % | 38 | % | |||||||||||
Xenon | 11.8 | % | 10.8 | % | 7.7 | % | |||||||||||
Cardiolite | 9.6 | % | 12.6 | % | 19.1 | % | |||||||||||
Inventory | |||||||||||||||||
Inventory includes material, direct labor and related manufacturing overhead, and is stated at the lower of cost or market on a first-in, first-out basis. The Company does have consignment arrangements with certain customers where the Company retains title and the risk of ownership of the inventory, which is included in the Company's inventory balance. | |||||||||||||||||
The Company assesses the recoverability of inventory to determine whether adjustments for excess and obsolete inventory are required. Inventory that is in excess of future requirements is written down to its estimated net realizable value based upon forecasted demand for its products. If actual demand is less favorable than what has been forecasted by management, additional inventory write-down may be required. | |||||||||||||||||
Inventory costs associated with product that has not yet received regulatory approval are capitalized if the Company believes there is probable future commercial use of the product and future economic benefit of the asset. If future commercial use of the product is not probable, then inventory costs associated with such product are expensed during the period the costs are incurred. At December 31, 2012, we had $1.5 million of such product costs included in inventories relating to DEFINITY that was manufactured by JHS. In February 2013, the FDA informed the Company that the JHS facility was approved to manufacture DEFINITY, and the Company is now shipping JHS-manufactured DEFINITY to customers. At December 31, 2013, we had no capitalized inventories that did not have regulatory approval. | |||||||||||||||||
Property, Plant and Equipment | |||||||||||||||||
Property, plant and equipment are stated at cost. Replacements of major units of property are capitalized, and replaced properties are retired. Replacements of minor components of property and repair and maintenance costs are charged to expense as incurred. Depreciation is computed on a straight-line method based on the estimated useful lives of the related assets. The estimated useful lives of the major classes of depreciable assets are as follows: | |||||||||||||||||
Buildings | 50 years | ||||||||||||||||
Land improvements | 40 years | ||||||||||||||||
Machinery and equipment | 3 - 20 years | ||||||||||||||||
Furniture and fixtures | 15 years | ||||||||||||||||
Leasehold improvements | Lesser of lease term or 15 years | ||||||||||||||||
Upon retirement or other disposal of property, plant and equipment, the cost and related amount of accumulated depreciation are removed from the asset and accumulated depreciation accounts, respectively. The difference, if any, between the net asset value and the proceeds is included in comprehensive loss. | |||||||||||||||||
Capitalized Software Development Costs | |||||||||||||||||
Certain costs to obtain internal use software for significant systems projects are capitalized and amortized over the estimated useful life of the software, which ranges from 3 to 5 years. Costs to obtain software for projects that are not significant are expensed as incurred. Capitalized software development costs, net of accumulated amortization, were $1.5 million and $2.2 million at December 31, 2013 and 2012, respectively. Approximately $0.7 million and $0.2 million of software development costs were capitalized in the years ended December 31, 2013 and 2012, respectively. Amortization expense related to the capitalized software was $1.5 million, $1.5 million and $1.4 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||||||||
Goodwill, Intangibles and Long-Lived Assets | |||||||||||||||||
Goodwill is not amortized, but is instead tested for impairment at least annually and whenever events or circumstances indicate that it is more likely than not that they may be impaired. The Company has elected to perform the annual test for indications of goodwill impairment as of October 31 of each year. | |||||||||||||||||
In performing tests for goodwill impairment, the Company is first permitted to perform a qualitative assessment about the likelihood of the carrying value of a reporting unit exceeding its fair value. If the Company determines that it is more likely than not that the fair value of a reporting unit is less than its carrying amount based on the qualitative assessment, it is required to perform the two-step goodwill impairment test described below to identify the potential goodwill impairment and measure the amount of the goodwill impairment loss, if any, to be recognized for that reporting unit. However, if the Company concludes otherwise based on the qualitative assessment, the two-step goodwill impairment test is not required. The option to perform the qualitative assessment is not an accounting policy election and can be utilized at the Company's discretion. Further, the qualitative assessment need not be applied to all reporting units in a given goodwill impairment test. For an individual reporting unit, if the Company elects not to perform the qualitative assessment, or if the qualitative assessment indicates that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, then the Company must perform the two- step goodwill impairment test for the reporting unit. If the implied fair value of goodwill is less than the carrying value, then an impairment charge would be recorded. | |||||||||||||||||
In performing the annual goodwill impairment test in 2013 and 2012, the Company bypassed the option to perform a qualitative assessment and proceeded directly to performing the first step of the two-step goodwill impairment test. | |||||||||||||||||
The Company calculates the fair value of its reporting units using the income approach, which utilizes discounted forecasted future cash flows and the market approach which utilizes fair value multiples of comparable publicly traded companies. The discounted cash flows are based on our most recent long-term financial projections and are discounted using a risk adjusted rate of return, which is determined using estimates of market participant risk-adjusted weighted average costs of capital and reflects the risks associated with achieving future cash flows. The market approach is calculated using the guideline company method, where the Company uses market multiples derived from stock prices of companies engaged in the same or similar lines of business. There is not a quoted market price for the Company's reporting units or the company as a whole, therefore, a combination of the two methods is utilized to derive the fair value of the business. The Company evaluated and weighed the results of these approaches as well as ensures it understands the basis of the results of these two methodologies. The Company believes the use of these two methodologies ensures a consistent and supportable method of determining its fair value that is consistent with the objective of measuring fair value. If the fair value were to decline, then the Company may be required to incur material charges relating to the impairment of those assets. The Company did not identify any impairment in goodwill in 2013, 2012 or 2011. Goodwill is not deductible for tax purposes. | |||||||||||||||||
In addition, as a result of the continued supply challenges with BVL, the Company performed an interim impairment test of goodwill as of December 31, 2011. The analyses utilized the most recently available forecast information, which considered the potential impact of the continued supply challenges in 2011. The interim impairment test did not indicate that there was any impairment as of December 31, 2011. There were no events at December 31, 2012 that triggered an interim impairment test. During the first quarter of 2013, the strategic shift in how the Company funds its R&D programs significantly altered the expected future costs and revenues associated with our development candidates. Accordingly, this action was deemed to be a triggering event for an evaluation of the recoverability of the Company's goodwill as of March 31, 2013. The Company performed an interim impairment test and determined that there was no impairment of goodwill as of March 31, 2013. Furthermore, the Company performed its annual impairment test for goodwill as of October 31, 2013, and there were no events through December 31, 2013 that triggered an interim impairment test. At each annual and interim impairment test date, the fair value of the Company's reporting unit, which includes goodwill, was substantially in excess of its carrying value. | |||||||||||||||||
The Company tests intangible and long-lived assets for recoverability whenever events or changes in circumstances suggest that the carrying value of an asset or group of assets may not be recoverable. The Company measures the recoverability of assets to be held and used by comparing the carrying amount of the asset to future undiscounted net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment equals the amount by which the carrying amount of the assets exceeds the fair value of the assets. Any impairments are recorded as permanent reductions in the carrying amount of the assets. Long-lived assets, other than goodwill and other intangible assets, that are held for sale are recorded at the lower of the carrying value or the fair market value less the estimated cost to sell. | |||||||||||||||||
In the first quarter of 2012, the Company reviewed the estimated useful life of its Cardiolite trademark as a result of a triggering event. Utilizing the most recent forecasted revenue data, the Company revised the estimate of the remaining useful life of the Cardiolite trademark to five years. The Company monitors the recoverability of its branded Cardiolite trademark intangible asset due to the ongoing generic competition based on actual results and existing estimates of future undiscounted cash flows associated with the branded Cardiolite product. As of December 31, 2013, the Company conducted, using its revised sales forecast, an impairment analysis and concluded that the estimate of future undiscounted cash flows associated with the Cardiolite trademark intangible did not exceed the carrying amount of the asset totaling $19.2 million and therefore, the asset has been written down to its fair value. Fair value was calculated by utilizing Level 3 inputs in the relief-from-royalty method, an income-based approach. As a result of this analysis, the Company recorded an impairment charge of $15.4 million to adjust the carrying value to its fair value of $3.8 million. This expense was recorded within cost of goods sold in the accompanying consolidated statement of comprehensive loss in the fourth quarter of 2013. | |||||||||||||||||
In the third quarter of 2013, the Company was in negotiations with a new distributor for the sale of certain products within certain international markets. This agreement was signed in October 2013 and as a result the Company did not renew the agreements with its former distributors in these international markets. The Company determined the customer relationship intangible related to these former distributors was no longer recoverable and recorded an impairment charge of $1.0 million in the third quarter of 2013. In the fourth quarter of 2013, the Company updated its strategic plan to reflect the non-renewal of these agreements and the uncertainty in the timing of product availability in this region. As a result, the Company reviewed the recoverability of certain of its customer relationship intangible assets in the International segment that were impacted by the Company's revised strategic plan. The Company conducted an impairment analysis and concluded that the estimate of future undiscounted cash flows associated with the customer relationship intangible asset did not exceed the carrying amount of the asset and therefore, the asset would need to be written down to its fair value. In order to calculate the fair value of the acquired customer relationship intangible assets, the Company utilized Level 3 inputs to estimate the future discounted cash flows associated with remaining customers and as a result of this analysis, recorded an impairment charge of $0.7 million in the fourth quarter of 2013. These impairment charges were recorded within cost of goods sold in the accompanying consolidated statement of comprehensive loss. | |||||||||||||||||
During the third quarter of 2013, the Company committed to a plan to sell certain of its excess land in the U.S. segment, which had a carrying value of $7.5 million. This event qualified for held for sale accounting and the excess land was written down to its fair value, less estimated costs to sell. The fair value was estimated utilizing Level 3 inputs and using a market approach, based on available data for transactions in the region, discussions with real estate brokers and the asking price of comparable properties in its principal market. This resulted in a loss of $6.4 million, which is included within operating loss as impairment of land in the accompanying consolidated statement of comprehensive loss. During the fourth quarter of 2013, the Company sold the excess land for net proceeds of $1.1 million. | |||||||||||||||||
Fixed assets dedicated to R&D activities, which were impacted by the recent R&D strategic shift, have a carrying value of $6.3 million as of December 31, 2013. The Company believes these fixed assets will be utilized for either internally funded ongoing R&D activities or R&D activities funded by a strategic partner. If the Company is not successful in finding a strategic partner, and there are no alternative uses for those fixed assets, they could be subject to impairment in the future. | |||||||||||||||||
The Company also tested certain long-lived assets utilized in the manufacturing of certain products in the U.S. for recoverability as of December 31, 2013, due to a change in the Company's contract to manufacture Quadramet. The analysis indicated that there was no impairment as of December 31, 2013. The Company also evaluated the remaining useful lives of these long-lived assets that were tested for recoverability at December 31, 2013 and determined no revisions were required to the remaining periods of depreciation. | |||||||||||||||||
Intangible assets, consisting of patents, trademarks and customer relationships related to the Company's products are amortized in a method equivalent to the estimated utilization of the economic benefit of the asset. Trademarks and patents are amortized on a straight-line basis, and customer relationships are amortized on an accelerated basis. | |||||||||||||||||
Deferred Financing Costs | |||||||||||||||||
Deferred financing costs are capitalized and amortized to interest expense using the effective interest method. As of December 31, 2013 and 2012, the unamortized deferred financing costs were $9.6 million and $11.4 million, respectively. The expense associated with the amortization of deferred financing costs was $2.4 million, $2.2 million and $1.4 million for the years ended December 31, 2013, 2012 and 2011, respectively, and was included in interest expense. In connection with the New Facility, the Company wrote off $0.6 million of the existing unamortized deferred financing costs related to the Old Facility, which is included in interest expense in the accompanying consolidated statements of comprehensive loss. | |||||||||||||||||
Contingencies | |||||||||||||||||
In the normal course of business, the Company is subject to loss contingencies, such as legal proceedings and claims arising out of its business, that cover a wide range of matters, including, among others, product and environmental liability. The Company records accruals for such loss contingencies when it is probable that a liability will be incurred and the amount of loss can be reasonably estimated. The Company does not recognize gain contingencies until realized. | |||||||||||||||||
Fair Value of Financial Instruments | |||||||||||||||||
The estimated fair values of the Company's financial instruments, including its cash and cash equivalents, receivables, accounts payable and accrued expenses approximate the carrying values of these instruments due to their short term nature. Assets measured at fair value on a nonrecurring basis include long-lived assets held for sale and certain intangible assets. The estimated fair value of the debt, at December 31, 2013, based on Level 2 inputs of recent market activity available to the Company was $356.0 million compared to the face value of $400.0 million. At December 31, 2012, the estimated fair value of the debt based on Level 2 inputs of recent market activity available to the Company was $380.0 million compared to the face value of $400.0 million. | |||||||||||||||||
Shipping and Handling Revenues and Costs | |||||||||||||||||
The Company typically does not charge customers for shipping and handling costs, but any shipping and handling costs charged to customers are included in product revenues. Shipping and handling costs are included in cost of goods sold and were $20.5 million, $20.4 million and $20.3 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||||||||
Advertising and Promotion Costs | |||||||||||||||||
Advertising and promotion costs are expensed as incurred and totaled $2.7 million, $3.2 million and $4.1 million for the years ended December 31, 2013, 2012 and 2011, respectively, and are included in sales and marketing expenses. | |||||||||||||||||
Research and Development | |||||||||||||||||
Research and development costs are expensed as incurred and relate primarily to the development of new products to add to the Company's portfolio and costs related to its medical affairs and medical information functions. Nonrefundable advance payments for goods or services that will be used or rendered for future research and development activities are deferred and recognized as an expense as the goods are delivered or the related services are performed. | |||||||||||||||||
Foreign Currency Translation | |||||||||||||||||
The consolidated statements of comprehensive loss of the Company's foreign subsidiaries are translated into U.S. Dollars using average exchange rates. The net assets of the Company's foreign subsidiaries are translated into U.S. Dollars using the end of period exchange rates. The impact from translating the net assets of these subsidiaries at changing rates are recorded in the foreign currency translation adjustment account, which is included in consolidated accumulated other comprehensive loss. | |||||||||||||||||
For the years ended December 31, 2013, 2012 and 2011, losses arising from foreign currency transactions totaled approximately $0.3 million, $0.6 million and $0.2 million, respectively. Transaction gains and losses are reported as a component of other income (expense), net. | |||||||||||||||||
Accounting for Stock-Based Compensation | |||||||||||||||||
The Company's stock-based compensation cost is measured at the grant date of the stock-based award based on the fair value of the award and is recognized as expense over the requisite service period, which generally represents the vesting period, and includes an estimate of the awards that will be forfeited. The Company uses the Black-Scholes valuation model for estimating the fair value of stock options. The fair value of stock option awards is affected by the valuation assumptions, including the expected volatility based on comparable market participants, expected term of the option, risk-free interest rate and expected dividends. When a contingent cash settlement of vested options becomes probable, the Company reclassifies its vested awards to a liability and accounts for any incremental compensation cost in the period in which the settlement becomes probable. | |||||||||||||||||
Accumulated Other Comprehensive (Loss) Income | |||||||||||||||||
Comprehensive loss is comprised of net loss, plus all changes in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources, including any foreign currency translation adjustments. These changes in equity are recorded as adjustments to accumulated other comprehensive (loss) income in the Company's consolidated balance sheet. The components of accumulated other comprehensive income (loss) consist of foreign currency translation adjustments. | |||||||||||||||||
Asset Retirement Obligations | |||||||||||||||||
The Company's compliance with federal, state, local and foreign environmental laws and regulations may require it to remove or mitigate the effects of the disposal or release of chemical substances in jurisdictions where it does business or maintains properties. The Company establishes accruals when such costs are legally obligated and probable and can be reasonably estimated. Accrual amounts are estimated based on currently available information, regulatory requirements, remediation strategies, historical experience, the relative shares of the total remediation costs and a relevant discount rate, when the time periods of estimated costs can be reasonably predicted. Changes in these assumptions could impact the Company's future reported results. The amounts recorded for asset retirement obligations in the accompanying balance sheets at December 31, 2013 and 2012 were $6.4 million and $5.4 million, respectively. | |||||||||||||||||
Self Insurance Reserves | |||||||||||||||||
The Company's consolidated balance sheet at December 31, 2013 and 2012 includes approximately $0.4 million and $0.5 million, respectively, of accrued liabilities associated with employee medical costs that are retained by the Company. The Company estimates the required liability of such claims on an undiscounted basis based upon various assumptions which include, but are not limited to, the Company's historical loss experience and projected loss development factors. The required liability is also subject to adjustment in the future based upon changes in claims experience, including changes in the number of incidents (frequency) and change in the ultimate cost per incident (severity). The Company also maintains a separate cash account to fund these medical claims and must maintain a minimum balance as determined by the plan administrator. The balance of this restricted cash account was approximately $0.2 million and $27,000 at December 31, 2013 and 2012, respectively, and is included in other current assets. | |||||||||||||||||
Recent Accounting Standards | |||||||||||||||||
In July 2013, the Financial Accounting Standards Board (the "FASB") issued Accounting Standards Update ("ASU") No. 2013-11, "Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists" ("ASU 2013-11"). The amendments in ASU 2013-11 provide guidance on the financial statement presentation of unrecognized tax benefits when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. ASU 2013-11 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The Company will reflect the impact of these amendments beginning with the Company's Quarterly Report on Form 10-Q for the period ending March 31, 2014. The Company does not anticipate a material impact to the Company's financial position, results of operations or cash flows as a result of this change. | |||||||||||||||||
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Fair Value of Financial Instruments | ' | |||||||||||||
Fair Value of Financial Instruments | ' | |||||||||||||
3. Fair Value of Financial Instruments | ||||||||||||||
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. In order to increase consistency and comparability in fair value measurements, financial instruments are categorized based on a hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three broad levels, which are described below: | ||||||||||||||
Level 1—Inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. | ||||||||||||||
Level 2—Inputs include quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (i.e., interest rates, yield curves, etc.) and inputs that are derived principally from or corroborated by observable market data by correlation or other means (market corroborated inputs). | ||||||||||||||
Level 3—Unobservable inputs that reflect a Company's estimates about the assumptions that market participants would use in pricing the asset or liability. The Company develops these inputs based on the best information available, including its own data. | ||||||||||||||
At December 31, 2013 and 2012, the Company's financial assets that are measured at fair value on a recurring basis are comprised of money market securities and are classified as cash equivalents. The Company invests excess cash from its operating cash accounts in overnight investments and reflects these amounts in cash and cash equivalents on the consolidated balance sheet using quoted prices in active markets for identical assets (Level 1). | ||||||||||||||
The tables below present information about the Company's assets and liabilities that are measured at fair value on a recurring basis as of December 31, 2013 and 2012: | ||||||||||||||
(in thousands) | Total fair | Quoted | Significant | Significant | ||||||||||
value at | prices in | other | unobservable | |||||||||||
December 31, | active | observable | inputs | |||||||||||
2013 | markets | inputs | (Level 3) | |||||||||||
(Level 1) | (Level 2) | |||||||||||||
Money market | $ | 1,236 | $ | 1,236 | $ | — | $ | — | ||||||
Certificates of deposit—restricted | 322 | — | 322 | — | ||||||||||
| | | | | | | | | | | | | | |
$ | 1,558 | $ | 1,236 | $ | 322 | $ | — | |||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
(in thousands) | Total fair | Quoted | Significant | Significant | ||||||||||
value at | prices in | other | unobservable | |||||||||||
December 31, | active | observable | inputs | |||||||||||
2012 | markets | inputs | (Level 3) | |||||||||||
(Level 1) | (Level 2) | |||||||||||||
Money market | $ | 2,004 | $ | 2,004 | $ | — | $ | — | ||||||
Certificates of deposit—restricted | 328 | — | 328 | — | ||||||||||
| | | | | | | | | | | | | | |
$ | 2,332 | $ | 2,004 | $ | 328 | $ | — | |||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
In the first quarter of 2012, the Company invested $0.2 million in a certificate of deposit in which the Company's use of such cash is restricted and is included in the line item "Certificates of deposit—restricted" above. This investment is classified in other current assets on the consolidated balance sheet. The remaining $0.1 million represents a certificate of deposit that is collateral for a long-term lease and is included in other long-term assets on the consolidated balance sheet. Certificates of deposit are classified within Level 2 of the fair value hierarchy as these are not traded on the open market. | ||||||||||||||
At December 31, 2013, the Company had total cash and cash equivalents of $16.7 million, which included approximately $1.2 million of money market funds and $15.5 million of cash on-hand. At December 31, 2012, the Company had total cash and cash equivalents of $31.6 million, which included approximately $2.0 million of money market funds and $29.6 million of cash on-hand. | ||||||||||||||
The estimated fair values of the Company's financial instruments, including its cash and cash equivalents, receivables, accounts payable and accrued expenses approximate the carrying values of these instruments due to their short term nature. The estimated fair value of the debt, at December 31, 2013, based on Level 2 inputs of recent market activity available to the Company was $356.0 million compared to the face value of $400.0 million. At December 31, 2012, the estimated fair value of the debt based on Level 2 inputs of recent market activity available to the Company was $380.0 million compared to the face value of $400.0 million. | ||||||||||||||
The table below presents information about the Company's assets and liabilities that are measured at fair value on a nonrecurring basis during the year ended December 31, 2013, due to the remeasurement of assets resulting in impairment charges. | ||||||||||||||
Year ending December 31, 2013 | Total fair | Quoted | Significant | Significant | ||||||||||
(in thousands) | value | prices in | other | unobservable | ||||||||||
active | observable | inputs | ||||||||||||
markets | inputs | (Level 3) | ||||||||||||
(Level 1) | (Level 2) | |||||||||||||
Cardiolite trademark | $ | 3,800 | $ | — | $ | — | $ | 3,800 | ||||||
Customer relationships | — | — | — | — | ||||||||||
| | | | | | | | | | | | | | |
Total | $ | 3,800 | $ | — | $ | — | $ | 3,800 | ||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
During the third quarter of 2013, the Company recorded an impairment charge of $6.4 million to write down the carrying value of excess land held for sale in the U.S. segment totaling $7.5 million to its fair value, less estimated costs to sell. See Note 6 for further discussion regarding the impairment charge. The fair value of land held for sale was determined using Level 3 inputs and was estimated using a market approach, based on available data for transactions in the region, discussions with real estate brokers and the asking price of comparable properties in its principal market. Unobservable inputs obtained from third parties are adjusted as necessary for the condition and attributes of the specific asset. The land sale was completed in the fourth quarter of 2013. | ||||||||||||||
During the third and fourth quarters of 2013, the Company recorded an impairment charge of $1.0 million and $0.7 million, respectively, to write down the carrying value of a customer relationship intangible asset in the International segment totaling $1.8 million and $0.7 million, respectively, to its fair value of zero. See Note 8 for further discussion regarding the impairment charge. The determination of the customer relationship intangible assets impairment charge was based on Level 3 measurements under the fair value hierarchy. The Company utilized an income approach to calculate the discounted cash flows that would be generated by its remaining customer base. The unobservable inputs utilized by the Company included management's assumptions regarding future revenues and profitability from the remaining customers and a discount rate of 15% as of September 30, 2013 and December 31, 2013, respectively. | ||||||||||||||
During the fourth quarter of 2013, the Company recorded an impairment charge of $15.4 million to write down the Cardiolite trademark intangible asset in the U.S. segment totaling $19.2 million to its fair value of $3.8 million. See Note 8 for further discussion regarding the impairment charge. The fair value measurements were determined using a relief-from-royalty method, which incorporates unobservable inputs, thereby classifying the fair value measurements as a Level 3 measurement within the fair value hierarchy. The primary inputs used in the relief-from-royalty method, an income-based approach, included estimated prospective cash flows expected to be generated by Cardiolite and an estimated royalty rate that would be used by a market participant. The unobservable inputs utilized by the Company included management's assumptions regarding future revenues and profitability from the branded Cardiolite product, a royalty rate of 6%, a discount rate of 15% and a life of 15 years. | ||||||||||||||
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Income Taxes | ' | |||||||||||||||||||
Income Taxes | ' | |||||||||||||||||||
4. Income Taxes | ||||||||||||||||||||
The components of (loss) income before income taxes for the years ended December 31 were: | ||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||||
United States | $ | (58,093 | ) | $ | (43,868 | ) | $ | (55,658 | ) | |||||||||||
International | (2,571 | ) | 1,312 | 3,287 | ||||||||||||||||
| | | | | | | | | | | ||||||||||
$ | (60,664 | ) | $ | (42,556 | ) | $ | (52,371 | ) | ||||||||||||
| | | | | | | | | | | ||||||||||
| | | | | | | | | | | ||||||||||
The provision (benefit) for income taxes as of December 31 was: | ||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||||
Current | ||||||||||||||||||||
Federal | $ | (782 | ) | $ | (3,508 | ) | $ | (41 | ) | |||||||||||
State | 1,712 | 2,763 | 2,607 | |||||||||||||||||
International | 356 | 618 | 202 | |||||||||||||||||
| | | | | | | | | | | ||||||||||
$ | 1,286 | $ | (127 | ) | $ | 2,768 | ||||||||||||||
| | | | | | | | | | | ||||||||||
| | | | | | | | | | | ||||||||||
Deferred | ||||||||||||||||||||
Federal | $ | — | $ | 200 | $ | 75,939 | ||||||||||||||
State | — | — | 6,326 | |||||||||||||||||
International | (272 | ) | (628 | ) | (935 | ) | ||||||||||||||
| | | | | | | | | | | ||||||||||
(272 | ) | (428 | ) | 81,330 | ||||||||||||||||
| | | | | | | | | | | ||||||||||
$ | 1,014 | $ | (555 | ) | $ | 84,098 | ||||||||||||||
| | | | | | | | | | | ||||||||||
| | | | | | | | | | | ||||||||||
The Company's provision (benefit) for income taxes in the years ended December 31, 2013, 2012 and 2011 was different from the amount computed by applying the statutory U.S. Federal income tax rate to (loss) income from operations before income taxes, as a result of the following: | ||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||||
U.S. statutory rate | $ | (21,224 | ) | 35 | % | $ | (14,895 | ) | 35 | % | $ | (18,331 | ) | 35 | % | |||||
Permanent items and foreign tax credits | 292 | (0.5 | )% | (1,200 | ) | 2.8 | % | (363 | ) | 0.7 | % | |||||||||
Uncertain tax positions | 809 | (1.3 | )% | 892 | (2.1 | )% | 1,148 | (2.2 | )% | |||||||||||
Research credits | (1,346 | ) | 2.2 | % | — | — | (910 | ) | 1.7 | % | ||||||||||
State and local taxes | (1,780 | ) | 3 | % | (1,821 | ) | 4.3 | % | (1,815 | ) | 3.5 | % | ||||||||
Impact of rate change on deferred taxes | 31 | (0.1 | )% | (974 | ) | 2.3 | % | (393 | ) | 0.7 | % | |||||||||
True-up of prior year tax | (1,422 | ) | 2.3 | % | (2,345 | ) | 5.5 | % | 33 | (0.1 | )% | |||||||||
Foreign tax rate differential | 92 | (0.2 | )% | (455 | ) | 1.1 | % | (584 | ) | 1.1 | % | |||||||||
Valuation allowance | 25,674 | (42.3 | )% | 20,243 | (47.6 | )% | 102,692 | (196.1 | )% | |||||||||||
Tax on repatriation | (18 | ) | 0 | % | — | — | 2,600 | (5.0 | )% | |||||||||||
Other | (94 | ) | 0.2 | % | — | — | 21 | — | % | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
$ | 1,014 | (1.7 | )% | $ | (555 | ) | 1.3 | % | $ | 84,098 | (160.7 | )% | ||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
The components of deferred income tax assets (liabilities) at December 31 were: | ||||||||||||||||||||
(in thousands) | 2013 | 2012 | ||||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||||
Federal benefit of state taxes payable | $ | 11,541 | $ | 10,926 | ||||||||||||||||
Reserves, accruals and other | 29,242 | 33,977 | ||||||||||||||||||
Capitalized research and development | 30,057 | 22,320 | ||||||||||||||||||
Capital loss carryforward | 2,309 | — | ||||||||||||||||||
Amortization of intangibles other than goodwill | 52,665 | 61,131 | ||||||||||||||||||
Net operating loss carryforwards | 31,405 | 7,851 | ||||||||||||||||||
| | | | | | | | |||||||||||||
Deferred tax assets | 157,219 | 136,205 | ||||||||||||||||||
| | | | | | | | |||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||||
Reserves, accruals and other | (500 | ) | (1,125 | ) | ||||||||||||||||
Customer relationships | (7,860 | ) | (10,274 | ) | ||||||||||||||||
Depreciation | (360 | ) | (2,191 | ) | ||||||||||||||||
| | | | | | | | |||||||||||||
Deferred tax liability | (8,720 | ) | (13,590 | ) | ||||||||||||||||
Less: Valuation allowance | (148,535 | ) | (122,935 | ) | ||||||||||||||||
| | | | | | | | |||||||||||||
$ | (36 | ) | $ | (320 | ) | |||||||||||||||
| | | | | | | | |||||||||||||
| | | | | | | | |||||||||||||
2013 | 2012 | |||||||||||||||||||
Recorded in the accompanying consolidated balance sheet as: | ||||||||||||||||||||
Current deferred tax assets | $ | 18 | $ | 115 | ||||||||||||||||
Current deferred tax liabilities | (57 | ) | — | |||||||||||||||||
Noncurrent deferred tax assets | 15 | — | ||||||||||||||||||
Noncurrent deferred tax liability | (12 | ) | (435 | ) | ||||||||||||||||
| | | | | | | | |||||||||||||
Net deferred tax liabilities | $ | (36 | ) | $ | (320 | ) | ||||||||||||||
| | | | | | | | |||||||||||||
| | | | | | | | |||||||||||||
The Company files separate federal income tax returns for Lantheus MI Intermediate, Inc. and Lantheus Medical Imaging, Inc. For state tax purposes, the Company files combined tax returns with Lantheus MI Holdings, Inc. For income tax provision purposes, the Company uses the separate return method in calculating its state tax provision. As of December 31, 2013 and December 31, 2012, the Company reflects an amount payable to Lantheus MI Holdings of $85,000, for the tax benefit of losses incurred by Lantheus MI Holdings, which is included in due from parent on the consolidated balance sheets. | ||||||||||||||||||||
As of December 31, 2013 and 2012, total liabilities for tax obligations and associated interest and penalties were $34.9 million and $34.7 million, respectively, consisting of income tax provisions for uncertain tax benefits of $14.1 million and $15.4 million, interest accruals of $18.2 million and $16.5 million and penalty accruals of $2.6 million and $2.8 million, respectively, which were included in other long-term liabilities on the consolidated balance sheets with the offsetting asset in other long-term assets. The total noncurrent asset related to the indemnification was $19.7 million and $18.5 million as of December 31, 2013 and 2012, respectively. Included in the 2013, 2012 and 2011 tax provision is $1.9 million, $2.6 million and $2.4 million, respectively, relating to current year interest expense, with an offsetting amount included in other income due to the indemnification related to these obligations. | ||||||||||||||||||||
A reconciliation of the Company's changes in uncertain tax positions for 2013, 2012 and 2011 is as follows: | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Beginning balance of uncertain tax positions as of January 1, 2011 | $ | 16,059 | ||||||||||||||||||
Additions related to current year tax positions | 195 | |||||||||||||||||||
Reductions related to prior year tax positions | (876 | ) | ||||||||||||||||||
| | | | | ||||||||||||||||
Balance of uncertain tax positions as of December 31, 2011 | 15,378 | |||||||||||||||||||
Additions related to current year tax positions | 301 | |||||||||||||||||||
Reductions related to prior year tax positions | — | |||||||||||||||||||
Settlements | (651 | ) | ||||||||||||||||||
Lapse of statute of limitations | (1,122 | ) | ||||||||||||||||||
| | | | | ||||||||||||||||
Balance of uncertain tax positions as of December 31, 2012 | 13,906 | |||||||||||||||||||
Additions related to current year tax positions | 18 | |||||||||||||||||||
Reductions related to prior year tax positions | — | |||||||||||||||||||
Settlements | (34 | ) | ||||||||||||||||||
Lapse of statute of limitations | (763 | ) | ||||||||||||||||||
| | | | | ||||||||||||||||
Balance of uncertain tax positions as of December 31, 2013 | $ | 13,127 | ||||||||||||||||||
| | | | | ||||||||||||||||
| | | | | ||||||||||||||||
As of December 31, 2013 and 2012, the total amount of unrecognized tax benefits was $13.1 million and $13.9 million, respectively, all of which would affect the effective tax rate, if recognized. These amounts are primarily associated with domestic state tax issues, such as the allocation of income among various state tax jurisdictions, transfer pricing and U.S. federal R&D credits. Since the Company operates in a number of countries in which it has income tax treaties, it believes that it is more-likely-than-not that the Company should be able to receive competent authority relief for potential adjustments in those countries. Included in the Company's uncertain tax positions for transfer pricing exposures are $1.0 million, which is reflected within other long-term liabilities, and an offset of $1.0 million, which is reflected in other long-term assets. The tabular rollforward reflected above is net of the $1.0 million of competent authority relief. | ||||||||||||||||||||
The Company's U.S. income tax returns remain subject to examination for three years. The state income tax returns remain subject to examination for three to four years depending on the state's statute of limitations. | ||||||||||||||||||||
In 2013, as a result of the expiration of the 2009 statute of limitations, the Company has recognized the benefit associated with the reversal of uncertain tax positions including interest and penalties of $2.0 million. | ||||||||||||||||||||
Included in other expense for the year ended December 31, 2013, is $0.9 million relating to the reduction in the indemnification receivable from BMS associated with the expiration of statute of limitations. Within the next twelve months, unrecognized tax benefits of $6.9 million may be recognized associated with potential state settlements and transfer pricing due to the closing of the statute of limitations. | ||||||||||||||||||||
In accordance with the Company's acquisition of the medical imaging business from BMS in 2008, the Company obtained a tax indemnification agreement with Bristol Myers Squibb ("BMS") related to certain tax obligations arising prior to the acquisition of the Company, for which the Company has the primary legal obligation. The tax indemnification receivable is recognized within other noncurrent assets. The changes in the tax indemnification asset are recognized within other income, net in the consolidated statement of comprehensive (loss) income. In accordance with the Company's accounting policy, the change in the tax liability and penalties and interest associated with these obligations (net of any offsetting federal or state benefit) is recognized within the tax provision. Accordingly, as these reserves change, adjustments are included in the tax provision while the offsetting adjustment is included in other income. Assuming that the receivable from BMS continues to be considered recoverable by the Company, there is no net effect on earnings related to these liabilities and no net cash outflows. | ||||||||||||||||||||
During the fourth quarter of 2012, the Company was contacted by several state tax jurisdictions relating to tax matters that would be subject to the BMS indemnification agreement. It is not certain as to how these matters will be resolved. The effect on the Company's financial statements should be neutral as any changes to the Company's income tax provision will be offset by other income or expense as described below. | ||||||||||||||||||||
During the year ended December 31, 2012, BMS, on behalf of the Company, made payments totaling $0.7 million to a number of states in connection with prior year state income tax filings. As a result of these payments, the amount due from BMS, included within other long-term assets, decreased by $0.7 million which represents the total cash payments of $0.7 million in 2012. There were no payments made on behalf of the Company in 2013. | ||||||||||||||||||||
The Company has generated domestic pre-tax losses for the past three years. This loss history demonstrates negative evidence concerning the Company's ability to utilize its domestic gross deferred tax assets. In order to overcome the presumption of recording a valuation allowance against the deferred tax assets, the Company must have sufficient positive evidence that it can generate sufficient taxable income to utilize these deferred tax assets within the carryover or forecast period. Although the Company has no history of expiring net operating losses or other tax attributes, based on the cumulative loss incurred over the three-year period ended December 31, 2013, management determined that the net U.S. deferred tax assets are not more-likely-than-not recoverable. As a result of this analysis, the Company continues to maintain a full valuation allowance primarily against its net U.S. deferred tax assets in the amount of $148.5 million and $122.9 million at December 31, 2013 and 2012, respectively. | ||||||||||||||||||||
The following is a reconciliation of the Company's valuation allowance for the years ending December 31, 2013, 2012, and 2011. | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Balance at January 1, 2011 | $ | 0 | ||||||||||||||||||
Charged to provision for income taxes | 102,692 | |||||||||||||||||||
Deductions | — | |||||||||||||||||||
| | | | | ||||||||||||||||
Balance at December 31, 2011 | 102,692 | |||||||||||||||||||
Charged to provision for income taxes | 20,243 | |||||||||||||||||||
Deductions | — | |||||||||||||||||||
| | | | | ||||||||||||||||
Balance at December 31, 2012 | 122,935 | |||||||||||||||||||
Charged to provision for income taxes | 25,600 | |||||||||||||||||||
Deductions | — | |||||||||||||||||||
| | | | | ||||||||||||||||
Balance at December 31, 2013 | $ | 148,535 | ||||||||||||||||||
| | | | | ||||||||||||||||
| | | | | ||||||||||||||||
At December 31, 2013, the Company has federal net operating loss carryovers of $74.3 million, which begin to expire in 2031. The Company has $2.4 million of federal research credits, which begin to expire in 2029. The Company has foreign tax credits of approximately $4.2 million that will begin to expire in 2020. The Company has state research credits of $1.6 million, which will expire between 2024 and 2028. The Company has Massachusetts investment tax credits of approximately $0.4 million, which have no expiration date. | ||||||||||||||||||||
At December 31, 2013, the Company sold land which resulted in a capital loss of $6.0 million. A capital loss can only be carryforward for five years and can only be offset against capital gains. Although the Company has no history of expiring capital tax losses, based on the history that the Company has not generated capital gains, management determined that the deferred asset is not more-likely-than-not recoverable, a full valuation allowance was established. | ||||||||||||||||||||
In 2010, the Company was granted a tax holiday from the Commonwealth of Puerto Rico, which expires on January 1, 2024. This grant provides for a 4% tax rate on activities relating to the operations of the Company's radiopharmacies. This grant is conditioned upon the Company meeting certain employment and investment thresholds. The impact of this tax holiday was to decrease foreign tax by approximately $0.3 million, $0.3 million and $0.2 million in 2013, 2012 and 2011, respectively. | ||||||||||||||||||||
In September 2013, the Internal Revenue Service released final Tangible Property Regulations (the "Final Regulations"). The Final Regulations provide guidance on applying Section 263(a) of the Code to amounts paid to acquire, produce or improve tangible property, as well as rules for materials and supplies (Code Section 162). These regulations contain certain changes from the temporary and proposed tangible property regulations that were issued on December 27, 2011. The Final Regulations are generally effective for taxable years beginning on or after January 1, 2014. In addition, taxpayers are permitted to early adopt the Final Regulations for taxable years beginning on or after January 1, 2012. The Company does not expect the Final Regulations to have a material effect on its results of operations or financial condition. | ||||||||||||||||||||
Inventory
Inventory | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Inventory | ' | |||||||
Inventory | ' | |||||||
5. Inventory | ||||||||
The Company includes within current assets the amount of inventory that is estimated to be utilized within twelve months. Inventory that will be utilized after twelve months is classified within other long-term assets. | ||||||||
Inventory, classified in inventory or other long-term assets, consisted of the following: | ||||||||
(in thousands) | December 31, | December 31, | ||||||
2013 | 2012 | |||||||
Raw materials | $ | 7,063 | $ | 7,573 | ||||
Work in process | 5,849 | 5,019 | ||||||
Finished goods | 5,398 | 5,456 | ||||||
| | | | | | | | |
Inventory | 18,310 | 18,048 | ||||||
Other long-term assets | 1,687 | 2,090 | ||||||
| | | | | | | | |
Total | $ | 19,997 | $ | 20,138 | ||||
| | | | | | | | |
| | | | | | | | |
At December 31, 2013, inventories reported as other long-term assets included $1.7 million of raw materials. At December 31, 2012, other long-term assets included $1.5 million of raw materials and $0.6 million of finished goods. | ||||||||
The Company's Ablavar product was commercially launched in January 2010. The revenues for this product through December 31, 2013 have not been significant. At December 31, 2013 and 2012, the balances of inventory on-hand reflect approximately $1.5 million and $2.8 million, respectively, of finished products and raw materials related to Ablavar. At December 31, 2013 and 2012, approximately $0.5 million and $2.1 million, respectively, of Ablavar inventory were included in long-term assets. | ||||||||
The Company entered into an agreement and subsequent amendments with a supplier to provide Active Pharmaceutical Ingredient ("API") and finished products for Ablavar under which the Company is required to purchase future minimum quantities. At December 31, 2013, the remaining purchase commitment under the amended agreement was approximately $1.8 million, of which the Company has accrued a loss of $1.3 million associated with this future purchase commitment. The Company records the inventory when it takes delivery, at which time the Company assumes title and risk of loss. | ||||||||
During 2011, the Company recorded inventory write-downs to cost of goods sold of $25.8 million, which represented the cost of Ablavar finished good product and API that the Company did not believe it would be able to sell prior to its expiration. The Company completed updated sales forecasts for Ablavar based on actual sales in consideration of its supply agreement for API. Based on the updated sales forecasts, coupled with the aggregate six-year shelf life of API and finished goods, the Company also recorded in cost of goods sold a total of $5.6 million for the loss associated with the portion of the committed purchases of Ablavar product that the Company did not believe it would be able to sell prior to its expiration. Additionally, the Company determined that its write-down of Ablavar inventory during 2011 represented an event that warranted assessment of the intellectual property associated with Ablavar for its recoverability and concluded that the intellectual property was not recoverable and in 2011, recorded in cost of goods sold an impairment of this intangible asset of $23.5 million. See Note 8, "Intangibles, net." | ||||||||
During 2012, the Company implemented a reduction in the sales force dedicated to Ablavar. The Company performed an analysis of expected future sales of its Ablavar product, based on an updated sales forecast reflecting the reduction in sales force personnel dedicated to Ablavar, and recorded to cost of goods sold, an additional inventory write-down of $10.6 million and an additional reserve of $1.9 million associated with the portion of the committed purchases of Ablavar product that the Company did not believe it would sell prior to expiry. | ||||||||
In 2013, the Company transitioned the sales and marketing efforts for Ablavar from its direct sales force to the Company's customer service team. During the fourth quarter of 2013, the Company updated its strategic plan, which had a significant impact on the Ablavar sales forecast. The Company performed an inventory reserve analysis using its expected future Ablavar sales and recorded an additional write-down of $1.6 million related to the API that the Company would not be able to convert or be able to sell prior to its expiry as of December 31, 2013. In the event that the Company does not meet its revised sales expectations for Ablavar or cannot sell the product it has committed to purchase prior to its expiration, the Company could incur additional inventory write-downs and/or losses on its purchase commitments. | ||||||||
Property_Plant_and_Equipment_n
Property, Plant and Equipment, net | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Property, Plant and Equipment, net | ' | |||||||
Property, Plant and Equipment, net | ' | |||||||
6. Property, Plant and Equipment, net | ||||||||
Property, plant and equipment consisted of the following at December 31: | ||||||||
(in thousands) | 2013 | 2012 | ||||||
Land | $ | 14,950 | $ | 22,450 | ||||
Buildings | 65,787 | 64,649 | ||||||
Machinery, equipment and fixtures | 65,026 | 63,503 | ||||||
Construction in progress | 8,029 | 7,331 | ||||||
Accumulated depreciation | (56,139 | ) | (48,360 | ) | ||||
| | | | | | | | |
Property, plant and equipment, net | $ | 97,653 | $ | 109,573 | ||||
| | | | | | | | |
| | | | | | | | |
Depreciation expense related to property, plant and equipment was $9.3 million, $9.7 million and $12.9 million for the years ended December 31, 2013, 2012 and 2011, respectively. | ||||||||
Included within machinery, equipment and fixtures are spare parts of approximately $2.5 million and $2.7 million as of December 31, 2013 and 2012, respectively. Spare parts include replacement parts relating to plant and equipment and are either recognized as an expense when consumed or re-classified and capitalized as part of the related plant and equipment and depreciated over a time period not exceeding the useful life of the related asset. | ||||||||
The Company tests long-lived assets for recoverability whenever events or changes in circumstances suggest that the carrying value of an asset or group of assets may not be recoverable. The Company measures the recoverability of assets to be held and used by comparing the carrying amount of the asset to future undiscounted net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment equals the amount by which the carrying amount of the assets exceeds the fair value of the assets. Any impairments are recorded as permanent reductions in the carrying amount of the assets. Long-lived assets, other than goodwill and other intangible assets, that are held for sale are recorded at the lower of the carrying value or the fair market value less the estimated cost to sell. As of December 31, 2013, the Company reviewed certain long-lived assets, utilized in the manufacturing of certain products in the U.S. due to a change in the Company's contract to manufacture Quadramet for recoverability and the analysis indicated that there was no impairment as of December 31, 2013. The Company also evaluated the remaining useful lives of long-lived assets that were tested for recoverability and determined no revisions were required to the remaining periods of depreciation. | ||||||||
Fixed assets dedicated to R&D activities, which were impacted by the recent R&D strategic shift, have a carrying value of $6.3 million as of December 31, 2013. The Company believes these fixed assets will be utilized for either internally funded ongoing R&D activities or R&D activities funded by a strategic partner. If the Company is not successful in finding a strategic partner and there are no alternative uses for these fixed assets, then they could be subject to impairment in the future. | ||||||||
Long-Lived Assets Held for Sale | ||||||||
During the third quarter of 2013, the Company committed to a plan to sell certain of its excess land in the U.S. segment, which had a carrying value of $7.5 million. This event qualified for held for sale accounting and the excess land was written down to its fair value, less estimated costs to sell. The fair value was estimated utilizing Level 3 inputs and using a market approach, based on available data for transactions in the region, discussions with real estate brokers and the asking price of comparable properties in its principal market. This resulted in a loss of $6.4 million, which is included within operating loss as impairment of land in the accompanying consolidated statement of comprehensive loss. During the fourth quarter of 2013, the Company sold the excess land for net proceeds of $1.1 million. | ||||||||
Asset_Retirement_Obligations
Asset Retirement Obligations | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Asset Retirement Obligations | ' | ||||
Asset Retirement Obligations | ' | ||||
7. Asset Retirement Obligations | |||||
The Company considers the legal obligation to remediate its facilities upon a decommissioning of its radioactive related operations as an asset retirement obligation. The operations of the Company have radioactive production facilities at its North Billerica, Massachusetts and San Juan, Puerto Rico sites. | |||||
The Company is required to provide the U.S. Nuclear Regulatory Commission and Massachusetts Department of Public Health financial assurance demonstrating the Company's ability to fund the decommissioning of the North Billerica, Massachusetts production facility upon closure, though the Company does not intend to close the facility. The Company has provided this financial assurance in the form of a $28.2 million surety bond and an $8.8 million letter of credit. | |||||
The fair value of a liability for asset retirement obligations is recognized in the period in which the liability is incurred. The liability is measured at the present value of the obligation expected to be incurred, of approximately $25.9 million, and is adjusted in subsequent periods as accretion expense is recorded. The corresponding asset retirement costs are capitalized as part of the carrying value of the related long-lived assets and depreciated over the asset's useful life. | |||||
The following is a reconciliation of the Company's asset retirement obligations for the years ended December 31, 2013, 2012 and 2011: | |||||
(in thousands) | |||||
Balance at January 1, 2011 | $ | 4,372 | |||
Capitalization | — | ||||
Accretion expense | 496 | ||||
| | | | | |
Balance at December 31, 2011 | 4,868 | ||||
Capitalization | — | ||||
Net decrease due to changes in estimated future cash flows | (5 | ) | |||
Accretion expense | 553 | ||||
| | | | | |
Balance at December 31, 2012 | 5,416 | ||||
Capitalization | — | ||||
Net increase due to changes in estimated future cash flows | 341 | ||||
Accretion expense | 628 | ||||
| | | | | |
Balance at December 31, 2013 | $ | 6,385 | |||
| | | | | |
| | | | | |
The Company revises the asset retirement obligation as information about material changes to the liability becomes known. During the year ended December 31, 2013, the Company revised the asset retirement obligation, which resulted in an additional asset capitalization, in the amount of $0.3 million. | |||||
Intangibles_net
Intangibles, net | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Intangibles, net | ' | |||||||||||
Intangibles, net | ' | |||||||||||
8. Intangibles, net | ||||||||||||
Intangibles, net consisted of the following: | ||||||||||||
December 31, 2013 | ||||||||||||
(in thousands) | Cost | Accumulated | Net | Amortization | ||||||||
amortization | Method | |||||||||||
Trademarks | $ | 13,540 | $ | 3,298 | $ | 10,242 | Straight-line | |||||
Customer relationships | 106,298 | 84,476 | 21,822 | Accelerated | ||||||||
Other patents | 42,780 | 39,846 | 2,934 | Straight-line | ||||||||
| | | | | | | | | | | | |
$ | 162,618 | $ | 127,620 | $ | 34,998 | |||||||
| | | | | | | | | | | | |
| | | | | | | | | | | | |
December 31, 2012 | ||||||||||||
(in thousands) | Cost | Accumulated | Net | Amortization | ||||||||
amortization | Method | |||||||||||
Trademarks | $ | 53,390 | $ | 20,743 | $ | 32,647 | Straight-line | |||||
Customer relationships | 114,000 | 83,385 | 30,615 | Accelerated | ||||||||
Other patents | 42,780 | 39,240 | 3,540 | Straight-line | ||||||||
| | | | | | | | | | | | |
$ | 210,170 | $ | 143,368 | $ | 66,802 | |||||||
| | | | | | | | | | | | |
| | | | | | | | | | | | |
On April 6, 2009, the Company acquired the U.S., Canadian and Australian territory rights to a Gadolinium-based blood pool contrast agent, Ablavar (formerly known as Vasovist), from EPIX Pharmaceuticals for an aggregate purchase price of $32.6 million, including drug product and active pharmaceutical ingredient inventory. Ablavar was approved by the U.S. Food and Drug Administration ("FDA") in December 2008 and commercially launched by the Company in early January 2010 after final FDA approval of its product label. | ||||||||||||
As noted in Note 5, during 2011, the Company conducted an impairment analysis on the intellectual property associated with Ablavar and concluded that the estimate of future undiscounted cash flows associated with the Ablavar product did not exceed the carrying amount and therefore, the asset would need to be written down to its fair value. In order to calculate the fair value of the Ablavar intellectual property intangible asset, the Company estimated the future discounted cash flows associated with the Ablavar product and as a result of this analysis, recorded an impairment charge of $23.5 million to adjust the carrying value to its fair value of zero. This expense was recorded within cost of goods sold in the accompanying consolidated statement of comprehensive loss. | ||||||||||||
During 2012, the Company reviewed the estimated useful life of its Cardiolite trademark. As a result of utilizing the most recent forecasted data, the Company revised its estimate of the remaining useful life of the Cardiolite trademark from eleven to five years, which increased the amortization expense by $3.5 million during the year ended December 31, 2012. The Company monitors the recoverability of its branded Cardiolite trademark intangible asset due to the ongoing generic competition based on actual results and existing estimates of future undiscounted cash flows associated with the branded Cardiolite product. As of December 31, 2013, the Company conducted, using its revised sales forecast, an impairment analysis and concluded that the estimate of future undiscounted cash flows associated with the Cardiolite trademark intangible did not exceed the carrying amount of the asset totaling $19.2 million and therefore, the asset has been written down to its fair value. Fair value was calculated by utilizing Level 3 inputs in the relief-from-royalty method, an income-based approach. As a result of this analysis, the Company recorded an impairment charge of $15.4 million to adjust the carrying value to its fair value of $3.8 million. This expense was recorded within cost of goods sold in the accompanying consolidated statement of comprehensive loss in the fourth quarter of 2013. | ||||||||||||
In the third quarter of 2013, the Company was in negotiations with a new distributor for the sale of certain products within certain international markets. This agreement was signed in October 2013 and as a result the Company did not renew the agreements with its former distributors in these international markets. The Company determined the customer relationship intangible related to these former distributors was no longer recoverable and recorded an impairment charge of $1.0 million in the third quarter of 2013. In the fourth quarter of 2013, the Company updated its strategic plan to reflect the non-renewal of these agreements and the uncertainty in the timing of product availability in this region. As a result, the Company reviewed the recoverability of certain of its customer relationship intangible assets in the International segment that were impacted by the revised strategic plan. The Company conducted an impairment analysis and concluded that the estimate of future undiscounted cash flows associated with the acquired customer relationships did not exceed the carrying amount of the asset and therefore, the asset would need to be written down to its fair value. In order to calculate the fair value of the acquired customer relationship intangible assets, the Company utilized Level 3 inputs to estimate the future discounted cash flows associated with remaining customers and as a result of this analysis, recorded an impairment charge of $0.7 million in the fourth quarter of 2013. These impairment charges were recorded within cost of goods sold in the accompanying consolidated statement of comprehensive loss. | ||||||||||||
The Company recorded amortization expense for its intangible assets of $14.4 million, $16.1 million and $18.5 million for the years ended December 31, 2013, 2012 and 2011, respectively. | ||||||||||||
Expected future amortization expense related to the intangible assets is as follows (in thousands): | ||||||||||||
Years ended December 31, | ||||||||||||
2014 | $ | 7,629 | ||||||||||
2015 | 6,036 | |||||||||||
2016 | 5,349 | |||||||||||
2017 | 3,530 | |||||||||||
2018 | 2,799 | |||||||||||
2019 and thereafter | 9,655 | |||||||||||
| | | | | ||||||||
$ | 34,998 | |||||||||||
| | | | | ||||||||
| | | | | ||||||||
Changes in the gross carrying amount of intangible assets for the year ended December 31, 2013 were as follows (in thousands): | ||||||||||||
(in thousands) | ||||||||||||
Balance at December 31, 2012 | $ | 210,170 | ||||||||||
Asset impairment charges | (46,592 | ) | ||||||||||
Effect of currency translation | (960 | ) | ||||||||||
| | | | | ||||||||
Balance at December 31, 2013 | $ | 162,618 | ||||||||||
| | | | | ||||||||
| | | | | ||||||||
Accrued_Expenses_and_Other_Lia
Accrued Expenses and Other Liabilities | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Accrued Expenses and Other Liabilities | ' | |||||||
Accrued Expenses and Other Liabilities | ' | |||||||
9. Accrued Expenses and Other Liabilities | ||||||||
Accrued expenses are comprised of the following at December 31: | ||||||||
(in thousands) | 2013 | 2012 | ||||||
Compensation and benefits | $ | 10,209 | $ | 5,351 | ||||
Accrued interest | 4,989 | 5,040 | ||||||
Accrued professional fees | 1,361 | 1,628 | ||||||
Research and development services | 338 | 3,205 | ||||||
Freight, distribution and operations | 3,432 | 3,633 | ||||||
Accrued loss on firm purchase commitment | 1,315 | 7,469 | ||||||
Marketing expense | 749 | 1,168 | ||||||
Accrued rebates, discounts and chargebacks | 1,739 | 1,542 | ||||||
Other | 1,360 | 653 | ||||||
| | | | | | | | |
$ | 25,492 | $ | 29,689 | |||||
| | | | | | | | |
| | | | | | | | |
As of December 31, 2013 and 2012, the Company had accrued a contract loss of $1.3 million and $7.5 million, respectively, associated with the portion of the committed purchases of Ablavar product from the Company's supplier that the Company did not believe it would sell prior to expiry and was included in accrued expenses. | ||||||||
During March 2013, the Company took actions to reduce its workforce, which resulted in a $2.7 million charge to the consolidated statement of comprehensive loss for severance expense during the first quarter of 2013. At December 31, 2013, $0.6 million associated with these actions is included in accrued expenses. | ||||||||
Financing_Arrangements
Financing Arrangements | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Financing Arrangements | ' | ||||
Financing Arrangements | ' | ||||
10. Financing Arrangements | |||||
On March 21, 2011, LMI issued $150.0 million of New Restricted Notes. The New Restricted Notes were issued at a price of 101.50% and were issued as additional debt securities under the Indenture pursuant to which LMI previously issued $250.0 million in aggregate principal amount of 9.750% Senior Notes due 2017. The New Restricted Notes were issued with the same terms and conditions as the Senior Notes, except that the New Restricted Notes were subject to a separate registration rights agreement. The New Notes and the Senior Notes, or together, the Notes, vote as one class under the Indenture. As a result of the issuance of the New Restricted Notes, LMI has $400.0 million in aggregate principal amount of Notes outstanding. The Notes bear interest at a rate of 9.750% per year, payable on May 15 and November 15 of each year, beginning May 15, 2011 with respect to the New Restricted Notes. Interest on the Senior Notes accrued from November 15, 2010. The Notes mature on May 15, 2017. The net proceeds of the Senior Notes were used to repay $77.9 million due under LMI's then outstanding credit agreement and to pay a $163.8 million dividend to Holdings to repay a $75.0 million demand note it issued and for Holdings to repurchase $90.0 million of its Series A Preferred Stock at the accreted value. The net proceeds of the New Restricted Notes were used to pay a $150.0 million dividend to Holdings, which it used to fully redeem the balance of its Series A Preferred Stock at the accreted value of $44.0 million and to pay a $106.0 million dividend to the holders of its common securities and stock options. In conjunction with the issuance of the New Restricted Notes, LMI also made a cash payment of $3.75 million to the Holders of the Senior Notes in exchange for the Holders of the Senior Notes consent to amend the Indenture to modify the restricted payments covenant to provide for additional restricted payment capacity in order to accommodate the dividend payment. The premium of $2.25 million and the consent fee of $3.75 million were capitalized and are being amortized over the term of the Notes as an adjustment to interest expense. All of the Notes have been registered with the Securities and Exchange Commission. | |||||
Redemption | |||||
LMI can redeem the Notes at 100% of the principal amount on May 15, 2016 or thereafter. LMI may also redeem the Notes prior to May 15, 2016 depending on the timing of the redemption during the twelve-month period beginning May 15 of each of the years indicated below: | |||||
Year | Percentage | ||||
2014 | 104.875 | % | |||
2015 | 102.438 | % | |||
2016 | 100 | % | |||
At any time prior to May 15, 2014, LMI may also redeem all or any part of the Notes, with notice, at a redemption price equal to 100% of the principal amount thereof of the Notes redeemed plus the applicable premium (as defined in the Indenture) as of, and accrued and unpaid interest and additional interest (as defined in the Indenture), if any, to, but not including, the redemption date, subject to the rights of holders of record on the relevant record date to receive interest due on the relevant interest payment date. | |||||
Upon a change of control (as defined in the Indenture), LMI will be required to make an offer to purchase each holder's Note at a price of 101% of the principal amount thereof, plus accrued and unpaid interest, if any, to the date of purchase. | |||||
If LMI or its subsidiaries engage in asset sales (as defined in the Indenture), they generally must either invest the net cash proceeds from such sales in such business within a specified period of time, prepay certain indebtedness or make an offer to purchase a principal amount of the Notes equal to the excess net cash proceeds (as defined in the Indenture), subject to certain exceptions. | |||||
The Notes are unsecured and are equal in right of payment to all of the existing and future senior debt, including borrowings under its secured credit facilities, subject to the security interest thereof. LMI's obligations under the Notes are fully and unconditionally guaranteed, jointly and severally, on an unsecured senior basis by Lantheus Intermediate and by one of LMI's subsidiaries, and the obligations of such guarantors under their guarantees are equal in right of payment to all of their existing and future senior debt. | |||||
Revolving Line of Credit | |||||
As of December 31, 2012, LMI had outstanding the Old Facility with an aggregate principal amount not to exceed $42.5 million and an interest rate of LIBOR plus 3.75% or the Reference Rate (as defined in the agreement) plus 2.75%. The Old Facility also contained an unused line of credit fee of 0.75%, which was payable quarterly. At December 31, 2012, there was no outstanding balance under the Old Facility, other than the $8.8 million unfunded Standby Letter of Credit, and the aggregate borrowing capacity was $33.7 million. On July 3, 2013, LMI, Lantheus Intermediate and Lantheus Real Estate entered into the New Facility which replaced the Old Facility. | |||||
As of December 31, 2013, LMI has a New Facility with an aggregate principal amount not to exceed $42.5 million. The revolving loans under the New Facility bear interest subject to a pricing grid based on average historical excess availability under the New Facility, with pricing based from time to time at the election of the Company at (i) LIBOR plus a spread ranging from 2.00% to 2.50% or (ii) the Reference Rate (as defined in the agreement) plus a spread ranging from 1.00% to 1.50%. The New Facility also includes an unused line fee of 0.375% or 0.5%, depending on the average unused revolving credit commitments. The New Facility expires on the earlier of (i) July 3, 2018 or (ii) if the outstanding Notes are not refinanced in full, the date that is 91 days before the maturity thereof, at which time all outstanding borrowings are due and payable. | |||||
On February 3, 2012, the Company entered into an unfunded Standby Letter of Credit for up to $4.4 million. On April 11, 2012, the unfunded Standby Letter of Credit was increased to $8.8 million. On August 6, 2013, the Company transferred the $8.8 million unfunded Standby Letter of Credit, which expired on February 3, 2014, to a new lender. The unfunded Standby Letter of Credit requires annual fees, payable quarterly, between 2.00% and 2.50% of the face amount, and expires on February 5, 2015, which will automatically renew for a one year period at each anniversary date, unless the Company elects not to renew in writing within 60 days prior to such expiration. | |||||
Covenants | |||||
The New Facility is secured by a pledge of substantially all of the assets of each of the Company, LMI and Lantheus Real Estate, including each entity's accounts receivable, inventory and machinery and equipment, and is guaranteed by each of Lantheus Intermediate and Lantheus Real Estate. Borrowing capacity is determined by reference to a borrowing base, which is based on (i) a percentage of certain eligible accounts receivable, inventory and machinery and equipment minus (ii) any reserves. As of December 31, 2013, the aggregate borrowing base was approximately $42.5 million, which was reduced by (i) an outstanding $8.8 million unfunded Standby Letter of Credit and (ii) an $8.0 million outstanding loan balance, resulting in a net borrowing base availability of approximately $25.7 million. | |||||
The New Facility contains affirmative and negative covenants, as well as restrictions on the ability of the Company and its subsidiaries to: (i) incur additional indebtedness or issue preferred stock; (ii) repay subordinated indebtedness prior to its stated maturity; (iii) pay dividends on, repurchase or make distributions in respect of capital stock or make other restricted payments; (iv) make certain investments; (v) sell certain assets; (vi) create liens; (vii) consolidate, merge, sell or otherwise dispose of all or substantially all of its assets; and (viii) enter into certain transactions with its affiliates. The New Facility also contains customary default provisions as well as cash dominion provisions which allow the lender to sweep its accounts during the period certain specified events of default are continuing under the New Facility or excess availability under the New Facility falls below (i) the greater of $5.0 million or 15% of the then-current borrowing base for a period of more than five consecutive Business Days or (ii) $3.5 million. During a cash dominion period, the Company is required to comply with a consolidated fixed charge coverage ratio of not less than 1:00:1:00. The fixed charge coverage ratio is calculated on a consolidated basis for Lantheus Intermediate and its subsidiaries for a trailing four fiscal quarter period basis, as (i) EBITDA minus capital expenditures minus certain restricted payments divided by (ii) interest plus taxes paid or payable in cash plus certain restricted payments made in cash plus scheduled principal payments paid or payable in cash. | |||||
Financing Costs | |||||
LMI incurred and capitalized approximately $15.6 million in direct financing fees including $5.2 million associated with the New Restricted Notes issued in March 2011, consisting primarily of underwriting fees and expenses, consent solicitation fee, legal fees, accounting fees and printing costs in connection with the issuance of the New Restricted Notes, the Existing Notes and the Old Facility. Deferred financing costs are being amortized over the life of the Notes, as appropriate, using the effective interest method and are included in interest expense in the accompanying consolidated statements of comprehensive loss. | |||||
During the years ended December 31, 2013 and 2012, LMI incurred approximately $0.1 million and $0.4 million, respectively, in fees and expenses associated with amendments under the Old Facility. These fees were being amortized over the remaining life of the Old Facility using the straight-line method and was included in interest expense in the accompanying consolidated statements of comprehensive loss. During the year ended December 31, 2013, the Company wrote off $0.6 million of the existing unamortized deferred financing costs related to the Old Facility, which is included in interest expense in the accompanying consolidated statements of comprehensive loss. | |||||
In connection with the New Facility, LMI incurred approximately $1.1 million in fees and expenses, which are being amortized on a straight-line basis over the term of the New Facility. | |||||
Stockholders_Equity
Stockholder's Equity | 12 Months Ended |
Dec. 31, 2013 | |
Stockholder's Equity | ' |
Stockholder's Equity | ' |
11. Stockholder's Equity | |
As of December 31, 2013 and 2012, the authorized capital stock of the Company consisted of 10,000 shares of voting common stock with a par value of $0.001 per share and 1 share outstanding. | |
StockBased_Compensation
Stock-Based Compensation | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Stock-Based Compensation | ' | |||||||||||||||||||
Stock-Based Compensation | ' | |||||||||||||||||||
12. Stock-Based Compensation | ||||||||||||||||||||
The Company's employees are eligible to receive awards under the Holdings 2013 Equity Incentive Plan (the "2013 Plan"). The 2013 Plan is administered by the Holdings Board of Directors and permits the granting of nonqualified stock options, stock appreciation rights (or SARs), restricted stock and restricted stock units to employees, officers, directors and consultants of Holdings or any subsidiary of Holdings (including Lantheus Intermediate and LMI). On August 5, 2013, the Holdings Board of Directors adopted a resolution providing that no further grants be made under the Holdings 2008 Equity Incentive Plan (the "2008 Plan"). At the same time, the maximum number of shares that may be issued pursuant to awards under the 2013 Plan was increased from 1,500,000 to 2,700,000. Option awards under the 2013 Plan are granted with an exercise price equal to the fair value of Holdings' stock at the date of grant, as determined by the Board of Directors of Holdings. Time based option awards vest based on time, either four or five years, and performance based option awards vest based on the performance criteria specified in the grant. All option awards have a ten-year contractual term. The Company recognizes compensation costs for its time based awards on a straight-line basis equal to the vesting period. The compensation cost for performance based awards is recognized on a graded vesting basis, based on the probability of achieving the performance targets over the requisite service period for the entire award. The fair value of each option award is estimated on the date of grant using a Black-Scholes valuation model that uses the assumptions noted in the following table. Expected volatilities are based on the historic volatility of a selected peer group. Expected dividends represent the dividends expected to be issued at the date of grant. The expected term of options represents the period of time that options granted are expected to be outstanding. The risk-free interest rate assumption is the U.S. Treasury rate at the date of the grant which most closely resembles the expected life of the options. | ||||||||||||||||||||
The Company uses the following Black-Scholes inputs to determine the fair value of new stock option grants. | ||||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Expected volatility | 30 - 37% | 36 - 41% | 33 - 40% | |||||||||||||||||
Expected dividends | — | — | — | |||||||||||||||||
Expected life (in years) | 3.6 - 6.3 | 5.5 - 6.5 | 6.5 | |||||||||||||||||
Risk-free interest rate | 0.5 - 1.7% | 0.7 - 1.4% | 1.9 - 2.9% | |||||||||||||||||
A summary of option activity for 2013 is presented below: | ||||||||||||||||||||
Time Based | Performance | Total | Weighted | Weighted | Aggregate | |||||||||||||||
Based | Shares | Average | Average | Intrinsic | ||||||||||||||||
Exercise | Remaining | Value | ||||||||||||||||||
Price | Contractual | |||||||||||||||||||
Term | ||||||||||||||||||||
Outstanding at January 1, 2013 | 2,326,350 | 1,002,948 | 3,329,298 | $ | 3.11 | 5.6 | $ | 15,336,000 | ||||||||||||
Options granted | 1,348,177 | 600,000 | 1,948,177 | 6.77 | ||||||||||||||||
Options cancelled | (228,925 | ) | (260,980 | ) | (489,905 | ) | 2.33 | |||||||||||||
Options exercised | (583,750 | ) | (47,768 | ) | (631,518 | ) | 2 | |||||||||||||
Options forfeited and expired | (100,815 | ) | (196,775 | ) | (297,590 | ) | 7.66 | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Outstanding at December 31, 2013 | 2,761,037 | 1,097,425 | 3,858,462 | $ | 4.89 | 6.9 | $ | 67,770,000 | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Vested and expected to vest at December 31, 2013 | 2,675,020 | 722,055 | 3,397,075 | $ | 4.63 | 6.6 | $ | 67,770,000 | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Exercisable at December 31, 2013 | 1,491,401 | 506,705 | 1,998,106 | $ | 2.9 | 4.7 | $ | 67,770,000 | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
The weighted average grant-date fair value of options granted during the years ended December 31, 2013, 2012 and 2011 was $2.45, $3.29 and $4.05, respectively. During the years ended December 31, 2013, 2012 and 2011, 349,605, 710,139 and 362,300 options vested, respectively, with an aggregate fair value of approximately $1.0 million, $1.0 million and $0.4 million, respectively. | ||||||||||||||||||||
During the years ended December 31, 2013, 2012 and 2011, 631,518, 21,220 and 14,650 stock options, respectively, were exercised on a cashless basis for which 459,171, 9,085 and 4,629 shares of common stock, respectively, were issued. | ||||||||||||||||||||
Stock-based compensation expense (income) for both time based and performance based awards was recognized in the consolidated statements of comprehensive loss as follows: | ||||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||||
Cost of goods sold | $ | 41 | $ | 79 | $ | 2 | ||||||||||||||
General and administrative | 429 | 982 | 58 | |||||||||||||||||
Sales and marketing | 93 | 111 | (1,064 | ) | ||||||||||||||||
Research and development | 15 | 68 | 35 | |||||||||||||||||
| | | | | | | | | | | ||||||||||
Total stock-based compensation expense (income) | $ | 578 | $ | 1,240 | $ | (969 | ) | |||||||||||||
| | | | | | | | | | | ||||||||||
| | | | | | | | | | | ||||||||||
Stock-based compensation expense (income) recognized in the consolidated statement of comprehensive loss for the years ended December 31, 2013, 2012, and 2011 are based on awards ultimately expected to vest as well as any changes in the probability of achieving certain performance features as required. | ||||||||||||||||||||
During the year ended December 31, 2012, the Company recognized approximately $0.6 million of stock-based compensation expense associated with the modification of three option agreements, two of which were effectuated in the first quarter of 2012 and one of which was effectuated in the third quarter of 2012. The modification of these awards affected the vesting terms of the awards, allowing vesting to continue beyond the last day of employment, so long as the option holders, whom are no longer employees, continue to provide services to the Company or Avista Capital Partners, the majority stockholder of the Company's ultimate parent, as applicable. The Company remeasured the fair value of these options at each reporting period until the services were completed. | ||||||||||||||||||||
The Company used the following Black-Scholes inputs to determine the fair value of stock options that were modified during the quarters ended March 31, 2012 and September 30, 2012. | ||||||||||||||||||||
Three Months | Three Months | |||||||||||||||||||
Ended | Ended | |||||||||||||||||||
March 31, 2012 | September 30, | |||||||||||||||||||
2012 | ||||||||||||||||||||
Expected volatility | 30 - 36% | 31 | % | |||||||||||||||||
Expected dividends | — | — | ||||||||||||||||||
Expected term (in years) | 0.3 - 3.5 | 3.3 | ||||||||||||||||||
Risk-free interest rate | 0.3 - 0.8% | 0.3 | % | |||||||||||||||||
The Company used the following Black-Scholes inputs to remeasure the fair value of stock options that were modified during 2012 as of December 31, 2012. No remeasurement was required during 2013 since the consulting services had been completed. | ||||||||||||||||||||
Year Ended | ||||||||||||||||||||
December 31, | ||||||||||||||||||||
2012 | ||||||||||||||||||||
Expected volatility | 30 | % | ||||||||||||||||||
Expected dividends | — | |||||||||||||||||||
Expected term (in years) | 2.5 | |||||||||||||||||||
Risk-free interest rate | 0.3 | % | ||||||||||||||||||
Upon termination of employment, Holdings has the right to call shares held by employees that were purchased or acquired through option exercise. As a result of this right, upon termination of service, vested stock-based awards are reclassified to liability-based awards when it is probable the employee will exercise the option and Holdings will exercise its call right. The Company did not reclassify any equity awards to liability-based awards as of December 31, 2013 and 2012, since the Company concluded it was not probable that Holdings would exercise its call right. There were no liability awards paid out during the years ended December 31, 2013, 2012 and 2011. The Company recorded a benefit of approximately $1.0 million in the three-month period ended March 31, 2011 related to 2010 liability awards which expired during the period. | ||||||||||||||||||||
The Company did not recognize an income tax benefit for the years ended December 31, 2013, 2012 and 2011. As of December 31, 2013, there was approximately $3.0 million of total unrecognized compensation costs related to non-vested stock options granted under the 2013 and 2008 Plans. These costs are expected to be recognized over a weighted-average remaining period of 1.7 years. In addition, performance based awards contain certain contingent features, such as change in control provisions, which allow for the vesting of previously forfeited and unvested awards. As of December 31, 2013, there was approximately $1.0 million of unrecognized compensation expense relating to these features, which could be recognized through 2018 or longer. | ||||||||||||||||||||
Other_Income_Expense_net
Other Income (Expense), net | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Other Income (Expense), net | ' | ||||||||||
Other Income (Expense), net | ' | ||||||||||
13. Other Income (Expense), net | |||||||||||
Other income, net consisted of the following: | |||||||||||
Years Ended December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Foreign currency (losses) | $ | (349 | ) | $ | (579 | ) | $ | (156 | ) | ||
Tax indemnification income | 1,141 | 346 | 1,380 | ||||||||
Other income | 369 | 189 | 205 | ||||||||
| | | | | | | | | | | |
Total other income (expense), net | $ | 1,161 | $ | (44 | ) | $ | 1,429 | ||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Commitments
Commitments | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Commitments | ' | ||||||||||
Commitments | ' | ||||||||||
14. Commitments | |||||||||||
The Company leases certain buildings, hardware and office space under operating leases. In addition, the Company has entered into purchasing arrangements in which minimum quantities of goods or services have been committed to be purchased on an annual basis. | |||||||||||
Minimum lease and purchase commitments under noncancelable arrangements are as follows (in thousands): | |||||||||||
Years ended December 31, | Operating | Other | Total | ||||||||
Leases | |||||||||||
2014 | $ | 898 | $ | 3,416 | $ | 4,314 | |||||
2015 | 535 | — | 535 | ||||||||
2016 | 345 | — | 345 | ||||||||
2017 | 267 | — | 267 | ||||||||
2018 | 200 | — | 200 | ||||||||
2019 and thereafter | 264 | — | 264 | ||||||||
| | | | | | | | | | | |
$ | 2,509 | $ | 3,416 | $ | 5,925 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Lease expense was $0.9 million, $1.0 million and $1.0 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||
The Company has an agreement with a supplier to provide API and finished products for Ablavar under which LMI is required to purchase future minimum quantities through September 30, 2014. Annual purchases under this supply agreement were $7.7 million, $1.7 million and $24.8 million for the years ended December 31, 2013, 2012 and 2011, respectively. At December 31, 2013, $1.7 million is included in accounts payable as unpaid purchases under this agreement and an additional $1.8 million of committed purchases remain. At December 31, 2012, there were no unpaid purchases under this agreement that were included in accounts payable and accrued expenses. As described in Note 9, "Accrued Expenses", the Company had accrued a contract loss of $1.3 million and $7.5 million at December 31, 2013 and 2012, respectively, associated with the portion of the committed purchases of Ablavar product under this agreement that the Company does not believe it would sell prior to expiry. | |||||||||||
The Company has entered into agreements which contain certain percentage volume purchase requirements. The Company has excluded these future purchase commitments from the table above since there are no minimum purchase commitments or payments under these agreements. | |||||||||||
401k_Plan
401(k) Plan | 12 Months Ended |
Dec. 31, 2013 | |
401(k) Plan | ' |
401(k) Plan | ' |
15. 401(k) Plan | |
The Company maintains a qualified 401(k) plan (the "401(k) Plan") for its U.S. employees. The 401(k) Plan covers U.S. employees who meet certain eligibility requirements. Under the terms of the 401(k) Plan, the employees may elect to make tax-deferred contributions through payroll deductions within statutory and plan limits, and the Company may elect to make non-elective discretionary contributions. During the year ended December 31, 2011, the Company matched employee contributions up to 4.5% of eligible compensation and did not contribute an additional non-elective discretionary match. Effective April 2012, the employer match was suspended and was subsequently reinstated in January 2013. The Company did not contribute any additional non-elective discretionary match during the years ended December 31, 2013 and 2012. The Company may also make optional contributions to the 401(k) Plan for any plan year at its discretion. Expense recognized by the Company for matching contributions related to the 401(k) Plan was $1.2 million, $0.4 million and $1.9 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |
Legal_Proceedings
Legal Proceedings | 12 Months Ended |
Dec. 31, 2013 | |
Legal Proceedings | ' |
Legal Proceedings | ' |
16. Legal Proceedings | |
From time to time, the Company is a party to various legal proceedings arising in the ordinary course of business. In addition, the Company has in the past been, and may in the future be, subject to investigations by governmental and regulatory authorities, which expose it to greater risks associated with litigation, regulatory or other proceedings, as a result of which the Company could be required to pay significant fines or penalties. The outcome of litigation, regulatory or other proceedings cannot be predicted with certainty, and some lawsuits, claims, actions or proceedings may be disposed of unfavorably to the Company. In addition, intellectual property disputes often have a risk of injunctive relief which, if imposed against the Company, could materially and adversely affect its financial condition or results of operations. As of December 31, 2013, the Company had no material ongoing litigation in which the Company was a defendant or any material ongoing regulatory or other proceedings and had no knowledge of any investigations by government or regulatory authorities in which the Company is a target that could have a material adverse effect on its current business. | |
On December 16, 2010, LMI filed suit against one of its insurance carriers seeking to recover business interruption losses associated with the NRU reactor shutdown and the ensuing global Moly supply shortage. The claim is the result of the shutdown of the NRU reactor in Chalk River, Ontario. The NRU reactor was off-line from May 2009 until August 2010 due to a "heavy water" leak in the reactor vessel. The defendant answered the complaint on January 21, 2011, denying substantially all of the allegations, presenting certain defenses and requesting dismissal of the case with costs and disbursements. Discovery has commenced and is continuing. The Company cannot be certain what amount, if any, or when, if ever, it will be able to recover for business interruption losses related to this matter. | |
Related_Party_Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2013 | |
Related Party Transactions | ' |
Related Party Transactions | ' |
17. Related Party Transactions | |
In the third quarter of 2012, LMI reclassified the then outstanding receivable from Holdings of $1.2 million to stockholder's deficit since Holdings did not and continues to not have assets sufficient to repay amounts due to LMI. At December 31, 2013 and 2012, LMI had outstanding receivables from Holdings in the amount of $1.3 million and $1.4 million, respectively, which was included in due from parent within stockholder's deficit. | |
Avista, the majority shareholder of LMI Holdings, provides certain advisory services to the Company pursuant to an advisory services and monitoring agreement. The Company is required to pay an annual fee of $1.0 million and other reasonable and customary advisory fees, as applicable, paid on a quarterly basis. The initial term of the agreement is seven years. Upon termination, all remaining amounts owed under the agreement shall become due immediately. The Company incurred costs associated with this agreement totaling $1.0 million for each of the years ended December 31, 2013, 2012 and 2011. At December 31, 2013 and 2012, $30,000 was included in accrued expenses. | |
In the third quarter of 2012, the Company entered into a Master Contract Research Organization Services Agreement with INC Research, LLC ("INC") to provide clinical development services in connection with the flurpiridaz F 18 Phase III program. Avista and certain of its affiliates are the principal owners of both INC and the Company. The agreement has a term of five years and the Company incurred costs associated with this agreement of approximately $0.5 million and $0.9 million during the years ended December 31, 2013 and 2012, respectively. At December 31, 2012, $0.5 million was included in accounts payable and accrued expenses. There was no balance outstanding at December 31, 2013. | |
The Company purchases inventory supplies from VWR Scientific ("VWR"). Avista and certain of its affiliates are principal owners of both VWR and the Company. The Company made purchases of approximately $0.3 million during each of the years ended December 31, 2013, 2012 and 2011. At December 31, 2013 and 2012, $1,000 and $19,000, respectively, was included in accounts payable. | |
At December 31, 2013 and 2012, the Company had $0.1 million due from an officer of the Company included in accounts receivable, net. These amounts represent federal and state tax withholdings paid by the Company on behalf of the officer. | |
Segment_Information
Segment Information | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Segment Information | ' | ||||||||||
Segment Information | ' | ||||||||||
18. Segment Information | |||||||||||
The Company reports two operating segments, U.S. and International, based on geographic customer base. The results of these operating segments are regularly reviewed by our chief operating decision maker, the President and Chief Executive Officer. The Company's segments derive revenues through the manufacturing, marketing, selling and distribution of medical imaging products, focused primarily on cardiovascular diagnostic imaging. The U.S. segment comprises 75.3%, 72.9% and 75.3% of consolidated revenues in 2013, 2012 and 2011, respectively, and 89.8% and 86.7% of consolidated assets at December 31, 2013 and 2012, respectively. All goodwill has been allocated to the U.S. operating segment. | |||||||||||
Included in Cardiolite revenues are branded Cardiolite and generic sestamibi revenues, some of which is produced by the Company and some of which is procured from time to time from third parties. Reflected in the 2011 table below, is the reclassification of $0.8 million of generic sestamibi revenues from "Other" revenues to "Cardiolite" revenues to conform with the current period presentation. | |||||||||||
Selected information for each business segment are as follows (in thousands): | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Revenues | |||||||||||
U.S. | $ | 234,567 | $ | 229,926 | $ | 291,344 | |||||
International | 70,033 | 78,094 | 87,927 | ||||||||
| | | | | | | | | | | |
Total revenue, including inter-segment | 304,600 | 308,020 | 379,271 | ||||||||
Inter-segment revenue | (20,928 | ) | (19,915 | ) | (22,979 | ) | |||||
| | | | | | | | | | | |
$ | 283,672 | $ | 288,105 | $ | 356,292 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Revenues from external customers | |||||||||||
U.S. | $ | 213,639 | $ | 210,011 | $ | 268,365 | |||||
International | 70,033 | 78,094 | 87,927 | ||||||||
| | | | | | | | | | | |
$ | 283,672 | $ | 288,105 | $ | 356,292 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Revenues by product | |||||||||||
DEFINITY | $ | 78,094 | $ | 51,431 | $ | 68,503 | |||||
TechneLite | 92,195 | 114,249 | 131,241 | ||||||||
Cardiolite | 26,137 | 34,995 | 66,127 | ||||||||
Xenon | 32,125 | 30,075 | 26,761 | ||||||||
Other | 55,121 | 57,355 | 63,660 | ||||||||
| | | | | | | | | | | |
$ | 283,672 | $ | 288,105 | $ | 356,292 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Geographical revenue | |||||||||||
U.S. | $ | 213,639 | $ | 210,011 | $ | 268,365 | |||||
Canada | 35,502 | 37,017 | 42,366 | ||||||||
All other | 34,531 | 41,077 | 45,561 | ||||||||
| | | | | | | | | | | |
$ | 283,672 | $ | 288,105 | $ | 356,292 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Operating income/(loss) | |||||||||||
U.S. | $ | (18,904 | ) | $ | (11,104 | ) | $ | (25,881 | ) | ||
International | 703 | 9,820 | 12,767 | ||||||||
| | | | | | | | | | | |
Total operating loss, including inter-segment | (18,201 | ) | (1,284 | ) | (13,114 | ) | |||||
Inter-segment operating income (loss) | (813 | ) | 534 | (3,361 | ) | ||||||
| | | | | | | | | | | |
Operating loss | (19,014 | ) | (750 | ) | (16,475 | ) | |||||
Interest expense | (42,915 | ) | (42,014 | ) | (37,658 | ) | |||||
Interest income | 104 | 252 | 333 | ||||||||
Other income (expense), net | 1,161 | (44 | ) | 1,429 | |||||||
| | | | | | | | | | | |
Loss before income taxes | $ | (60,664 | ) | $ | (42,556 | ) | $ | (52,371 | ) | ||
| | | | | | | | | | | |
| | | | | | | | | | | |
Depreciation and amortization | |||||||||||
U.S. | $ | 22,146 | $ | 23,918 | $ | 28,912 | |||||
International | 3,009 | 3,484 | 3,850 | ||||||||
| | | | | | | | | | | |
$ | 25,155 | $ | 27,402 | $ | 32,762 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Capital expenditures | |||||||||||
U.S. | $ | 4,903 | $ | 7,353 | $ | 7,100 | |||||
International | 107 | 567 | 594 | ||||||||
| | | | | | | | | | | |
$ | 5,010 | $ | 7,920 | $ | 7,694 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
2013 | 2012 | ||||||||||
Assets | |||||||||||
U.S. | $ | 232,973 | $ | 279,808 | |||||||
International | 26,412 | 43,118 | |||||||||
| | | | | | | | ||||
$ | 259,385 | $ | 322,926 | ||||||||
| | | | | | | | ||||
| | | | | | | | ||||
2013 | 2012 | ||||||||||
Long-lived assets | |||||||||||
U.S. | $ | 91,683 | $ | 101,773 | |||||||
International | 5,970 | 7,800 | |||||||||
| | | | | | | | ||||
$ | 97,653 | $ | 109,573 | ||||||||
| | | | | | | | ||||
| | | | | | | | ||||
Valuation_and_Qualifying_Accou
Valuation and Qualifying Accounts | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Valuation and Qualifying Accounts | ' | |||||||||||||
Valuation and Qualifying Accounts | ' | |||||||||||||
19. Valuation and Qualifying Accounts | ||||||||||||||
(in thousands) | Balance at | Charge to Costs | Deductions | Balance at End | ||||||||||
Beginning of | and | From | of Fiscal Year | |||||||||||
Fiscal Year | Expenses | Reserves | ||||||||||||
(Recovery of | ||||||||||||||
write-offs) | ||||||||||||||
Year ended December 31, 2013: | ||||||||||||||
Allowance for doubtful accounts | $ | 301 | $ | 63 | $ | (74 | ) | $ | 290 | |||||
Year ended December 31, 2012: | ||||||||||||||
Allowance for doubtful accounts | $ | 462 | $ | (117 | ) | $ | (44 | ) | $ | 301 | ||||
Year ended December 31, 2011: | ||||||||||||||
Allowance for doubtful accounts | $ | 796 | $ | 301 | $ | (635 | ) | $ | 462 | |||||
Amounts charged to deductions from reserves represent the write-off of uncollectible balances. | ||||||||||||||
Guarantor_Financial_Informatio
Guarantor Financial Information | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Guarantor Financial Information | ' | |||||||||||||||||||
Guarantor Financial Information | ' | |||||||||||||||||||
20. Guarantor Financial Information | ||||||||||||||||||||
The Notes, issued by LMI, are guaranteed by Lantheus Intermediate (the "Parent Guarantor") and Lantheus Real Estate, one of Lantheus Intermediate's wholly-owned consolidated subsidiaries (the "Guarantor Subsidiary"). The guarantees are full and unconditional and joint and several. The following supplemental financial information sets forth, on a condensed consolidating basis, balance sheet information as of December 31, 2013 and 2012, and comprehensive (loss) income and cash flow information for the years ended December 31, 2013, 2012 and 2011 for Lantheus Intermediate, LMI, the Guarantor Subsidiary and Lantheus Intermediate's other wholly-owned subsidiaries (the "Non-Guarantor Subsidiaries"). The supplemental financial information have been prepared on the same basis as the consolidated financial statements of Lantheus Intermediate. The equity method of accounting is followed within this financial information. | ||||||||||||||||||||
Consolidating Balance Sheet Information | ||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||
(in thousands) | Lantheus | LMI | Guarantor | Non- | Eliminations | Total | ||||||||||||||
Intermediate | Subsidiary | Guarantor | ||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Assets: | ||||||||||||||||||||
Current assets | ||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 11,995 | $ | — | $ | 4,674 | $ | — | $ | 16,669 | ||||||||
Accounts receivable, net | — | 28,099 | — | 10,811 | — | 38,910 | ||||||||||||||
Intercompany accounts receivable | — | 2,671 | — | — | (2,671 | ) | — | |||||||||||||
Inventory | — | 15,414 | — | 2,896 | — | 18,310 | ||||||||||||||
Income tax receivable | — | 297 | — | 28 | — | 325 | ||||||||||||||
Deferred tax assets | — | — | — | 18 | — | 18 | ||||||||||||||
Other current assets | — | 2,906 | — | 181 | — | 3,087 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total current assets | — | 61,382 | — | 18,608 | (2,671 | ) | 77,319 | |||||||||||||
Property, plant and equipment, net | — | 76,068 | 15,615 | 5,970 | — | 97,653 | ||||||||||||||
Capitalized software development costs, net | — | 1,468 | — | 2 | — | 1,470 | ||||||||||||||
Intangibles, net | — | 31,838 | — | 3,160 | — | 34,998 | ||||||||||||||
Goodwill | — | 15,714 | — | — | — | 15,714 | ||||||||||||||
Deferred financing costs | — | 9,639 | — | — | — | 9,639 | ||||||||||||||
Deferred tax assets | — | — | — | 15 | — | 15 | ||||||||||||||
Investment in subsidiaries | (237,088 | ) | 40,289 | — | — | 196,799 | — | |||||||||||||
Intercompany note receivable | — | — | — | 5,396 | (5,396 | ) | — | |||||||||||||
Other long-term assets | — | 22,370 | — | 207 | — | 22,577 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total assets | $ | (237,088 | ) | $ | 258,768 | $ | 15,615 | $ | 33,358 | $ | 188,732 | $ | 259,385 | |||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Liabilities and (deficit) equity: | ||||||||||||||||||||
Current liabilities | ||||||||||||||||||||
Line of Credit | $ | — | $ | 8,000 | $ | — | $ | — | $ | — | $ | 8,000 | ||||||||
Accounts payable | — | 16,672 | — | 1,431 | — | 18,103 | ||||||||||||||
Intercompany accounts payable | — | — | — | 2,671 | (2,671 | ) | — | |||||||||||||
Accrued expenses and other liabilities | — | 21,409 | — | 4,083 | — | 25,492 | ||||||||||||||
Deferred tax liability | — | — | — | 57 | — | 57 | ||||||||||||||
Deferred revenue | — | 3,979 | — | — | — | 3,979 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total current liabilities | — | 50,060 | — | 8,242 | (2,671 | ) | 55,631 | |||||||||||||
Asset retirement obligations | — | 6,212 | — | 173 | — | 6,385 | ||||||||||||||
Long-term debt, net | — | 399,037 | — | — | — | 399,037 | ||||||||||||||
Intercompany note payable | — | 5,396 | — | — | (5,396 | ) | — | |||||||||||||
Deferred tax liability | — | — | — | 12 | — | 12 | ||||||||||||||
Other long-term liabilities | — | 35,151 | — | 257 | — | 35,408 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total liabilities | — | 495,856 | — | 8,684 | (8,067 | ) | 496,473 | |||||||||||||
(Deficit) equity | (237,088 | ) | (237,088 | ) | 15,615 | 24,674 | 196,799 | (237,088 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total liabilities and (deficit) equity | $ | (237,088 | ) | $ | 258,768 | $ | 15,615 | $ | 33,358 | $ | 188,732 | $ | 259,385 | |||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Consolidating Balance Sheet Information | ||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||
(in thousands) | Lantheus | LMI | Guarantor | Non- | Eliminations | Total | ||||||||||||||
Intermediate | Subsidiary | Guarantor | ||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Assets: | ||||||||||||||||||||
Current assets | ||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 17,635 | $ | — | $ | 13,960 | $ | — | $ | 31,595 | ||||||||
Accounts receivable, net | — | 30,218 | — | 11,162 | — | 41,380 | ||||||||||||||
Intercompany accounts receivable | — | 1,992 | — | — | (1,992 | ) | — | |||||||||||||
Inventory | — | 15,417 | — | 2,631 | — | 18,048 | ||||||||||||||
Income tax receivable | — | 291 | — | 445 | — | 736 | ||||||||||||||
Deferred tax assets | — | — | — | 115 | — | 115 | ||||||||||||||
Other current assets | — | 2,596 | — | 347 | — | 2,943 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total current assets | — | 68,149 | — | 28,660 | (1,992 | ) | 94,817 | |||||||||||||
Property, plant and equipment, net | — | 78,578 | 23,195 | 7,800 | — | 109,573 | ||||||||||||||
Capitalized software development costs, net | — | 2,230 | — | 4 | — | 2,234 | ||||||||||||||
Intangibles, net | — | 60,370 | — | 6,432 | — | 66,802 | ||||||||||||||
Goodwill | — | 15,714 | — | — | — | 15,714 | ||||||||||||||
Deferred financing costs | — | 11,372 | — | — | — | 11,372 | ||||||||||||||
Investment in subsidiaries | (174,353 | ) | 58,166 | — | — | 116,187 | — | |||||||||||||
Other long-term assets | — | 22,192 | — | 222 | — | 22,414 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total assets | $ | (174,353 | ) | $ | 316,771 | $ | 23,195 | $ | 43,118 | $ | 114,195 | $ | 322,926 | |||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Liabilities and (deficit) equity: | ||||||||||||||||||||
Current liabilities | ||||||||||||||||||||
Accounts payable | $ | — | $ | 16,835 | $ | — | $ | 2,110 | $ | — | $ | 18,945 | ||||||||
Intercompany accounts payable | — | — | — | 1,992 | (1,992 | ) | — | |||||||||||||
Accrued expenses | — | 26,592 | — | 3,097 | — | 29,689 | ||||||||||||||
Deferred revenue | — | 7,229 | — | 91 | — | 7,320 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total current liabilities | — | 50,656 | — | 7,290 | (1,992 | ) | 55,954 | |||||||||||||
Asset retirement obligations | — | 5,268 | — | 148 | — | 5,416 | ||||||||||||||
Long-term debt, net | — | 398,822 | — | — | — | 398,822 | ||||||||||||||
Deferred tax liability | — | — | — | 435 | — | 435 | ||||||||||||||
Other long-term liabilities | — | 36,378 | — | 274 | — | 36,652 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total liabilities | — | 491,124 | — | 8,147 | (1,992 | ) | 497,279 | |||||||||||||
(Deficit) equity | (174,353 | ) | (174,353 | ) | 23,195 | 34,971 | 116,187 | (174,353 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total liabilities and (deficit) equity | $ | (174,353 | ) | $ | 316,771 | $ | 23,195 | $ | 43,118 | $ | 114,195 | $ | 322,926 | |||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Consolidating Comprehensive Loss Information | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(in thousands) | Lantheus | LMI | Guarantor | Non- | Eliminations | Total | ||||||||||||||
Intermediate | Subsidiary | Guarantor | ||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Revenues | ||||||||||||||||||||
Net product revenues | $ | — | $ | 231,216 | $ | — | $ | 61,521 | $ | (20,928 | ) | $ | 271,809 | |||||||
License and other revenues | — | 11,863 | — | — | — | 11,863 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total revenues | — | 243,079 | — | 61,521 | (20,928 | ) | 283,672 | |||||||||||||
Cost of goods sold | — | 169,334 | — | 57,905 | (20,928 | ) | 206,311 | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Gross profit | — | 73,745 | — | 3,616 | — | 77,361 | ||||||||||||||
Operating expenses | ||||||||||||||||||||
General and administrative expenses | — | 30,785 | 80 | 2,294 | — | 33,159 | ||||||||||||||
Sales and marketing expenses | — | 31,668 | — | 3,559 | — | 35,227 | ||||||||||||||
Research and development expenses | — | 30,138 | — | 321 | — | 30,459 | ||||||||||||||
Proceeds from manufacturer | — | (8,876 | ) | — | — | — | (8,876 | ) | ||||||||||||
Impairment on land | — | — | 6,406 | — | — | 6,406 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Operating loss | — | (9,970 | ) | (6,486 | ) | (2,558 | ) | — | (19,014 | ) | ||||||||||
Interest expense | — | (43,011 | ) | — | — | 96 | (42,915 | ) | ||||||||||||
Interest income | — | 1 | — | 199 | (96 | ) | 104 | |||||||||||||
Other income (expense) | — | 1,373 | — | (212 | ) | — | 1,161 | |||||||||||||
Equity in earnings (losses) of affiliates | (61,678 | ) | (9,142 | ) | — | — | 70,820 | — | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
(Loss) income before income taxes | (61,678 | ) | (60,749 | ) | (6,486 | ) | (2,571 | ) | 70,820 | (60,664 | ) | |||||||||
Provision (benefit) for income taxes | — | 929 | — | 85 | — | 1,014 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Net (loss) income | (61,678 | ) | (61,678 | ) | (6,486 | ) | (2,656 | ) | 70,820 | (61,678 | ) | |||||||||
| | | | | | | | | | | | | | | | | | | | |
Foreign currency translation, net of taxes | — | — | — | (1,729 | ) | — | (1,729 | ) | ||||||||||||
Equity in other comprehensive income (loss) of subsidiaries | (1,729 | ) | (1,729 | ) | — | — | 3,458 | — | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total other comprehensive (loss) income | $ | (63,407 | ) | $ | (63,407 | ) | $ | (6,486 | ) | $ | (4,385 | ) | $ | 74,278 | $ | (63,407 | ) | |||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Consolidating Comprehensive Loss Information | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(in thousands) | Lantheus | LMI | Guarantor | Non- | Eliminations | Total | ||||||||||||||
Intermediate | Subsidiary | Guarantor | ||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Revenues | ||||||||||||||||||||
Net product revenues | $ | — | $ | 230,655 | $ | — | $ | 66,614 | $ | (19,915 | ) | $ | 277,354 | |||||||
License and other revenues | — | 10,751 | — | — | — | 10,751 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total revenues | — | 241,406 | — | 66,614 | (19,915 | ) | 288,105 | |||||||||||||
Cost of goods sold | — | 171,257 | — | 59,707 | (19,915 | ) | 211,049 | |||||||||||||
Loss on firm purchase commitment | — | 1,859 | — | — | — | 1,859 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total cost of goods sold | — | 173,116 | — | 59,707 | (19,915 | ) | 212,908 | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Gross profit | — | 68,290 | — | 6,907 | — | 75,197 | ||||||||||||||
Operating expenses | ||||||||||||||||||||
General and administrative expenses | — | 30,112 | 80 | 2,328 | — | 32,520 | ||||||||||||||
Sales and marketing expenses | — | 34,220 | — | 3,217 | — | 37,437 | ||||||||||||||
Research and development expenses | — | 40,457 | — | 147 | — | 40,604 | ||||||||||||||
Proceeds from manufacturer | — | (34,614 | ) | — | — | — | (34,614 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Operating income (loss) | — | (1,885 | ) | (80 | ) | 1,215 | — | (750 | ) | |||||||||||
Interest expense | — | (42,014 | ) | — | — | — | (42,014 | ) | ||||||||||||
Interest income | — | 1 | — | 251 | — | 252 | ||||||||||||||
Other income (expense) | — | 110 | — | (154 | ) | — | (44 | ) | ||||||||||||
Equity in earnings (losses) of affiliates | (42,001 | ) | 1,242 | — | — | 40,759 | — | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
(Loss) income before income taxes | (42,001 | ) | (42,546 | ) | (80 | ) | 1,312 | 40,759 | (42,556 | ) | ||||||||||
Provision (benefit) for income taxes | — | (545 | ) | — | (10 | ) | — | (555 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Net (loss) income | (42,001 | ) | (42,001 | ) | (80 | ) | 1,322 | 40,759 | (42,001 | ) | ||||||||||
| | | | | | | | | | | | | | | | | | | | |
Foreign currency translation, net of taxes | — | 200 | — | 764 | — | 964 | ||||||||||||||
Equity in other comprehensive income (loss) of subsidiaries | 964 | 764 | — | — | (1,728 | ) | — | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total other comprehensive (loss) income | $ | (41,037 | ) | $ | (41,037 | ) | $ | (80 | ) | $ | 2,086 | $ | 39,031 | $ | (41,037 | ) | ||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Consolidating Comprehensive Loss Information | ||||||||||||||||||||
Year Ended December 31, 2011 | ||||||||||||||||||||
(in thousands) | Lantheus | LMI | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||
Intermediate | Subsidiary | Subsidiaries | ||||||||||||||||||
Revenues | ||||||||||||||||||||
Net product revenues | $ | — | $ | 293,775 | $ | — | $ | 74,966 | $ | (22,979 | ) | $ | 345,762 | |||||||
License and other revenues | — | 10,530 | — | — | — | 10,530 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total revenues | — | 304,305 | — | 74,966 | (22,979 | ) | 356,292 | |||||||||||||
Cost of goods sold | — | 213,121 | — | 65,324 | (22,979 | ) | 255,466 | |||||||||||||
Loss on firm purchase commitment | — | 5,610 | — | — | — | 5,610 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total cost of goods sold | — | 218,731 | — | 65,324 | (22,979 | ) | 261,076 | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Gross profit | — | 85,574 | — | 9,642 | — | 95,216 | ||||||||||||||
Operating expenses | ||||||||||||||||||||
General and administrative expenses | — | 29,335 | 80 | 2,642 | — | 32,057 | ||||||||||||||
Sales and marketing expenses | — | 34,665 | — | 4,024 | — | 38,689 | ||||||||||||||
Research and development expenses | — | 40,387 | — | 558 | — | 40,945 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Operating income (loss) | — | (18,813 | ) | (80 | ) | 2,418 | — | (16,475 | ) | |||||||||||
Interest expense | — | (37,658 | ) | — | — | — | (37,658 | ) | ||||||||||||
Interest income | — | 1 | — | 332 | — | 333 | ||||||||||||||
Other income (expense) | — | 1,573 | — | (144 | ) | — | 1,429 | |||||||||||||
Equity in earnings (losses) of affiliates | (136,469 | ) | 3,288 | — | — | 133,181 | — | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
(Loss) income before income taxes | (136,469 | ) | (51,609 | ) | (80 | ) | 2,606 | 133,181 | (52,371 | ) | ||||||||||
Provision (benefit) for income taxes | — | 84,860 | (28 | ) | (734 | ) | — | 84,098 | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Net (loss) income | (136,469 | ) | (136,469 | ) | (52 | ) | 3,340 | 133,181 | (136,469 | ) | ||||||||||
| | | | | | | | | | | | | | | | | | | | |
Foreign currency translation | — | — | — | (104 | ) | — | (104 | ) | ||||||||||||
Income tax expense related to items of other comprehensive (loss) income | — | (233 | ) | — | — | — | (233 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total other comprehensive (loss) income | $ | (136,469 | ) | $ | (136,702 | ) | $ | (52 | ) | $ | 3,236 | $ | 133,181 | $ | (136,806 | ) | ||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Condensed Consolidating Cash Flow Information | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
Lantheus | LMI | Guarantor | Non-Guarantor | Eliminations | Total | |||||||||||||||
Intermediate | Subsidiary | Subsidiaries | ||||||||||||||||||
Cash provided by operating activities | $ | — | $ | (17,273 | ) | $ | — | $ | 3,333 | $ | (1,738 | ) | $ | (15,678 | ) | |||||
| | | | | | | | | | | | | | | | | | | | |
Cash flows from investing activities | ||||||||||||||||||||
Capital expenditures | — | (4,903 | ) | — | (107 | ) | — | (5,010 | ) | |||||||||||
Proceeds from dividend | — | 5,268 | — | — | (5,268 | ) | — | |||||||||||||
Proceeds from sale of property, plant and equipment | — | 433 | 1,094 | — | — | 1,527 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash provided by (used in) investing activities | — | 798 | 1,094 | (107 | ) | (5,268 | ) | (3,483 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash flows from financing activities | ||||||||||||||||||||
Proceeds on line of credit | — | 8,000 | — | — | — | 8,000 | ||||||||||||||
Payments on note payable | — | (1,310 | ) | — | — | — | (1,310 | ) | ||||||||||||
Payments of deferred financing costs | — | (1,249 | ) | — | — | — | (1,249 | ) | ||||||||||||
Due from parent | — | 94 | — | — | — | 94 | ||||||||||||||
Intercompany note | — | 5,300 | — | (5,300 | ) | — | — | |||||||||||||
Payment of dividend | — | — | (1,094 | ) | (5,912 | ) | 7,006 | — | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash provided by (used in) financing activities | — | 10,835 | (1,094 | ) | (11,212 | ) | 7,006 | 5,535 | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Effect of foreign exchange rate on cash | — | — | — | (1,300 | ) | — | (1,300 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Decrease in cash and cash equivalents | — | (5,640 | ) | — | (9,286 | ) | — | (14,926 | ) | |||||||||||
Cash and cash equivalents, beginning of year | — | 17,635 | — | 13,960 | — | 31,595 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents, end of year | $ | — | $ | 11,995 | $ | — | $ | 4,674 | $ | — | $ | 16,669 | ||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Condensed Consolidating Cash Flow Information | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
Lantheus | LMI | Guarantor | Non-Guarantor | Eliminations | Total | |||||||||||||||
Intermediate | Subsidiary | Subsidiaries | ||||||||||||||||||
Cash provided by operating activities | $ | — | $ | 3,829 | $ | — | $ | 4,568 | $ | (7,874 | ) | $ | 523 | |||||||
| | | | | | | | | | | | | | | | | | | | |
Cash flows from investing activities | ||||||||||||||||||||
Capital expenditures | — | (7,353 | ) | — | (567 | ) | — | (7,920 | ) | |||||||||||
Purchase of certificate of deposit | — | (225 | ) | — | — | — | (225 | ) | ||||||||||||
Proceeds from dividend | — | 2,949 | — | — | (2,949 | ) | — | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash provided by (used in) investing activities | — | (4,629 | ) | — | (567 | ) | (2,949 | ) | (8,145 | ) | ||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash flows from financing activities | ||||||||||||||||||||
Payments on note payable | — | (1,530 | ) | — | — | — | (1,530 | ) | ||||||||||||
Payments of deferred financing costs | — | (442 | ) | — | — | — | (442 | ) | ||||||||||||
Due from parent | — | (67 | ) | — | — | — | (67 | ) | ||||||||||||
Payment of dividend | — | — | — | (10,823 | ) | 10,823 | — | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash used in financing activities | — | (2,039 | ) | — | (10,823 | ) | 10,823 | (2,039 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Effect of foreign exchange rate on cash | — | — | — | 649 | — | 649 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Decrease in cash and cash equivalents | — | (2,839 | ) | — | (6,173 | ) | — | (9,012 | ) | |||||||||||
Cash and cash equivalents, beginning of year | — | 20,474 | — | 20,133 | — | 40,607 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents, end of year | $ | — | $ | 17,635 | $ | — | $ | 13,960 | $ | — | $ | 31,595 | ||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Condensed Consolidating Cash Flow Information | ||||||||||||||||||||
Year Ended December 31, 2011 | ||||||||||||||||||||
Lantheus | LMI | Guarantor | Non-Guarantor | Eliminations | Total | |||||||||||||||
Intermediate | Subsidiary | Subsidiaries | ||||||||||||||||||
Cash provided by operating activities | $ | 600 | $ | 15,409 | $ | — | $ | 7,011 | $ | (600 | ) | $ | 22,420 | |||||||
| | | | | | | | | | | | | | | | | | | | |
Cash flows from investing activities | ||||||||||||||||||||
Capital expenditures | — | (7,023 | ) | — | (671 | ) | — | (7,694 | ) | |||||||||||
Proceeds from dividend | 149,400 | — | — | — | (149,400 | ) | — | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash provided by (used in) investing activities | 149,400 | (7,023 | ) | — | (671 | ) | (149,400 | ) | (7,694 | ) | ||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash flows from financing activities | ||||||||||||||||||||
Proceeds from issuance of debt | — | 152,250 | — | — | — | 152,250 | ||||||||||||||
Consent solicitation fee | — | (3,750 | ) | — | — | — | (3,750 | ) | ||||||||||||
Payments of deferred financing costs | — | (5,491 | ) | — | — | — | (5,491 | ) | ||||||||||||
Proceeds from line of credit | — | 10,000 | — | — | — | 10,000 | ||||||||||||||
Payments on line of credit | — | (10,000 | ) | — | — | — | (10,000 | ) | ||||||||||||
Payment of dividend | (150,000 | ) | (150,000 | ) | — | — | 150,000 | (150,000 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash used in financing activities | (150,000 | ) | (6,991 | ) | — | — | 150,000 | (6,991 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Effect of foreign exchange rate on cash | — | — | — | (134 | ) | — | (134 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Increase in cash and cash equivalents | — | 1,395 | — | 6,206 | — | 7,601 | ||||||||||||||
Cash and cash equivalents, beginning of year | — | 19,079 | — | 13,927 | — | 33,006 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents, end of year | $ | — | $ | 20,474 | $ | — | $ | 20,133 | $ | — | $ | 40,607 | ||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Summary of Significant Accounting Policies | ' | ||||||||||||||||
Basis of Consolidation and Presentation | ' | ||||||||||||||||
Basis of Consolidation and Presentation | |||||||||||||||||
The financial statements have been prepared in United States dollars, in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. | |||||||||||||||||
The accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the discharge of liabilities in the normal course of business. The Company incurred a net loss of $61.7 million and an operating loss of $19.0 million during the year ended December 31, 2013. During 2013, the Company relied on Ben Venue Laboratories, Inc. ("BVL") as its sole manufacturer of Neurolite and one of two manufacturers of its DEFINITY and Cardiolite product supply. Following extended operational and regulatory challenges at BVL's Bedford, Ohio facility, as of November 15, 2013, BVL ceased manufacturing for the Company any DEFINITY, Cardiolite or Neurolite. BVL has since released for commercial distribution all of the Company's remaining manufactured product that was awaiting BVL quality approval. The supply challenges with BVL in recent years have had a negative impact on the Company's results. The Company has taken specific steps to address the supply chain risks and reduce discretionary spend. | |||||||||||||||||
Following extensive technology transfer activities, the Company currently relies on Jubilant HollisterStier ("JHS") as its sole source manufacturer of DEFINITY. The Company has additional ongoing technology transfer activities at JHS for its Neurolite and Cardiolite product supply. In the meantime, the Company has no other currently active supplier of Neurolite, and its Cardiolite product supply is manufactured by a single manufacturer. | |||||||||||||||||
Based on current projections, the Company believes that it will have sufficient supply of DEFINITY from JHS to meet expected demand and sufficient Cardiolite product supply from its current supplier to meet expected demand. The Company also currently anticipates that it will have sufficient BVL-manufactured Neurolite supply for the U.S. market to last until Neurolite technology transfer and U.S. regulatory approval at JHS are completed. Currently, the regulatory authorities in certain countries prohibit the Company from marketing products previously manufactured by BVL, and JHS has not yet obtained approval of such regulatory authorities that would permit the Company to market products manufactured by JHS. Accordingly, until such regulatory approvals have been obtained, the Company will not be able to sell and distribute those products in the relevant markets. | |||||||||||||||||
The Company is currently working to secure additional alternative suppliers for its key products as part of its ongoing supply chain diversification strategy. For example, on November 12, 2013, the Company entered into a Manufacturing and Supply Agreement with Pharmalucence to manufacture and supply DEFINITY. However, the Company is uncertain about the timing of the completion of the technology transfer contemplated by the Pharmalucence agreement and whether the Pharmalucence arrangement or any other arrangements could provide meaningful quantities of product. | |||||||||||||||||
During 2012, the Company received net proceeds of $34.6 million from BVL to compensate the Company for business losses associated with a lack of product supply. The Company has recognized these proceeds within the Company's results of operations, and the payments are included within operating income as proceeds from manufacturer. During the second quarter of 2013, the Company received $0.9 million from BVL to compensate the Company for low yield and failed batches of DEFINITY and Cardiolite under the then-current manufacturing agreement with BVL. This payment is included within cost of goods sold in the statement of comprehensive loss for the year ended December 31, 2013. As 2013 progressed, the Company continued to experience losses as a result of the prolonged supply disruption from BVL. During the fourth quarter of 2013, the Company received an additional $8.9 million from BVL under a second Settlement and Release Agreement to compensate the Company for additional historic business losses associated with limited product availability under the then-current manufacturing agreement with BVL. The Company does not anticipate any further cash payments from BVL for historic losses. | |||||||||||||||||
During 2013, the Company has utilized its line of credit as a source of liquidity. On July 3, 2013, LMI, Lantheus Intermediate and Lantheus MI Real Estate, LLC ("Lantheus Real Estate") entered into an amended and restated revolving credit facility (the "New Facility") which replaced the previous facility (the "Old Facility"), the terms of which New Facility are more fully described in Note 10. Borrowing capacity under the New Facility is calculated by reference to a borrowing base consisting of a percentage of certain eligible accounts receivable, inventory and machinery and equipment minus any reserves (the "Borrowing Base"). If the Company is not successful in achieving its forecasted results, the Company's accounts receivable and inventory could be negatively affected, thus reducing the Borrowing Base and limiting the Company's borrowing capacity. As of December 31, 2013, the aggregate borrowing base was approximately $42.5 million, which was reduced by (i) an outstanding $8.8 million unfunded Standby Letter of Credit and (ii) an $8.0 million outstanding loan balance, resulting in a net borrowing base availability of approximately $25.7 million. | |||||||||||||||||
The Company took actions during March 2013 to substantially reduce its discretionary spending. In particular, the Company began to implement a strategic shift in how it funds its research and development ("R&D") programs. The Company reduced its internal R&D resources during 2013, while at the same time it seeks to engage one or more strategic partners to assist in the further development and commercialization of its development candidates, including flurpiridaz F 18, 18F LMI 1195 and LMI 1174. The Company has completed its 301 trial for flurpiridaz F 18 with internal funding. The Company will seek to engage strategic partners to assist with the further development and possible commercialization of the agent. For the other two development candidates, 18F LMI 1195 and LMI 1174, the Company will also seek to engage strategic partners to assist with the ongoing development activities relating to these agents. Based on the Company's current operating plans, the Company believes the existing cash and cash equivalents, results of operations and availability under the New Facility will be sufficient to continue to fund the Company's liquidity requirements for at least the next twelve months. | |||||||||||||||||
If JHS is not able to continue to manufacture and release adequate product supply on a timely and consistent basis, the Company is not successful with the remainder of its JHS technology transfer programs and cannot obtain adequate supply from JHS, or the Company is unable to continue to grow DEFINITY sales, then the Company will need to implement additional expense reductions, such as a delay or elimination of discretionary spending, in all functional areas as well as other operating and strategic initiatives. | |||||||||||||||||
Use of Estimates | ' | ||||||||||||||||
Use of Estimates | |||||||||||||||||
The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period. The more significant estimates reflected in the Company's consolidated financial statements include certain judgments regarding revenue recognition, goodwill, tangible and intangible asset valuation, inventory valuation and potential losses on purchase commitments, asset retirement obligations, income tax liabilities, deferred tax assets and liabilities, accrued expenses and stock-based compensation. Actual results could materially differ from those estimates or assumptions. | |||||||||||||||||
Revenue Recognition | ' | ||||||||||||||||
Revenue Recognition | |||||||||||||||||
The Company recognizes revenue when evidence of an arrangement exists, title has passed, the risks and rewards of ownership have transferred to the customer, the selling price is fixed or determinable, and collectability is reasonably assured. For transactions for which revenue recognition criteria have not yet been met, the respective amounts are recorded as deferred revenue until such point in time the criteria are met and revenue can be recognized. Revenue is recognized net of reserves, which consist of allowances for returns and rebates. | |||||||||||||||||
Revenue arrangements with multiple elements are divided into separate units of accounting if certain criteria are met, including whether the delivered element has stand-alone value to the customer. The arrangement's consideration is then allocated to each separate unit of accounting based on the relative selling price of each deliverable. The estimated selling price of each deliverable is determined using the following hierarchy of values: (i) vendor-specific objective evidence of fair value; (ii) third-party evidence of selling price; and (iii) best estimate of selling price. The best estimate of selling price reflects the Company's best estimate of what the selling price would be if the deliverable was regularly sold by the Company on a stand-alone basis. The consideration allocated to each unit of accounting is then recognized as the related goods or services are delivered, limited to the consideration that is not contingent upon future deliverables. Supply or service transactions may involve the charge of a nonrefundable initial fee with subsequent periodic payments for future products or services. The up-front fees, even if nonrefundable, are recognized as revenue as the products and/or services are delivered and performed over the term of the arrangement. | |||||||||||||||||
On January 1, 2009, LMI executed an amendment to a license and supply agreement (the "Agreement") with one of its customers, granting non-exclusive U.S. license and supply rights to the customer for the period from January 1, 2009 through December 31, 2012. Under the terms of the Agreement, the customer paid LMI $10.0 million in license fees; $8.0 million of which was received upon execution of the Agreement and $2.0 million of which was received in June 2009 upon delivery of a special license as defined in the Agreement. The Company's product sales under the Agreement are recognized in the same manner as its normal product sales. The Company recognized the license fees as revenue on a straight-line basis over the term of the four-year Agreement. The Company recognized $2.5 million in fiscal years 2012 and 2011 in license fee revenue pursuant to the Agreement. | |||||||||||||||||
In February 2012, the Company entered in to the first amendment to the Agreement. The amendment contained obligations for the Company to deliver a specified number of product unit shipments at various prices. Revenue under this arrangement is being recognized at an average selling price as the units are shipped. The Company recognized $5.6 million and $12.8 million in revenue pursuant to the first amendment during the years ended December 31, 2013 and 2012, respectively, and at December 31, 2012, had deferred revenue of $5.6 million attributable to units to be shipped. There was no deferred revenue attributable to these units at December 31, 2013. | |||||||||||||||||
On December 27, 2012, the Company entered into the second amendment to the Agreement, which extended the term from December 31, 2012 to December 31, 2014 and established new pricing and purchase requirements over the extended term. The second amendment also provided for the supply of TechneLite generators containing molybdenum-99 sourced from LEU targets. The agreement includes a $3.0 million upfront payment by the customer to the Company and potential future milestone payments. During 2012, the Company received the $3.0 million upfront payment, of which $1.5 million was included in deferred revenue as a current liability and $1.5 million was included in other long-term liabilities at December 31, 2012 in the accompanying consolidated balance sheets. During 2013, the Company received an additional $4.0 million upon achievement of the required milestones. At December 31, 2013, $3.6 million is included in deferred revenue as a current liability in the accompanying consolidated balance sheets. The Company is recognizing the upfront payment as revenue on a straight-line basis over the term of the two year agreement. | |||||||||||||||||
The Company had other revenues of $8.5 million, $8.3 million and $8.0 million in fiscal years 2013, 2012 and 2011, respectively. Other revenue primarily represents contract manufacturing services related to one of the Company's products for one customer. The related costs are included in cost of goods sold. Effective December 13, 2013, the Company entered into an Asset Purchase Agreement to purchase the rights to serve as the direct manufacturer and supplier of this product. These revenues will be reported as net product revenues in the consolidated statement of comprehensive loss. Under this agreement, the Company did not have to pay any upfront consideration and will be required to pay royalties based upon net revenues generated by the sale of the product. | |||||||||||||||||
Product Returns | ' | ||||||||||||||||
Product Returns | |||||||||||||||||
The Company provides a reserve for its estimate of sales recorded for which the related products are expected to be returned. The Company does not typically accept product returns unless an over shipment or non-conforming shipment was provided to the customer, or if the product was defective. The Company adjusts its estimate of product returns if it becomes aware of other factors that it believes could significantly impact its expected returns, including product recalls. These factors include its estimate of actual and historical return rates for non-conforming product and open return requests. Historically, the Company's estimates of returns have reasonably approximated actual returns. | |||||||||||||||||
Distributor Relationships | ' | ||||||||||||||||
Distributor Relationships | |||||||||||||||||
Revenue for product sold to distributors is recognized at shipment, unless revenue recognition criteria have not been met. In such instances where collectability cannot be determined or the selling price cannot be reasonably estimated until the distributor has sold through the goods, the Company defers such revenue until such time as the goods have been sold through to the end-user customer, or the selling price can be reasonably estimated based on history of transactions with such distributor. | |||||||||||||||||
Rebates and Allowances | ' | ||||||||||||||||
Rebates and Allowances | |||||||||||||||||
Estimates for rebates and allowances represent the Company's estimated obligations under contractual arrangements with third parties. Rebate accruals and allowances are recorded in the same period the related revenue is recognized, resulting in a reduction to product revenue and the establishment of a liability which is included in accrued expenses in the accompanying consolidated balance sheets. These rebates result from performance-based offers that are primarily based on attaining contractually specified sales volumes and growth, Medicaid rebate programs for certain products, administration fees of group purchasing organizations and certain distributor related commissions. The calculation of the accrual for these rebates and allowances is based on an estimate of the third party's buying patterns and the resulting applicable contractual rebate or commission rate(s) to be earned over a contractual period. | |||||||||||||||||
The accrual for rebates and allowances was approximately $1.7 million and $1.5 million at December 31, 2013 and 2012, respectively. Rebate and allowance charges against gross revenues totaled $4.8 million, $2.8 million and $3.6 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||||||||
Income Taxes | ' | ||||||||||||||||
Income Taxes | |||||||||||||||||
The Company accounts for income taxes using an asset and liability approach. The provision for income taxes represents income taxes paid or payable for the current year plus the change in deferred taxes during the year. Deferred taxes result from differences between the financial and tax bases of the Company's assets and liabilities. Deferred tax assets and liabilities are measured using the currently enacted tax rates that apply to taxable income in effect for the years in which those tax attributes are expected to be recovered or paid, and are adjusted for changes in tax rates and tax laws when changes are enacted. | |||||||||||||||||
Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized. The assessment of whether or not a valuation allowance is required involves the weighing of both positive and negative evidence concerning both historical and prospective information with greater weight given to evidence that is objectively verifiable. A history of recent losses is negative evidence that is difficult to overcome with positive evidence. In evaluating prospective information there are four sources of taxable income: reversals of taxable temporary differences, items that can be carried back to prior tax years (such as net operating losses), pre-tax income, and tax planning strategies. Any tax planning strategies that are considered must be prudent and feasible, and would only be undertaken in order to avoid losing an operating loss carryforward. Adjustments to the deferred tax valuation allowances are made in the period when such assessments are made. | |||||||||||||||||
The Company accounts for uncertain tax positions using a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Differences between tax positions taken in a tax return and amounts recognized in the financial statements are recorded as adjustments to income taxes payable or receivable, or adjustments to deferred taxes, or both. The Company provides disclosure at the end of each annual reporting period on a tabular reconciliation of unrecognized tax benefits. The Company classifies interest and penalties within the provision for income taxes. | |||||||||||||||||
Cash and Cash Equivalents | ' | ||||||||||||||||
Cash and Cash Equivalents | |||||||||||||||||
Cash and cash equivalents include savings deposits, certificates of deposit and money market funds that have maturities of three months or less when purchased. | |||||||||||||||||
Accounts Receivable | ' | ||||||||||||||||
Accounts Receivable | |||||||||||||||||
Accounts receivable consist of amounts billed and currently due from customers. The Company maintains an allowance for doubtful accounts for estimated losses. In determining the allowance, consideration includes the probability of recoverability based on past experience and general economic factors. Certain accounts receivable may be fully reserved when specific collection issues are known to exist, such as pending bankruptcy. As of December 31, 2013 and 2012, the Company had allowances for doubtful accounts of approximately $0.3 million. | |||||||||||||||||
Also included in accounts receivable are miscellaneous receivables of approximately $1.9 million and $1.7 million as of December 31, 2013 and 2012, respectively. | |||||||||||||||||
Concentration of Risks and Limited Suppliers | ' | ||||||||||||||||
Concentration of Risks and Limited Suppliers | |||||||||||||||||
Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of trade accounts receivable. The Company periodically reviews its accounts receivable for collectability and provides for an allowance for doubtful accounts to the extent that amounts are not expected to be collected. The Company sells primarily to large national distributors, which in turn, may resell the Company's products. There were two customers that represented greater than 10% of the total net accounts receivable balance and net revenue during the year ended December 31, 2013, the majority of which is included in the U.S. segment. | |||||||||||||||||
Accounts | Revenue for the year | ||||||||||||||||
Receivable as | ended December 31, | ||||||||||||||||
of December 31, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2011 | |||||||||||||
Company A | 16.7 | % | 30.7 | % | 18.8 | % | 27.4 | % | 26.5 | % | |||||||
Company B | 13.2 | % | 8.8 | % | 10.2 | % | 8.4 | % | 8.5 | % | |||||||
Company C | 7.2 | % | 7 | % | 9.8 | % | 11.5 | % | 11.1 | % | |||||||
The Company's cash and cash equivalents are maintained with various financial institutions. | |||||||||||||||||
The Company relies on certain materials used in its development and manufacturing processes, some of which are procured from only one or a few sources. The failure of one of these suppliers to deliver on schedule could delay or interrupt the manufacturing or commercialization process and thereby adversely affect the Company's operating results. In addition, a disruption in the commercial supply of, or a significant increase in, the cost of one of the Company's materials from these sources could have a material adverse effect on the Company's business, financial position and results of operations. From May 2009 until August 2010, Nordion, the Company's largest supplier of molybdenum-99 ("Moly"), a key raw material in the Company's TechneLite product, was affected by a nuclear reactor shutdown. The Company was not fully able to replace all of the quantity of supply it previously received from Nordion, which had a negative impact on the Company's results of operations. As part of the conditions for the relicensing of the NRU reactor through October 2016, the Canadian government has asked Atomic Energy of Canada Limited, or AECL, to shut down the reactor for at least four weeks at least once a year for inspection and maintenance. The scheduled 2012 shutdown period ran from mid-April 2012 until mid-May 2012, and during such period, some of LMI's customers diverted a small amount of business to LMI's competitor, which correspondingly reduced our aggregate orders during the shutdown period. With this diversion, LMI was able to fulfill all customer demand for Moly from other suppliers during the shutdown period. On October 19, 2012 and October 30, 2012, the Company executed amendments to agreements with Nordion and NTP, the Company's Moly suppliers, which extended the contract terms of those agreements to December 31, 2015 and December 31, 2017, respectively. In addition, because Xenon is a by-product of the Moly production process and is currently captured only by Nordion, the Company is currently reliant on Nordion as the sole supplier of Xenon to meet customer demand. In March 2013, the Company entered into an agreement with Institute for Radioelements ("IRE") who had previously been supplying the Company with Moly under the previous agreement with NTP and this agreement expires on December 31, 2017. | |||||||||||||||||
Historically, the Company has relied on BVL as its sole manufacturer of DEFINITY and Neurolite and one of two manufacturers of its Cardiolite product supply. Following extended operational and regulatory challenges at BVL's Bedford, Ohio facility, as of November 15, 2013 BVL ceased manufacturing for the Company any DEFINITY, Cardiolite or Neurolite. BVL has since released for commercial distribution all of the Company's remaining manufactured product that was awaiting BVL quality approval. | |||||||||||||||||
Following extensive technology transfer activities, the Company currently relies on JHS as its sole source manufacturer of DEFINITY. The Company has additional ongoing technology transfer activities at JHS for its Neurolite and Cardiolite product supply. In the meantime, the Company has no other currently active supplier of Neurolite, and its Cardiolite product supply is manufactured by a single manufacturer. | |||||||||||||||||
Based on current projections, the Company believes that it will have sufficient supply of DEFINITY from JHS to meet expected demand and sufficient Cardiolite product supply from its current supplier to meet expected demand. The Company also anticipates that it has sufficient BVL-manufactured Neurolite supply for the U.S. market to last until Neurolite technology transfer and U.S. regulatory approval at JHS are completed. Currently, the regulatory authorities in certain countries prohibit the Company from marketing products previously manufactured by BVL, and JHS has not yet obtained approval of such regulatory authorities that would permit the Company to market products manufactured by JHS. Accordingly, until such regulatory approvals have been obtained, the Company will not be able to sell and distribute those products in the relevant markets. | |||||||||||||||||
The Company is also currently working to secure additional alternative suppliers for its key products as part of its ongoing supply chain diversification strategy. For example, on November 12, 2013, the Company entered into a Manufacturing and Supply Agreement with Pharmalucence to manufacture and supply DEFINITY. However, the Company is uncertain about the timing of the completion of the technology transfer contemplated by the Pharmalucence agreement and whether the Pharmalucence arrangement or any other arrangements could provide meaningful quantities of product. | |||||||||||||||||
The following table sets forth net product revenues for the Company's products that represented greater than 10% of total net product revenue for the years ended December 31, 2013, 2012 and 2011. | |||||||||||||||||
Year Ended | |||||||||||||||||
December 31, | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
DEFINITY | 28.7 | % | 18.6 | % | 19.8 | % | |||||||||||
TechneLite | 33.9 | % | 41.2 | % | 38 | % | |||||||||||
Xenon | 11.8 | % | 10.8 | % | 7.7 | % | |||||||||||
Cardiolite | 9.6 | % | 12.6 | % | 19.1 | % | |||||||||||
Inventory | ' | ||||||||||||||||
Inventory | |||||||||||||||||
Inventory includes material, direct labor and related manufacturing overhead, and is stated at the lower of cost or market on a first-in, first-out basis. The Company does have consignment arrangements with certain customers where the Company retains title and the risk of ownership of the inventory, which is included in the Company's inventory balance. | |||||||||||||||||
The Company assesses the recoverability of inventory to determine whether adjustments for excess and obsolete inventory are required. Inventory that is in excess of future requirements is written down to its estimated net realizable value based upon forecasted demand for its products. If actual demand is less favorable than what has been forecasted by management, additional inventory write-down may be required. | |||||||||||||||||
Inventory costs associated with product that has not yet received regulatory approval are capitalized if the Company believes there is probable future commercial use of the product and future economic benefit of the asset. If future commercial use of the product is not probable, then inventory costs associated with such product are expensed during the period the costs are incurred. At December 31, 2012, we had $1.5 million of such product costs included in inventories relating to DEFINITY that was manufactured by JHS. In February 2013, the FDA informed the Company that the JHS facility was approved to manufacture DEFINITY, and the Company is now shipping JHS-manufactured DEFINITY to customers. At December 31, 2013, we had no capitalized inventories that did not have regulatory approval. | |||||||||||||||||
Property, Plant and Equipment | ' | ||||||||||||||||
Property, Plant and Equipment | |||||||||||||||||
Property, plant and equipment are stated at cost. Replacements of major units of property are capitalized, and replaced properties are retired. Replacements of minor components of property and repair and maintenance costs are charged to expense as incurred. Depreciation is computed on a straight-line method based on the estimated useful lives of the related assets. The estimated useful lives of the major classes of depreciable assets are as follows: | |||||||||||||||||
Buildings | 50 years | ||||||||||||||||
Land improvements | 40 years | ||||||||||||||||
Machinery and equipment | 3 - 20 years | ||||||||||||||||
Furniture and fixtures | 15 years | ||||||||||||||||
Leasehold improvements | Lesser of lease term or 15 years | ||||||||||||||||
Upon retirement or other disposal of property, plant and equipment, the cost and related amount of accumulated depreciation are removed from the asset and accumulated depreciation accounts, respectively. The difference, if any, between the net asset value and the proceeds is included in comprehensive loss. | |||||||||||||||||
Capitalized Software Development Costs | ' | ||||||||||||||||
Capitalized Software Development Costs | |||||||||||||||||
Certain costs to obtain internal use software for significant systems projects are capitalized and amortized over the estimated useful life of the software, which ranges from 3 to 5 years. Costs to obtain software for projects that are not significant are expensed as incurred. Capitalized software development costs, net of accumulated amortization, were $1.5 million and $2.2 million at December 31, 2013 and 2012, respectively. Approximately $0.7 million and $0.2 million of software development costs were capitalized in the years ended December 31, 2013 and 2012, respectively. Amortization expense related to the capitalized software was $1.5 million, $1.5 million and $1.4 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||||||||
Goodwill, Intangibles and Long-Lived Assets | ' | ||||||||||||||||
Goodwill, Intangibles and Long-Lived Assets | |||||||||||||||||
Goodwill is not amortized, but is instead tested for impairment at least annually and whenever events or circumstances indicate that it is more likely than not that they may be impaired. The Company has elected to perform the annual test for indications of goodwill impairment as of October 31 of each year. | |||||||||||||||||
In performing tests for goodwill impairment, the Company is first permitted to perform a qualitative assessment about the likelihood of the carrying value of a reporting unit exceeding its fair value. If the Company determines that it is more likely than not that the fair value of a reporting unit is less than its carrying amount based on the qualitative assessment, it is required to perform the two-step goodwill impairment test described below to identify the potential goodwill impairment and measure the amount of the goodwill impairment loss, if any, to be recognized for that reporting unit. However, if the Company concludes otherwise based on the qualitative assessment, the two-step goodwill impairment test is not required. The option to perform the qualitative assessment is not an accounting policy election and can be utilized at the Company's discretion. Further, the qualitative assessment need not be applied to all reporting units in a given goodwill impairment test. For an individual reporting unit, if the Company elects not to perform the qualitative assessment, or if the qualitative assessment indicates that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, then the Company must perform the two- step goodwill impairment test for the reporting unit. If the implied fair value of goodwill is less than the carrying value, then an impairment charge would be recorded. | |||||||||||||||||
In performing the annual goodwill impairment test in 2013 and 2012, the Company bypassed the option to perform a qualitative assessment and proceeded directly to performing the first step of the two-step goodwill impairment test. | |||||||||||||||||
The Company calculates the fair value of its reporting units using the income approach, which utilizes discounted forecasted future cash flows and the market approach which utilizes fair value multiples of comparable publicly traded companies. The discounted cash flows are based on our most recent long-term financial projections and are discounted using a risk adjusted rate of return, which is determined using estimates of market participant risk-adjusted weighted average costs of capital and reflects the risks associated with achieving future cash flows. The market approach is calculated using the guideline company method, where the Company uses market multiples derived from stock prices of companies engaged in the same or similar lines of business. There is not a quoted market price for the Company's reporting units or the company as a whole, therefore, a combination of the two methods is utilized to derive the fair value of the business. The Company evaluated and weighed the results of these approaches as well as ensures it understands the basis of the results of these two methodologies. The Company believes the use of these two methodologies ensures a consistent and supportable method of determining its fair value that is consistent with the objective of measuring fair value. If the fair value were to decline, then the Company may be required to incur material charges relating to the impairment of those assets. The Company did not identify any impairment in goodwill in 2013, 2012 or 2011. Goodwill is not deductible for tax purposes. | |||||||||||||||||
In addition, as a result of the continued supply challenges with BVL, the Company performed an interim impairment test of goodwill as of December 31, 2011. The analyses utilized the most recently available forecast information, which considered the potential impact of the continued supply challenges in 2011. The interim impairment test did not indicate that there was any impairment as of December 31, 2011. There were no events at December 31, 2012 that triggered an interim impairment test. During the first quarter of 2013, the strategic shift in how the Company funds its R&D programs significantly altered the expected future costs and revenues associated with our development candidates. Accordingly, this action was deemed to be a triggering event for an evaluation of the recoverability of the Company's goodwill as of March 31, 2013. The Company performed an interim impairment test and determined that there was no impairment of goodwill as of March 31, 2013. Furthermore, the Company performed its annual impairment test for goodwill as of October 31, 2013, and there were no events through December 31, 2013 that triggered an interim impairment test. At each annual and interim impairment test date, the fair value of the Company's reporting unit, which includes goodwill, was substantially in excess of its carrying value. | |||||||||||||||||
The Company tests intangible and long-lived assets for recoverability whenever events or changes in circumstances suggest that the carrying value of an asset or group of assets may not be recoverable. The Company measures the recoverability of assets to be held and used by comparing the carrying amount of the asset to future undiscounted net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment equals the amount by which the carrying amount of the assets exceeds the fair value of the assets. Any impairments are recorded as permanent reductions in the carrying amount of the assets. Long-lived assets, other than goodwill and other intangible assets, that are held for sale are recorded at the lower of the carrying value or the fair market value less the estimated cost to sell. | |||||||||||||||||
In the first quarter of 2012, the Company reviewed the estimated useful life of its Cardiolite trademark as a result of a triggering event. Utilizing the most recent forecasted revenue data, the Company revised the estimate of the remaining useful life of the Cardiolite trademark to five years. The Company monitors the recoverability of its branded Cardiolite trademark intangible asset due to the ongoing generic competition based on actual results and existing estimates of future undiscounted cash flows associated with the branded Cardiolite product. As of December 31, 2013, the Company conducted, using its revised sales forecast, an impairment analysis and concluded that the estimate of future undiscounted cash flows associated with the Cardiolite trademark intangible did not exceed the carrying amount of the asset totaling $19.2 million and therefore, the asset has been written down to its fair value. Fair value was calculated by utilizing Level 3 inputs in the relief-from-royalty method, an income-based approach. As a result of this analysis, the Company recorded an impairment charge of $15.4 million to adjust the carrying value to its fair value of $3.8 million. This expense was recorded within cost of goods sold in the accompanying consolidated statement of comprehensive loss in the fourth quarter of 2013. | |||||||||||||||||
In the third quarter of 2013, the Company was in negotiations with a new distributor for the sale of certain products within certain international markets. This agreement was signed in October 2013 and as a result the Company did not renew the agreements with its former distributors in these international markets. The Company determined the customer relationship intangible related to these former distributors was no longer recoverable and recorded an impairment charge of $1.0 million in the third quarter of 2013. In the fourth quarter of 2013, the Company updated its strategic plan to reflect the non-renewal of these agreements and the uncertainty in the timing of product availability in this region. As a result, the Company reviewed the recoverability of certain of its customer relationship intangible assets in the International segment that were impacted by the Company's revised strategic plan. The Company conducted an impairment analysis and concluded that the estimate of future undiscounted cash flows associated with the customer relationship intangible asset did not exceed the carrying amount of the asset and therefore, the asset would need to be written down to its fair value. In order to calculate the fair value of the acquired customer relationship intangible assets, the Company utilized Level 3 inputs to estimate the future discounted cash flows associated with remaining customers and as a result of this analysis, recorded an impairment charge of $0.7 million in the fourth quarter of 2013. These impairment charges were recorded within cost of goods sold in the accompanying consolidated statement of comprehensive loss. | |||||||||||||||||
During the third quarter of 2013, the Company committed to a plan to sell certain of its excess land in the U.S. segment, which had a carrying value of $7.5 million. This event qualified for held for sale accounting and the excess land was written down to its fair value, less estimated costs to sell. The fair value was estimated utilizing Level 3 inputs and using a market approach, based on available data for transactions in the region, discussions with real estate brokers and the asking price of comparable properties in its principal market. This resulted in a loss of $6.4 million, which is included within operating loss as impairment of land in the accompanying consolidated statement of comprehensive loss. During the fourth quarter of 2013, the Company sold the excess land for net proceeds of $1.1 million. | |||||||||||||||||
Fixed assets dedicated to R&D activities, which were impacted by the recent R&D strategic shift, have a carrying value of $6.3 million as of December 31, 2013. The Company believes these fixed assets will be utilized for either internally funded ongoing R&D activities or R&D activities funded by a strategic partner. If the Company is not successful in finding a strategic partner, and there are no alternative uses for those fixed assets, they could be subject to impairment in the future. | |||||||||||||||||
The Company also tested certain long-lived assets utilized in the manufacturing of certain products in the U.S. for recoverability as of December 31, 2013, due to a change in the Company's contract to manufacture Quadramet. The analysis indicated that there was no impairment as of December 31, 2013. The Company also evaluated the remaining useful lives of these long-lived assets that were tested for recoverability at December 31, 2013 and determined no revisions were required to the remaining periods of depreciation. | |||||||||||||||||
Intangible assets, consisting of patents, trademarks and customer relationships related to the Company's products are amortized in a method equivalent to the estimated utilization of the economic benefit of the asset. Trademarks and patents are amortized on a straight-line basis, and customer relationships are amortized on an accelerated basis. | |||||||||||||||||
Deferred Financing Costs | ' | ||||||||||||||||
Deferred Financing Costs | |||||||||||||||||
Deferred financing costs are capitalized and amortized to interest expense using the effective interest method. As of December 31, 2013 and 2012, the unamortized deferred financing costs were $9.6 million and $11.4 million, respectively. The expense associated with the amortization of deferred financing costs was $2.4 million, $2.2 million and $1.4 million for the years ended December 31, 2013, 2012 and 2011, respectively, and was included in interest expense. In connection with the New Facility, the Company wrote off $0.6 million of the existing unamortized deferred financing costs related to the Old Facility, which is included in interest expense in the accompanying consolidated statements of comprehensive loss. | |||||||||||||||||
Contingencies | ' | ||||||||||||||||
Contingencies | |||||||||||||||||
In the normal course of business, the Company is subject to loss contingencies, such as legal proceedings and claims arising out of its business, that cover a wide range of matters, including, among others, product and environmental liability. The Company records accruals for such loss contingencies when it is probable that a liability will be incurred and the amount of loss can be reasonably estimated. The Company does not recognize gain contingencies until realized. | |||||||||||||||||
Fair Value of Financial Instruments | ' | ||||||||||||||||
Fair Value of Financial Instruments | |||||||||||||||||
The estimated fair values of the Company's financial instruments, including its cash and cash equivalents, receivables, accounts payable and accrued expenses approximate the carrying values of these instruments due to their short term nature. Assets measured at fair value on a nonrecurring basis include long-lived assets held for sale and certain intangible assets. The estimated fair value of the debt, at December 31, 2013, based on Level 2 inputs of recent market activity available to the Company was $356.0 million compared to the face value of $400.0 million. At December 31, 2012, the estimated fair value of the debt based on Level 2 inputs of recent market activity available to the Company was $380.0 million compared to the face value of $400.0 million. | |||||||||||||||||
Shipping and Handling Revenues and Costs | ' | ||||||||||||||||
Shipping and Handling Revenues and Costs | |||||||||||||||||
The Company typically does not charge customers for shipping and handling costs, but any shipping and handling costs charged to customers are included in product revenues. Shipping and handling costs are included in cost of goods sold and were $20.5 million, $20.4 million and $20.3 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||||||||
Advertising and Promotion Costs | ' | ||||||||||||||||
Advertising and Promotion Costs | |||||||||||||||||
Advertising and promotion costs are expensed as incurred and totaled $2.7 million, $3.2 million and $4.1 million for the years ended December 31, 2013, 2012 and 2011, respectively, and are included in sales and marketing expenses. | |||||||||||||||||
Research and Development | ' | ||||||||||||||||
Research and Development | |||||||||||||||||
Research and development costs are expensed as incurred and relate primarily to the development of new products to add to the Company's portfolio and costs related to its medical affairs and medical information functions. Nonrefundable advance payments for goods or services that will be used or rendered for future research and development activities are deferred and recognized as an expense as the goods are delivered or the related services are performed. | |||||||||||||||||
Foreign Currency Translation | ' | ||||||||||||||||
Foreign Currency Translation | |||||||||||||||||
The consolidated statements of comprehensive loss of the Company's foreign subsidiaries are translated into U.S. Dollars using average exchange rates. The net assets of the Company's foreign subsidiaries are translated into U.S. Dollars using the end of period exchange rates. The impact from translating the net assets of these subsidiaries at changing rates are recorded in the foreign currency translation adjustment account, which is included in consolidated accumulated other comprehensive loss. | |||||||||||||||||
For the years ended December 31, 2013, 2012 and 2011, losses arising from foreign currency transactions totaled approximately $0.3 million, $0.6 million and $0.2 million, respectively. Transaction gains and losses are reported as a component of other income (expense), net. | |||||||||||||||||
Accounting for Stock-Based Compensation | ' | ||||||||||||||||
Accounting for Stock-Based Compensation | |||||||||||||||||
The Company's stock-based compensation cost is measured at the grant date of the stock-based award based on the fair value of the award and is recognized as expense over the requisite service period, which generally represents the vesting period, and includes an estimate of the awards that will be forfeited. The Company uses the Black-Scholes valuation model for estimating the fair value of stock options. The fair value of stock option awards is affected by the valuation assumptions, including the expected volatility based on comparable market participants, expected term of the option, risk-free interest rate and expected dividends. When a contingent cash settlement of vested options becomes probable, the Company reclassifies its vested awards to a liability and accounts for any incremental compensation cost in the period in which the settlement becomes probable. | |||||||||||||||||
Accumulated Other Comprehensive (Loss) Income | ' | ||||||||||||||||
Accumulated Other Comprehensive (Loss) Income | |||||||||||||||||
Comprehensive loss is comprised of net loss, plus all changes in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources, including any foreign currency translation adjustments. These changes in equity are recorded as adjustments to accumulated other comprehensive (loss) income in the Company's consolidated balance sheet. The components of accumulated other comprehensive income (loss) consist of foreign currency translation adjustments. | |||||||||||||||||
Asset Retirement Obligations | ' | ||||||||||||||||
Asset Retirement Obligations | |||||||||||||||||
The Company's compliance with federal, state, local and foreign environmental laws and regulations may require it to remove or mitigate the effects of the disposal or release of chemical substances in jurisdictions where it does business or maintains properties. The Company establishes accruals when such costs are legally obligated and probable and can be reasonably estimated. Accrual amounts are estimated based on currently available information, regulatory requirements, remediation strategies, historical experience, the relative shares of the total remediation costs and a relevant discount rate, when the time periods of estimated costs can be reasonably predicted. Changes in these assumptions could impact the Company's future reported results. The amounts recorded for asset retirement obligations in the accompanying balance sheets at December 31, 2013 and 2012 were $6.4 million and $5.4 million, respectively. | |||||||||||||||||
Self Insurance Reserves | ' | ||||||||||||||||
Self Insurance Reserves | |||||||||||||||||
The Company's consolidated balance sheet at December 31, 2013 and 2012 includes approximately $0.4 million and $0.5 million, respectively, of accrued liabilities associated with employee medical costs that are retained by the Company. The Company estimates the required liability of such claims on an undiscounted basis based upon various assumptions which include, but are not limited to, the Company's historical loss experience and projected loss development factors. The required liability is also subject to adjustment in the future based upon changes in claims experience, including changes in the number of incidents (frequency) and change in the ultimate cost per incident (severity). The Company also maintains a separate cash account to fund these medical claims and must maintain a minimum balance as determined by the plan administrator. The balance of this restricted cash account was approximately $0.2 million and $27,000 at December 31, 2013 and 2012, respectively, and is included in other current assets. | |||||||||||||||||
Recent Accounting Standards | ' | ||||||||||||||||
Recent Accounting Standards | |||||||||||||||||
In July 2013, the Financial Accounting Standards Board (the "FASB") issued Accounting Standards Update ("ASU") No. 2013-11, "Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists" ("ASU 2013-11"). The amendments in ASU 2013-11 provide guidance on the financial statement presentation of unrecognized tax benefits when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. ASU 2013-11 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The Company will reflect the impact of these amendments beginning with the Company's Quarterly Report on Form 10-Q for the period ending March 31, 2014. The Company does not anticipate a material impact to the Company's financial position, results of operations or cash flows as a result of this change. | |||||||||||||||||
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Property, Plant and Equipment | ' | ||||||||||||||||
Estimated useful lives of the major classes of depreciable assets | ' | ||||||||||||||||
Buildings | 50 years | ||||||||||||||||
Land improvements | 40 years | ||||||||||||||||
Machinery and equipment | 3 - 20 years | ||||||||||||||||
Furniture and fixtures | 15 years | ||||||||||||||||
Leasehold improvements | Lesser of lease term or 15 years | ||||||||||||||||
Customer concentration risk | ' | ||||||||||||||||
Concentration of Risks and Limited Suppliers | ' | ||||||||||||||||
Schedule of customer and product concentration risk | ' | ||||||||||||||||
Accounts | Revenue for the year | ||||||||||||||||
Receivable as | ended December 31, | ||||||||||||||||
of December 31, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2011 | |||||||||||||
Company A | 16.7 | % | 30.7 | % | 18.8 | % | 27.4 | % | 26.5 | % | |||||||
Company B | 13.2 | % | 8.8 | % | 10.2 | % | 8.4 | % | 8.5 | % | |||||||
Company C | 7.2 | % | 7 | % | 9.8 | % | 11.5 | % | 11.1 | % | |||||||
Product concentration risk | ' | ||||||||||||||||
Concentration of Risks and Limited Suppliers | ' | ||||||||||||||||
Schedule of customer and product concentration risk | ' | ||||||||||||||||
Year Ended | |||||||||||||||||
December 31, | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
DEFINITY | 28.7 | % | 18.6 | % | 19.8 | % | |||||||||||
TechneLite | 33.9 | % | 41.2 | % | 38 | % | |||||||||||
Xenon | 11.8 | % | 10.8 | % | 7.7 | % | |||||||||||
Cardiolite | 9.6 | % | 12.6 | % | 19.1 | % |
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Fair Value of Financial Instruments | ' | |||||||||||||
Schedule of the information about the company's assets and liabilities measured at fair value on a recurring basis | ' | |||||||||||||
(in thousands) | Total fair | Quoted | Significant | Significant | ||||||||||
value at | prices in | other | unobservable | |||||||||||
December 31, | active | observable | inputs | |||||||||||
2013 | markets | inputs | (Level 3) | |||||||||||
(Level 1) | (Level 2) | |||||||||||||
Money market | $ | 1,236 | $ | 1,236 | $ | — | $ | — | ||||||
Certificates of deposit—restricted | 322 | — | 322 | — | ||||||||||
| | | | | | | | | | | | | | |
$ | 1,558 | $ | 1,236 | $ | 322 | $ | — | |||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
(in thousands) | Total fair | Quoted | Significant | Significant | ||||||||||
value at | prices in | other | unobservable | |||||||||||
December 31, | active | observable | inputs | |||||||||||
2012 | markets | inputs | (Level 3) | |||||||||||
(Level 1) | (Level 2) | |||||||||||||
Money market | $ | 2,004 | $ | 2,004 | $ | — | $ | — | ||||||
Certificates of deposit—restricted | 328 | — | 328 | — | ||||||||||
| | | | | | | | | | | | | | |
$ | 2,332 | $ | 2,004 | $ | 328 | $ | — | |||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
Schedule of the information about the company's assets and liabilities measured at fair value on a nonrecurring basis | ' | |||||||||||||
Year ending December 31, 2013 | Total fair | Quoted | Significant | Significant | ||||||||||
(in thousands) | value | prices in | other | unobservable | ||||||||||
active | observable | inputs | ||||||||||||
markets | inputs | (Level 3) | ||||||||||||
(Level 1) | (Level 2) | |||||||||||||
Cardiolite trademark | $ | 3,800 | $ | — | $ | — | $ | 3,800 | ||||||
Customer relationships | — | — | — | — | ||||||||||
| | | | | | | | | | | | | | |
Total | $ | 3,800 | $ | — | $ | — | $ | 3,800 | ||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Income Taxes | ' | |||||||||||||||||||
Schedule of components of (loss) income before income taxes | ' | |||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||||
United States | $ | (58,093 | ) | $ | (43,868 | ) | $ | (55,658 | ) | |||||||||||
International | (2,571 | ) | 1,312 | 3,287 | ||||||||||||||||
| | | | | | | | | | | ||||||||||
$ | (60,664 | ) | $ | (42,556 | ) | $ | (52,371 | ) | ||||||||||||
| | | | | | | | | | | ||||||||||
| | | | | | | | | | | ||||||||||
Schedule of provision (benefit) for income taxes | ' | |||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||||
Current | ||||||||||||||||||||
Federal | $ | (782 | ) | $ | (3,508 | ) | $ | (41 | ) | |||||||||||
State | 1,712 | 2,763 | 2,607 | |||||||||||||||||
International | 356 | 618 | 202 | |||||||||||||||||
| | | | | | | | | | | ||||||||||
$ | 1,286 | $ | (127 | ) | $ | 2,768 | ||||||||||||||
| | | | | | | | | | | ||||||||||
| | | | | | | | | | | ||||||||||
Deferred | ||||||||||||||||||||
Federal | $ | — | $ | 200 | $ | 75,939 | ||||||||||||||
State | — | — | 6,326 | |||||||||||||||||
International | (272 | ) | (628 | ) | (935 | ) | ||||||||||||||
| | | | | | | | | | | ||||||||||
(272 | ) | (428 | ) | 81,330 | ||||||||||||||||
| | | | | | | | | | | ||||||||||
$ | 1,014 | $ | (555 | ) | $ | 84,098 | ||||||||||||||
| | | | | | | | | | | ||||||||||
| | | | | | | | | | | ||||||||||
Schedule of differences in the provision (benefit) for income taxes from the amount computed by applying the statutory U.S. Federal income tax rate to (loss) income from operations before income taxes | ' | |||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||||
U.S. statutory rate | $ | (21,224 | ) | 35 | % | $ | (14,895 | ) | 35 | % | $ | (18,331 | ) | 35 | % | |||||
Permanent items and foreign tax credits | 292 | (0.5 | )% | (1,200 | ) | 2.8 | % | (363 | ) | 0.7 | % | |||||||||
Uncertain tax positions | 809 | (1.3 | )% | 892 | (2.1 | )% | 1,148 | (2.2 | )% | |||||||||||
Research credits | (1,346 | ) | 2.2 | % | — | — | (910 | ) | 1.7 | % | ||||||||||
State and local taxes | (1,780 | ) | 3 | % | (1,821 | ) | 4.3 | % | (1,815 | ) | 3.5 | % | ||||||||
Impact of rate change on deferred taxes | 31 | (0.1 | )% | (974 | ) | 2.3 | % | (393 | ) | 0.7 | % | |||||||||
True-up of prior year tax | (1,422 | ) | 2.3 | % | (2,345 | ) | 5.5 | % | 33 | (0.1 | )% | |||||||||
Foreign tax rate differential | 92 | (0.2 | )% | (455 | ) | 1.1 | % | (584 | ) | 1.1 | % | |||||||||
Valuation allowance | 25,674 | (42.3 | )% | 20,243 | (47.6 | )% | 102,692 | (196.1 | )% | |||||||||||
Tax on repatriation | (18 | ) | 0 | % | — | — | 2,600 | (5.0 | )% | |||||||||||
Other | (94 | ) | 0.2 | % | — | — | 21 | — | % | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
$ | 1,014 | (1.7 | )% | $ | (555 | ) | 1.3 | % | $ | 84,098 | (160.7 | )% | ||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Schedule of components of deferred income tax assets (liabilities) | ' | |||||||||||||||||||
(in thousands) | 2013 | 2012 | ||||||||||||||||||
Deferred Tax Assets | ||||||||||||||||||||
Federal benefit of state taxes payable | $ | 11,541 | $ | 10,926 | ||||||||||||||||
Reserves, accruals and other | 29,242 | 33,977 | ||||||||||||||||||
Capitalized research and development | 30,057 | 22,320 | ||||||||||||||||||
Capital loss carryforward | 2,309 | — | ||||||||||||||||||
Amortization of intangibles other than goodwill | 52,665 | 61,131 | ||||||||||||||||||
Net operating loss carryforwards | 31,405 | 7,851 | ||||||||||||||||||
| | | | | | | | |||||||||||||
Deferred tax assets | 157,219 | 136,205 | ||||||||||||||||||
| | | | | | | | |||||||||||||
Deferred Tax Liabilities | ||||||||||||||||||||
Reserves, accruals and other | (500 | ) | (1,125 | ) | ||||||||||||||||
Customer relationships | (7,860 | ) | (10,274 | ) | ||||||||||||||||
Depreciation | (360 | ) | (2,191 | ) | ||||||||||||||||
| | | | | | | | |||||||||||||
Deferred tax liability | (8,720 | ) | (13,590 | ) | ||||||||||||||||
Less: Valuation allowance | (148,535 | ) | (122,935 | ) | ||||||||||||||||
| | | | | | | | |||||||||||||
$ | (36 | ) | $ | (320 | ) | |||||||||||||||
| | | | | | | | |||||||||||||
| | | | | | | | |||||||||||||
Schedule of amounts recorded in the consolidated balance sheet | ' | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Recorded in the accompanying consolidated balance sheet as: | ||||||||||||||||||||
Current deferred tax assets | $ | 18 | $ | 115 | ||||||||||||||||
Current deferred tax liabilities | (57 | ) | — | |||||||||||||||||
Noncurrent deferred tax assets | 15 | — | ||||||||||||||||||
Noncurrent deferred tax liability | (12 | ) | (435 | ) | ||||||||||||||||
| | | | | | | | |||||||||||||
Net deferred tax liabilities | $ | (36 | ) | $ | (320 | ) | ||||||||||||||
| | | | | | | | |||||||||||||
| | | | | | | | |||||||||||||
Schedule of reconciliation of the Company's changes in uncertain tax positions | ' | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Beginning balance of uncertain tax positions as of January 1, 2011 | $ | 16,059 | ||||||||||||||||||
Additions related to current year tax positions | 195 | |||||||||||||||||||
Reductions related to prior year tax positions | (876 | ) | ||||||||||||||||||
| | | | | ||||||||||||||||
Balance of uncertain tax positions as of December 31, 2011 | 15,378 | |||||||||||||||||||
Additions related to current year tax positions | 301 | |||||||||||||||||||
Reductions related to prior year tax positions | — | |||||||||||||||||||
Settlements | (651 | ) | ||||||||||||||||||
Lapse of statute of limitations | (1,122 | ) | ||||||||||||||||||
| | | | | ||||||||||||||||
Balance of uncertain tax positions as of December 31, 2012 | 13,906 | |||||||||||||||||||
Additions related to current year tax positions | 18 | |||||||||||||||||||
Reductions related to prior year tax positions | — | |||||||||||||||||||
Settlements | (34 | ) | ||||||||||||||||||
Lapse of statute of limitations | (763 | ) | ||||||||||||||||||
| | | | | ||||||||||||||||
Balance of uncertain tax positions as of December 31, 2013 | $ | 13,127 | ||||||||||||||||||
| | | | | ||||||||||||||||
| | | | | ||||||||||||||||
Schedule of reconciliation of the Company's valuation allowance | ' | |||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Balance at January 1, 2011 | $ | 0 | ||||||||||||||||||
Charged to provision for income taxes | 102,692 | |||||||||||||||||||
Deductions | — | |||||||||||||||||||
| | | | | ||||||||||||||||
Balance at December 31, 2011 | 102,692 | |||||||||||||||||||
Charged to provision for income taxes | 20,243 | |||||||||||||||||||
Deductions | — | |||||||||||||||||||
| | | | | ||||||||||||||||
Balance at December 31, 2012 | 122,935 | |||||||||||||||||||
Charged to provision for income taxes | 25,600 | |||||||||||||||||||
Deductions | — | |||||||||||||||||||
| | | | | ||||||||||||||||
Balance at December 31, 2013 | $ | 148,535 | ||||||||||||||||||
| | | | | ||||||||||||||||
| | | | | ||||||||||||||||
Inventory_Tables
Inventory (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Inventory | ' | |||||||
Schedule of inventory, classified in inventory or other long-term assets | ' | |||||||
(in thousands) | December 31, | December 31, | ||||||
2013 | 2012 | |||||||
Raw materials | $ | 7,063 | $ | 7,573 | ||||
Work in process | 5,849 | 5,019 | ||||||
Finished goods | 5,398 | 5,456 | ||||||
| | | | | | | | |
Inventory | 18,310 | 18,048 | ||||||
Other long-term assets | 1,687 | 2,090 | ||||||
| | | | | | | | |
Total | $ | 19,997 | $ | 20,138 | ||||
| | | | | | | | |
| | | | | | | | |
Property_Plant_and_Equipment_n1
Property, Plant and Equipment, net (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Property, Plant and Equipment, net | ' | |||||||
Schedule of Property, plant and equipment, net | ' | |||||||
(in thousands) | 2013 | 2012 | ||||||
Land | $ | 14,950 | $ | 22,450 | ||||
Buildings | 65,787 | 64,649 | ||||||
Machinery, equipment and fixtures | 65,026 | 63,503 | ||||||
Construction in progress | 8,029 | 7,331 | ||||||
Accumulated depreciation | (56,139 | ) | (48,360 | ) | ||||
| | | | | | | | |
Property, plant and equipment, net | $ | 97,653 | $ | 109,573 | ||||
| | | | | | | | |
| | | | | | | | |
Asset_Retirement_Obligations_T
Asset Retirement Obligations (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Asset Retirement Obligations | ' | ||||
Schedule of reconciliation of the company's asset retirement obligations | ' | ||||
(in thousands) | |||||
Balance at January 1, 2011 | $ | 4,372 | |||
Capitalization | — | ||||
Accretion expense | 496 | ||||
| | | | | |
Balance at December 31, 2011 | 4,868 | ||||
Capitalization | — | ||||
Net decrease due to changes in estimated future cash flows | (5 | ) | |||
Accretion expense | 553 | ||||
| | | | | |
Balance at December 31, 2012 | 5,416 | ||||
Capitalization | — | ||||
Net increase due to changes in estimated future cash flows | 341 | ||||
Accretion expense | 628 | ||||
| | | | | |
Balance at December 31, 2013 | $ | 6,385 | |||
| | | | | |
| | | | | |
Intangibles_net_Tables
Intangibles, net (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Intangibles, net | ' | |||||||||||
Schedule of intangibles, net | ' | |||||||||||
December 31, 2013 | ||||||||||||
(in thousands) | Cost | Accumulated | Net | Amortization | ||||||||
amortization | Method | |||||||||||
Trademarks | $ | 13,540 | $ | 3,298 | $ | 10,242 | Straight-line | |||||
Customer relationships | 106,298 | 84,476 | 21,822 | Accelerated | ||||||||
Other patents | 42,780 | 39,846 | 2,934 | Straight-line | ||||||||
| | | | | | | | | | | | |
$ | 162,618 | $ | 127,620 | $ | 34,998 | |||||||
| | | | | | | | | | | | |
| | | | | | | | | | | | |
December 31, 2012 | ||||||||||||
(in thousands) | Cost | Accumulated | Net | Amortization | ||||||||
amortization | Method | |||||||||||
Trademarks | $ | 53,390 | $ | 20,743 | $ | 32,647 | Straight-line | |||||
Customer relationships | 114,000 | 83,385 | 30,615 | Accelerated | ||||||||
Other patents | 42,780 | 39,240 | 3,540 | Straight-line | ||||||||
| | | | | | | | | | | | |
$ | 210,170 | $ | 143,368 | $ | 66,802 | |||||||
| | | | | | | | | | | | |
| | | | | | | | | | | | |
Schedule of expected future amortization expense related to the intangible assets | ' | |||||||||||
Expected future amortization expense related to the intangible assets is as follows (in thousands): | ||||||||||||
Years ended December 31, | ||||||||||||
2014 | $ | 7,629 | ||||||||||
2015 | 6,036 | |||||||||||
2016 | 5,349 | |||||||||||
2017 | 3,530 | |||||||||||
2018 | 2,799 | |||||||||||
2019 and thereafter | 9,655 | |||||||||||
| | | | | ||||||||
$ | 34,998 | |||||||||||
| | | | | ||||||||
| | | | | ||||||||
Schedule of changes in gross carrying amount of intangible assets | ' | |||||||||||
Changes in the gross carrying amount of intangible assets for the year ended December 31, 2013 were as follows (in thousands): | ||||||||||||
(in thousands) | ||||||||||||
Balance at December 31, 2012 | $ | 210,170 | ||||||||||
Asset impairment charges | (46,592 | ) | ||||||||||
Effect of currency translation | (960 | ) | ||||||||||
| | | | | ||||||||
Balance at December 31, 2013 | $ | 162,618 | ||||||||||
| | | | | ||||||||
| | | | | ||||||||
Accrued_Expenses_and_Other_Lia1
Accrued Expenses and Other Liabilities (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Accrued Expenses and Other Liabilities | ' | |||||||
Schedule of accrued expenses | ' | |||||||
(in thousands) | 2013 | 2012 | ||||||
Compensation and benefits | $ | 10,209 | $ | 5,351 | ||||
Accrued interest | 4,989 | 5,040 | ||||||
Accrued professional fees | 1,361 | 1,628 | ||||||
Research and development services | 338 | 3,205 | ||||||
Freight, distribution and operations | 3,432 | 3,633 | ||||||
Accrued loss on firm purchase commitment | 1,315 | 7,469 | ||||||
Marketing expense | 749 | 1,168 | ||||||
Accrued rebates, discounts and chargebacks | 1,739 | 1,542 | ||||||
Other | 1,360 | 653 | ||||||
| | | | | | | | |
$ | 25,492 | $ | 29,689 | |||||
| | | | | | | | |
| | | | | | | | |
Financing_Arrangements_Tables
Financing Arrangements (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Financing Arrangements | ' | ||||
Schedule of redemption prices of notes based on a premium percentage on the principal | ' | ||||
Year | Percentage | ||||
2014 | 104.875 | % | |||
2015 | 102.438 | % | |||
2016 | 100 | % | |||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Stock-Based Compensation | ' | |||||||||||||||||||
Schedule of assumptions used for estimating the fair value of each option award on the date of grant using a Black-Scholes valuation model | ' | |||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Expected volatility | 30 - 37% | 36 - 41% | 33 - 40% | |||||||||||||||||
Expected dividends | — | — | — | |||||||||||||||||
Expected life (in years) | 3.6 - 6.3 | 5.5 - 6.5 | 6.5 | |||||||||||||||||
Risk-free interest rate | 0.5 - 1.7% | 0.7 - 1.4% | 1.9 - 2.9% | |||||||||||||||||
Schedule of option activity | ' | |||||||||||||||||||
Time Based | Performance | Total | Weighted | Weighted | Aggregate | |||||||||||||||
Based | Shares | Average | Average | Intrinsic | ||||||||||||||||
Exercise | Remaining | Value | ||||||||||||||||||
Price | Contractual | |||||||||||||||||||
Term | ||||||||||||||||||||
Outstanding at January 1, 2013 | 2,326,350 | 1,002,948 | 3,329,298 | $ | 3.11 | 5.6 | $ | 15,336,000 | ||||||||||||
Options granted | 1,348,177 | 600,000 | 1,948,177 | 6.77 | ||||||||||||||||
Options cancelled | (228,925 | ) | (260,980 | ) | (489,905 | ) | 2.33 | |||||||||||||
Options exercised | (583,750 | ) | (47,768 | ) | (631,518 | ) | 2 | |||||||||||||
Options forfeited and expired | (100,815 | ) | (196,775 | ) | (297,590 | ) | 7.66 | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Outstanding at December 31, 2013 | 2,761,037 | 1,097,425 | 3,858,462 | $ | 4.89 | 6.9 | $ | 67,770,000 | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Vested and expected to vest at December 31, 2013 | 2,675,020 | 722,055 | 3,397,075 | $ | 4.63 | 6.6 | $ | 67,770,000 | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Exercisable at December 31, 2013 | 1,491,401 | 506,705 | 1,998,106 | $ | 2.9 | 4.7 | $ | 67,770,000 | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Schedule of stock-based compensation expense (income) recognized | ' | |||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||||
Cost of goods sold | $ | 41 | $ | 79 | $ | 2 | ||||||||||||||
General and administrative | 429 | 982 | 58 | |||||||||||||||||
Sales and marketing | 93 | 111 | (1,064 | ) | ||||||||||||||||
Research and development | 15 | 68 | 35 | |||||||||||||||||
| | | | | | | | | | | ||||||||||
Total stock-based compensation expense (income) | $ | 578 | $ | 1,240 | $ | (969 | ) | |||||||||||||
| | | | | | | | | | | ||||||||||
| | | | | | | | | | | ||||||||||
Modified stock options | ' | |||||||||||||||||||
Stock-Based Compensation | ' | |||||||||||||||||||
Schedule of assumptions used for estimating the fair value of each option award on the date of grant using a Black-Scholes valuation model | ' | |||||||||||||||||||
Three Months | Three Months | |||||||||||||||||||
Ended | Ended | |||||||||||||||||||
March 31, 2012 | September 30, | |||||||||||||||||||
2012 | ||||||||||||||||||||
Expected volatility | 30 - 36% | 31 | % | |||||||||||||||||
Expected dividends | — | — | ||||||||||||||||||
Expected term (in years) | 0.3 - 3.5 | 3.3 | ||||||||||||||||||
Risk-free interest rate | 0.3 - 0.8% | 0.3 | % | |||||||||||||||||
Year Ended | ||||||||||||||||||||
December 31, | ||||||||||||||||||||
2012 | ||||||||||||||||||||
Expected volatility | 30 | % | ||||||||||||||||||
Expected dividends | — | |||||||||||||||||||
Expected term (in years) | 2.5 | |||||||||||||||||||
Risk-free interest rate | 0.3 | % | ||||||||||||||||||
Other_Income_Expense_net_Table
Other Income (Expense), net (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Other Income (Expense), net | ' | ||||||||||
Schedule of other income, net | ' | ||||||||||
Years Ended December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Foreign currency (losses) | $ | (349 | ) | $ | (579 | ) | $ | (156 | ) | ||
Tax indemnification income | 1,141 | 346 | 1,380 | ||||||||
Other income | 369 | 189 | 205 | ||||||||
| | | | | | | | | | | |
Total other income (expense), net | $ | 1,161 | $ | (44 | ) | $ | 1,429 | ||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Commitments_Tables
Commitments (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Commitments | ' | ||||||||||
Schedule of minimum lease and purchase commitments under noncancelable arrangements | ' | ||||||||||
Minimum lease and purchase commitments under noncancelable arrangements are as follows (in thousands): | |||||||||||
Years ended December 31, | Operating | Other | Total | ||||||||
Leases | |||||||||||
2014 | $ | 898 | $ | 3,416 | $ | 4,314 | |||||
2015 | 535 | — | 535 | ||||||||
2016 | 345 | — | 345 | ||||||||
2017 | 267 | — | 267 | ||||||||
2018 | 200 | — | 200 | ||||||||
2019 and thereafter | 264 | — | 264 | ||||||||
| | | | | | | | | | | |
$ | 2,509 | $ | 3,416 | $ | 5,925 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Segment_Information_Tables
Segment Information (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Segment Information | ' | ||||||||||
Schedule of selected information for each business segment | ' | ||||||||||
Selected information for each business segment are as follows (in thousands): | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Revenues | |||||||||||
U.S. | $ | 234,567 | $ | 229,926 | $ | 291,344 | |||||
International | 70,033 | 78,094 | 87,927 | ||||||||
| | | | | | | | | | | |
Total revenue, including inter-segment | 304,600 | 308,020 | 379,271 | ||||||||
Inter-segment revenue | (20,928 | ) | (19,915 | ) | (22,979 | ) | |||||
| | | | | | | | | | | |
$ | 283,672 | $ | 288,105 | $ | 356,292 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Revenues from external customers | |||||||||||
U.S. | $ | 213,639 | $ | 210,011 | $ | 268,365 | |||||
International | 70,033 | 78,094 | 87,927 | ||||||||
| | | | | | | | | | | |
$ | 283,672 | $ | 288,105 | $ | 356,292 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Revenues by product | |||||||||||
DEFINITY | $ | 78,094 | $ | 51,431 | $ | 68,503 | |||||
TechneLite | 92,195 | 114,249 | 131,241 | ||||||||
Cardiolite | 26,137 | 34,995 | 66,127 | ||||||||
Xenon | 32,125 | 30,075 | 26,761 | ||||||||
Other | 55,121 | 57,355 | 63,660 | ||||||||
| | | | | | | | | | | |
$ | 283,672 | $ | 288,105 | $ | 356,292 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Geographical revenue | |||||||||||
U.S. | $ | 213,639 | $ | 210,011 | $ | 268,365 | |||||
Canada | 35,502 | 37,017 | 42,366 | ||||||||
All other | 34,531 | 41,077 | 45,561 | ||||||||
| | | | | | | | | | | |
$ | 283,672 | $ | 288,105 | $ | 356,292 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Operating income/(loss) | |||||||||||
U.S. | $ | (18,904 | ) | $ | (11,104 | ) | $ | (25,881 | ) | ||
International | 703 | 9,820 | 12,767 | ||||||||
| | | | | | | | | | | |
Total operating loss, including inter-segment | (18,201 | ) | (1,284 | ) | (13,114 | ) | |||||
Inter-segment operating income (loss) | (813 | ) | 534 | (3,361 | ) | ||||||
| | | | | | | | | | | |
Operating loss | (19,014 | ) | (750 | ) | (16,475 | ) | |||||
Interest expense | (42,915 | ) | (42,014 | ) | (37,658 | ) | |||||
Interest income | 104 | 252 | 333 | ||||||||
Other income (expense), net | 1,161 | (44 | ) | 1,429 | |||||||
| | | | | | | | | | | |
Loss before income taxes | $ | (60,664 | ) | $ | (42,556 | ) | $ | (52,371 | ) | ||
| | | | | | | | | | | |
| | | | | | | | | | | |
Depreciation and amortization | |||||||||||
U.S. | $ | 22,146 | $ | 23,918 | $ | 28,912 | |||||
International | 3,009 | 3,484 | 3,850 | ||||||||
| | | | | | | | | | | |
$ | 25,155 | $ | 27,402 | $ | 32,762 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Capital expenditures | |||||||||||
U.S. | $ | 4,903 | $ | 7,353 | $ | 7,100 | |||||
International | 107 | 567 | 594 | ||||||||
| | | | | | | | | | | |
$ | 5,010 | $ | 7,920 | $ | 7,694 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
2013 | 2012 | ||||||||||
Assets | |||||||||||
U.S. | $ | 232,973 | $ | 279,808 | |||||||
International | 26,412 | 43,118 | |||||||||
| | | | | | | | ||||
$ | 259,385 | $ | 322,926 | ||||||||
| | | | | | | | ||||
| | | | | | | | ||||
2013 | 2012 | ||||||||||
Long-lived assets | |||||||||||
U.S. | $ | 91,683 | $ | 101,773 | |||||||
International | 5,970 | 7,800 | |||||||||
| | | | | | | | ||||
$ | 97,653 | $ | 109,573 | ||||||||
| | | | | | | | ||||
| | | | | | | | ||||
Valuation_and_Qualifying_Accou1
Valuation and Qualifying Accounts (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Valuation and Qualifying Accounts | ' | |||||||||||||
Schedule of valuation and qualifying accounts | ' | |||||||||||||
(in thousands) | Balance at | Charge to Costs | Deductions | Balance at End | ||||||||||
Beginning of | and | From | of Fiscal Year | |||||||||||
Fiscal Year | Expenses | Reserves | ||||||||||||
(Recovery of | ||||||||||||||
write-offs) | ||||||||||||||
Year ended December 31, 2013: | ||||||||||||||
Allowance for doubtful accounts | $ | 301 | $ | 63 | $ | (74 | ) | $ | 290 | |||||
Year ended December 31, 2012: | ||||||||||||||
Allowance for doubtful accounts | $ | 462 | $ | (117 | ) | $ | (44 | ) | $ | 301 | ||||
Year ended December 31, 2011: | ||||||||||||||
Allowance for doubtful accounts | $ | 796 | $ | 301 | $ | (635 | ) | $ | 462 | |||||
Guarantor_Financial_Informatio1
Guarantor Financial Information (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Guarantor Financial Information | ' | |||||||||||||||||||
Schedule of Consolidating Balance Sheet Information | ' | |||||||||||||||||||
Consolidating Balance Sheet Information | ||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||
(in thousands) | Lantheus | LMI | Guarantor | Non- | Eliminations | Total | ||||||||||||||
Intermediate | Subsidiary | Guarantor | ||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Assets: | ||||||||||||||||||||
Current assets | ||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 11,995 | $ | — | $ | 4,674 | $ | — | $ | 16,669 | ||||||||
Accounts receivable, net | — | 28,099 | — | 10,811 | — | 38,910 | ||||||||||||||
Intercompany accounts receivable | — | 2,671 | — | — | (2,671 | ) | — | |||||||||||||
Inventory | — | 15,414 | — | 2,896 | — | 18,310 | ||||||||||||||
Income tax receivable | — | 297 | — | 28 | — | 325 | ||||||||||||||
Deferred tax assets | — | — | — | 18 | — | 18 | ||||||||||||||
Other current assets | — | 2,906 | — | 181 | — | 3,087 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total current assets | — | 61,382 | — | 18,608 | (2,671 | ) | 77,319 | |||||||||||||
Property, plant and equipment, net | — | 76,068 | 15,615 | 5,970 | — | 97,653 | ||||||||||||||
Capitalized software development costs, net | — | 1,468 | — | 2 | — | 1,470 | ||||||||||||||
Intangibles, net | — | 31,838 | — | 3,160 | — | 34,998 | ||||||||||||||
Goodwill | — | 15,714 | — | — | — | 15,714 | ||||||||||||||
Deferred financing costs | — | 9,639 | — | — | — | 9,639 | ||||||||||||||
Deferred tax assets | — | — | — | 15 | — | 15 | ||||||||||||||
Investment in subsidiaries | (237,088 | ) | 40,289 | — | — | 196,799 | — | |||||||||||||
Intercompany note receivable | — | — | — | 5,396 | (5,396 | ) | — | |||||||||||||
Other long-term assets | — | 22,370 | — | 207 | — | 22,577 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total assets | $ | (237,088 | ) | $ | 258,768 | $ | 15,615 | $ | 33,358 | $ | 188,732 | $ | 259,385 | |||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Liabilities and (deficit) equity: | ||||||||||||||||||||
Current liabilities | ||||||||||||||||||||
Line of Credit | $ | — | $ | 8,000 | $ | — | $ | — | $ | — | $ | 8,000 | ||||||||
Accounts payable | — | 16,672 | — | 1,431 | — | 18,103 | ||||||||||||||
Intercompany accounts payable | — | — | — | 2,671 | (2,671 | ) | — | |||||||||||||
Accrued expenses and other liabilities | — | 21,409 | — | 4,083 | — | 25,492 | ||||||||||||||
Deferred tax liability | — | — | — | 57 | — | 57 | ||||||||||||||
Deferred revenue | — | 3,979 | — | — | — | 3,979 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total current liabilities | — | 50,060 | — | 8,242 | (2,671 | ) | 55,631 | |||||||||||||
Asset retirement obligations | — | 6,212 | — | 173 | — | 6,385 | ||||||||||||||
Long-term debt, net | — | 399,037 | — | — | — | 399,037 | ||||||||||||||
Intercompany note payable | — | 5,396 | — | — | (5,396 | ) | — | |||||||||||||
Deferred tax liability | — | — | — | 12 | — | 12 | ||||||||||||||
Other long-term liabilities | — | 35,151 | — | 257 | — | 35,408 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total liabilities | — | 495,856 | — | 8,684 | (8,067 | ) | 496,473 | |||||||||||||
(Deficit) equity | (237,088 | ) | (237,088 | ) | 15,615 | 24,674 | 196,799 | (237,088 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total liabilities and (deficit) equity | $ | (237,088 | ) | $ | 258,768 | $ | 15,615 | $ | 33,358 | $ | 188,732 | $ | 259,385 | |||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Consolidating Balance Sheet Information | ||||||||||||||||||||
December 31, 2012 | ||||||||||||||||||||
(in thousands) | Lantheus | LMI | Guarantor | Non- | Eliminations | Total | ||||||||||||||
Intermediate | Subsidiary | Guarantor | ||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Assets: | ||||||||||||||||||||
Current assets | ||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 17,635 | $ | — | $ | 13,960 | $ | — | $ | 31,595 | ||||||||
Accounts receivable, net | — | 30,218 | — | 11,162 | — | 41,380 | ||||||||||||||
Intercompany accounts receivable | — | 1,992 | — | — | (1,992 | ) | — | |||||||||||||
Inventory | — | 15,417 | — | 2,631 | — | 18,048 | ||||||||||||||
Income tax receivable | — | 291 | — | 445 | — | 736 | ||||||||||||||
Deferred tax assets | — | — | — | 115 | — | 115 | ||||||||||||||
Other current assets | — | 2,596 | — | 347 | — | 2,943 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total current assets | — | 68,149 | — | 28,660 | (1,992 | ) | 94,817 | |||||||||||||
Property, plant and equipment, net | — | 78,578 | 23,195 | 7,800 | — | 109,573 | ||||||||||||||
Capitalized software development costs, net | — | 2,230 | — | 4 | — | 2,234 | ||||||||||||||
Intangibles, net | — | 60,370 | — | 6,432 | — | 66,802 | ||||||||||||||
Goodwill | — | 15,714 | — | — | — | 15,714 | ||||||||||||||
Deferred financing costs | — | 11,372 | — | — | — | 11,372 | ||||||||||||||
Investment in subsidiaries | (174,353 | ) | 58,166 | — | — | 116,187 | — | |||||||||||||
Other long-term assets | — | 22,192 | — | 222 | — | 22,414 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total assets | $ | (174,353 | ) | $ | 316,771 | $ | 23,195 | $ | 43,118 | $ | 114,195 | $ | 322,926 | |||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Liabilities and (deficit) equity: | ||||||||||||||||||||
Current liabilities | ||||||||||||||||||||
Accounts payable | $ | — | $ | 16,835 | $ | — | $ | 2,110 | $ | — | $ | 18,945 | ||||||||
Intercompany accounts payable | — | — | — | 1,992 | (1,992 | ) | — | |||||||||||||
Accrued expenses | — | 26,592 | — | 3,097 | — | 29,689 | ||||||||||||||
Deferred revenue | — | 7,229 | — | 91 | — | 7,320 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total current liabilities | — | 50,656 | — | 7,290 | (1,992 | ) | 55,954 | |||||||||||||
Asset retirement obligations | — | 5,268 | — | 148 | — | 5,416 | ||||||||||||||
Long-term debt, net | — | 398,822 | — | — | — | 398,822 | ||||||||||||||
Deferred tax liability | — | — | — | 435 | — | 435 | ||||||||||||||
Other long-term liabilities | — | 36,378 | — | 274 | — | 36,652 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total liabilities | — | 491,124 | — | 8,147 | (1,992 | ) | 497,279 | |||||||||||||
(Deficit) equity | (174,353 | ) | (174,353 | ) | 23,195 | 34,971 | 116,187 | (174,353 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total liabilities and (deficit) equity | $ | (174,353 | ) | $ | 316,771 | $ | 23,195 | $ | 43,118 | $ | 114,195 | $ | 322,926 | |||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Consolidating Comprehensive (Loss) Income Information | ' | |||||||||||||||||||
Consolidating Comprehensive Loss Information | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(in thousands) | Lantheus | LMI | Guarantor | Non- | Eliminations | Total | ||||||||||||||
Intermediate | Subsidiary | Guarantor | ||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Revenues | ||||||||||||||||||||
Net product revenues | $ | — | $ | 231,216 | $ | — | $ | 61,521 | $ | (20,928 | ) | $ | 271,809 | |||||||
License and other revenues | — | 11,863 | — | — | — | 11,863 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total revenues | — | 243,079 | — | 61,521 | (20,928 | ) | 283,672 | |||||||||||||
Cost of goods sold | — | 169,334 | — | 57,905 | (20,928 | ) | 206,311 | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Gross profit | — | 73,745 | — | 3,616 | — | 77,361 | ||||||||||||||
Operating expenses | ||||||||||||||||||||
General and administrative expenses | — | 30,785 | 80 | 2,294 | — | 33,159 | ||||||||||||||
Sales and marketing expenses | — | 31,668 | — | 3,559 | — | 35,227 | ||||||||||||||
Research and development expenses | — | 30,138 | — | 321 | — | 30,459 | ||||||||||||||
Proceeds from manufacturer | — | (8,876 | ) | — | — | — | (8,876 | ) | ||||||||||||
Impairment on land | — | — | 6,406 | — | — | 6,406 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Operating loss | — | (9,970 | ) | (6,486 | ) | (2,558 | ) | — | (19,014 | ) | ||||||||||
Interest expense | — | (43,011 | ) | — | — | 96 | (42,915 | ) | ||||||||||||
Interest income | — | 1 | — | 199 | (96 | ) | 104 | |||||||||||||
Other income (expense) | — | 1,373 | — | (212 | ) | — | 1,161 | |||||||||||||
Equity in earnings (losses) of affiliates | (61,678 | ) | (9,142 | ) | — | — | 70,820 | — | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
(Loss) income before income taxes | (61,678 | ) | (60,749 | ) | (6,486 | ) | (2,571 | ) | 70,820 | (60,664 | ) | |||||||||
Provision (benefit) for income taxes | — | 929 | — | 85 | — | 1,014 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Net (loss) income | (61,678 | ) | (61,678 | ) | (6,486 | ) | (2,656 | ) | 70,820 | (61,678 | ) | |||||||||
| | | | | | | | | | | | | | | | | | | | |
Foreign currency translation, net of taxes | — | — | — | (1,729 | ) | — | (1,729 | ) | ||||||||||||
Equity in other comprehensive income (loss) of subsidiaries | (1,729 | ) | (1,729 | ) | — | — | 3,458 | — | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total other comprehensive (loss) income | $ | (63,407 | ) | $ | (63,407 | ) | $ | (6,486 | ) | $ | (4,385 | ) | $ | 74,278 | $ | (63,407 | ) | |||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Consolidating Comprehensive Loss Information | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(in thousands) | Lantheus | LMI | Guarantor | Non- | Eliminations | Total | ||||||||||||||
Intermediate | Subsidiary | Guarantor | ||||||||||||||||||
Subsidiaries | ||||||||||||||||||||
Revenues | ||||||||||||||||||||
Net product revenues | $ | — | $ | 230,655 | $ | — | $ | 66,614 | $ | (19,915 | ) | $ | 277,354 | |||||||
License and other revenues | — | 10,751 | — | — | — | 10,751 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total revenues | — | 241,406 | — | 66,614 | (19,915 | ) | 288,105 | |||||||||||||
Cost of goods sold | — | 171,257 | — | 59,707 | (19,915 | ) | 211,049 | |||||||||||||
Loss on firm purchase commitment | — | 1,859 | — | — | — | 1,859 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total cost of goods sold | — | 173,116 | — | 59,707 | (19,915 | ) | 212,908 | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Gross profit | — | 68,290 | — | 6,907 | — | 75,197 | ||||||||||||||
Operating expenses | ||||||||||||||||||||
General and administrative expenses | — | 30,112 | 80 | 2,328 | — | 32,520 | ||||||||||||||
Sales and marketing expenses | — | 34,220 | — | 3,217 | — | 37,437 | ||||||||||||||
Research and development expenses | — | 40,457 | — | 147 | — | 40,604 | ||||||||||||||
Proceeds from manufacturer | — | (34,614 | ) | — | — | — | (34,614 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Operating income (loss) | — | (1,885 | ) | (80 | ) | 1,215 | — | (750 | ) | |||||||||||
Interest expense | — | (42,014 | ) | — | — | — | (42,014 | ) | ||||||||||||
Interest income | — | 1 | — | 251 | — | 252 | ||||||||||||||
Other income (expense) | — | 110 | — | (154 | ) | — | (44 | ) | ||||||||||||
Equity in earnings (losses) of affiliates | (42,001 | ) | 1,242 | — | — | 40,759 | — | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
(Loss) income before income taxes | (42,001 | ) | (42,546 | ) | (80 | ) | 1,312 | 40,759 | (42,556 | ) | ||||||||||
Provision (benefit) for income taxes | — | (545 | ) | — | (10 | ) | — | (555 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Net (loss) income | (42,001 | ) | (42,001 | ) | (80 | ) | 1,322 | 40,759 | (42,001 | ) | ||||||||||
| | | | | | | | | | | | | | | | | | | | |
Foreign currency translation, net of taxes | — | 200 | — | 764 | — | 964 | ||||||||||||||
Equity in other comprehensive income (loss) of subsidiaries | 964 | 764 | — | — | (1,728 | ) | — | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total other comprehensive (loss) income | $ | (41,037 | ) | $ | (41,037 | ) | $ | (80 | ) | $ | 2,086 | $ | 39,031 | $ | (41,037 | ) | ||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Consolidating Comprehensive Loss Information | ||||||||||||||||||||
Year Ended December 31, 2011 | ||||||||||||||||||||
(in thousands) | Lantheus | LMI | Guarantor | Non-Guarantor | Eliminations | Total | ||||||||||||||
Intermediate | Subsidiary | Subsidiaries | ||||||||||||||||||
Revenues | ||||||||||||||||||||
Net product revenues | $ | — | $ | 293,775 | $ | — | $ | 74,966 | $ | (22,979 | ) | $ | 345,762 | |||||||
License and other revenues | — | 10,530 | — | — | — | 10,530 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total revenues | — | 304,305 | — | 74,966 | (22,979 | ) | 356,292 | |||||||||||||
Cost of goods sold | — | 213,121 | — | 65,324 | (22,979 | ) | 255,466 | |||||||||||||
Loss on firm purchase commitment | — | 5,610 | — | — | — | 5,610 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total cost of goods sold | — | 218,731 | — | 65,324 | (22,979 | ) | 261,076 | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Gross profit | — | 85,574 | — | 9,642 | — | 95,216 | ||||||||||||||
Operating expenses | ||||||||||||||||||||
General and administrative expenses | — | 29,335 | 80 | 2,642 | — | 32,057 | ||||||||||||||
Sales and marketing expenses | — | 34,665 | — | 4,024 | — | 38,689 | ||||||||||||||
Research and development expenses | — | 40,387 | — | 558 | — | 40,945 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Operating income (loss) | — | (18,813 | ) | (80 | ) | 2,418 | — | (16,475 | ) | |||||||||||
Interest expense | — | (37,658 | ) | — | — | — | (37,658 | ) | ||||||||||||
Interest income | — | 1 | — | 332 | — | 333 | ||||||||||||||
Other income (expense) | — | 1,573 | — | (144 | ) | — | 1,429 | |||||||||||||
Equity in earnings (losses) of affiliates | (136,469 | ) | 3,288 | — | — | 133,181 | — | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
(Loss) income before income taxes | (136,469 | ) | (51,609 | ) | (80 | ) | 2,606 | 133,181 | (52,371 | ) | ||||||||||
Provision (benefit) for income taxes | — | 84,860 | (28 | ) | (734 | ) | — | 84,098 | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Net (loss) income | (136,469 | ) | (136,469 | ) | (52 | ) | 3,340 | 133,181 | (136,469 | ) | ||||||||||
| | | | | | | | | | | | | | | | | | | | |
Foreign currency translation | — | — | — | (104 | ) | — | (104 | ) | ||||||||||||
Income tax expense related to items of other comprehensive (loss) income | — | (233 | ) | — | — | — | (233 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Total other comprehensive (loss) income | $ | (136,469 | ) | $ | (136,702 | ) | $ | (52 | ) | $ | 3,236 | $ | 133,181 | $ | (136,806 | ) | ||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Schedule of Condensed Consolidating Cash Flow Information | ' | |||||||||||||||||||
Condensed Consolidating Cash Flow Information | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
Lantheus | LMI | Guarantor | Non-Guarantor | Eliminations | Total | |||||||||||||||
Intermediate | Subsidiary | Subsidiaries | ||||||||||||||||||
Cash provided by operating activities | $ | — | $ | (17,273 | ) | $ | — | $ | 3,333 | $ | (1,738 | ) | $ | (15,678 | ) | |||||
| | | | | | | | | | | | | | | | | | | | |
Cash flows from investing activities | ||||||||||||||||||||
Capital expenditures | — | (4,903 | ) | — | (107 | ) | — | (5,010 | ) | |||||||||||
Proceeds from dividend | — | 5,268 | — | — | (5,268 | ) | — | |||||||||||||
Proceeds from sale of property, plant and equipment | — | 433 | 1,094 | — | — | 1,527 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash provided by (used in) investing activities | — | 798 | 1,094 | (107 | ) | (5,268 | ) | (3,483 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash flows from financing activities | ||||||||||||||||||||
Proceeds on line of credit | — | 8,000 | — | — | — | 8,000 | ||||||||||||||
Payments on note payable | — | (1,310 | ) | — | — | — | (1,310 | ) | ||||||||||||
Payments of deferred financing costs | — | (1,249 | ) | — | — | — | (1,249 | ) | ||||||||||||
Due from parent | — | 94 | — | — | — | 94 | ||||||||||||||
Intercompany note | — | 5,300 | — | (5,300 | ) | — | — | |||||||||||||
Payment of dividend | — | — | (1,094 | ) | (5,912 | ) | 7,006 | — | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash provided by (used in) financing activities | — | 10,835 | (1,094 | ) | (11,212 | ) | 7,006 | 5,535 | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Effect of foreign exchange rate on cash | — | — | — | (1,300 | ) | — | (1,300 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Decrease in cash and cash equivalents | — | (5,640 | ) | — | (9,286 | ) | — | (14,926 | ) | |||||||||||
Cash and cash equivalents, beginning of year | — | 17,635 | — | 13,960 | — | 31,595 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents, end of year | $ | — | $ | 11,995 | $ | — | $ | 4,674 | $ | — | $ | 16,669 | ||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Condensed Consolidating Cash Flow Information | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
Lantheus | LMI | Guarantor | Non-Guarantor | Eliminations | Total | |||||||||||||||
Intermediate | Subsidiary | Subsidiaries | ||||||||||||||||||
Cash provided by operating activities | $ | — | $ | 3,829 | $ | — | $ | 4,568 | $ | (7,874 | ) | $ | 523 | |||||||
| | | | | | | | | | | | | | | | | | | | |
Cash flows from investing activities | ||||||||||||||||||||
Capital expenditures | — | (7,353 | ) | — | (567 | ) | — | (7,920 | ) | |||||||||||
Purchase of certificate of deposit | — | (225 | ) | — | — | — | (225 | ) | ||||||||||||
Proceeds from dividend | — | 2,949 | — | — | (2,949 | ) | — | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash provided by (used in) investing activities | — | (4,629 | ) | — | (567 | ) | (2,949 | ) | (8,145 | ) | ||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash flows from financing activities | ||||||||||||||||||||
Payments on note payable | — | (1,530 | ) | — | — | — | (1,530 | ) | ||||||||||||
Payments of deferred financing costs | — | (442 | ) | — | — | — | (442 | ) | ||||||||||||
Due from parent | — | (67 | ) | — | — | — | (67 | ) | ||||||||||||
Payment of dividend | — | — | — | (10,823 | ) | 10,823 | — | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash used in financing activities | — | (2,039 | ) | — | (10,823 | ) | 10,823 | (2,039 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Effect of foreign exchange rate on cash | — | — | — | 649 | — | 649 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Decrease in cash and cash equivalents | — | (2,839 | ) | — | (6,173 | ) | — | (9,012 | ) | |||||||||||
Cash and cash equivalents, beginning of year | — | 20,474 | — | 20,133 | — | 40,607 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents, end of year | $ | — | $ | 17,635 | $ | — | $ | 13,960 | $ | — | $ | 31,595 | ||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Condensed Consolidating Cash Flow Information | ||||||||||||||||||||
Year Ended December 31, 2011 | ||||||||||||||||||||
Lantheus | LMI | Guarantor | Non-Guarantor | Eliminations | Total | |||||||||||||||
Intermediate | Subsidiary | Subsidiaries | ||||||||||||||||||
Cash provided by operating activities | $ | 600 | $ | 15,409 | $ | — | $ | 7,011 | $ | (600 | ) | $ | 22,420 | |||||||
| | | | | | | | | | | | | | | | | | | | |
Cash flows from investing activities | ||||||||||||||||||||
Capital expenditures | — | (7,023 | ) | — | (671 | ) | — | (7,694 | ) | |||||||||||
Proceeds from dividend | 149,400 | — | — | — | (149,400 | ) | — | |||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash provided by (used in) investing activities | 149,400 | (7,023 | ) | — | (671 | ) | (149,400 | ) | (7,694 | ) | ||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash flows from financing activities | ||||||||||||||||||||
Proceeds from issuance of debt | — | 152,250 | — | — | — | 152,250 | ||||||||||||||
Consent solicitation fee | — | (3,750 | ) | — | — | — | (3,750 | ) | ||||||||||||
Payments of deferred financing costs | — | (5,491 | ) | — | — | — | (5,491 | ) | ||||||||||||
Proceeds from line of credit | — | 10,000 | — | — | — | 10,000 | ||||||||||||||
Payments on line of credit | — | (10,000 | ) | — | — | — | (10,000 | ) | ||||||||||||
Payment of dividend | (150,000 | ) | (150,000 | ) | — | — | 150,000 | (150,000 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash used in financing activities | (150,000 | ) | (6,991 | ) | — | — | 150,000 | (6,991 | ) | |||||||||||
| | | | | | | | | | | | | | | | | | | | |
Effect of foreign exchange rate on cash | — | — | — | (134 | ) | — | (134 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Increase in cash and cash equivalents | — | 1,395 | — | 6,206 | — | 7,601 | ||||||||||||||
Cash and cash equivalents, beginning of year | — | 19,079 | — | 13,927 | — | 33,006 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents, end of year | $ | — | $ | 20,474 | $ | — | $ | 20,133 | $ | — | $ | 40,607 | ||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
Description_of_Business_Detail
Description of Business (Details) | 12 Months Ended |
Dec. 31, 2013 | |
item | |
Canada | ' |
Description of business | ' |
Number of radiopharmacies owned | 5 |
Puerto Rico | ' |
Description of business | ' |
Number of radiopharmacies owned | 2 |
Australia | ' |
Description of business | ' |
Number of radiopharmacies owned | 2 |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Details) (USD $) | 12 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | |||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Aug. 06, 2013 | Feb. 03, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | |
item | Facility | Facility | Facility | Minimum | DEFINITY and Cardiolite | Settlement and Mutual Release Agreement | Settlement and Mutual Release Agreement | Settlement and Mutual Release Agreement | |||
item | item | ||||||||||
Basis of Consolidation and Presentation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net loss | $61,678,000 | $42,001,000 | $136,469,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Operating loss | 19,014,000 | 750,000 | 16,475,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Description of Business | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of manufacturers | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' |
Proceeds from Ben Venue Laboratories (BVL) | 8,876,000 | 34,614,000 | ' | ' | ' | ' | ' | ' | 8,900,000 | 900,000 | 34,600,000 |
Borrowing base | ' | ' | ' | 42,500,000 | ' | ' | ' | ' | ' | ' | ' |
Unfunded standby Letter of Credit outstanding | ' | ' | ' | 8,800,000 | 8,800,000 | 4,400,000 | ' | ' | ' | ' | ' |
Amount outstanding | ' | ' | ' | 8,000,000 | ' | ' | ' | ' | ' | ' | ' |
Available borrowing capacity | ' | ' | ' | $25,700,000 | ' | ' | ' | ' | ' | ' | ' |
Number of strategic partners to engage with for further development and commercialization of development candidates | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' |
Number of other development candidates for which strategic partners to assist with the on-going development activities | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies (Details 2) (USD $) | 0 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 6 Months Ended | 12 Months Ended | 48 Months Ended | ||||||
In Millions, unless otherwise specified | Dec. 27, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Jan. 02, 2009 | Jun. 30, 2009 | Jun. 30, 2009 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2012 |
item | Deferred revenue | Deferred revenue | Other long-term liabilities | License and supply agreement | License and supply agreement | License and supply agreement | License and supply agreement | License and supply agreement | License and supply agreement | ||||
item | |||||||||||||
Revenue Recognition | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of customers with whom entity has entered into agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 |
License fees received | ' | ' | ' | ' | ' | ' | ' | ' | ' | $10 | ' | ' | ' |
License fees received upon execution of agreement | ' | ' | ' | ' | ' | ' | ' | 8 | ' | ' | ' | ' | ' |
License fees received upon delivery of special license | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' | ' |
Term of agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years |
License fee revenue | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.5 | 2.5 | ' |
Revenue recognized under product unit shipments | ' | 5.6 | 12.8 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred revenue under product unit shipments | ' | 0 | 5.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Upfront payment | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Upfront payment received | ' | ' | 3 | ' | ' | 1.5 | 1.5 | ' | ' | ' | ' | ' | ' |
Additional payment received | ' | 4 | ' | ' | 3.6 | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated period to recognize upfront payment as revenue | ' | '2 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other revenues | ' | 8.5 | 8.3 | 8 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of products for which contract manufacturing services are recognized in other revenue | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of customers for whom contract manufacturing services are recognized in other revenue | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Rebates and Allowances | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accrual for rebates and allowances | ' | 1.7 | 1.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Rebate and allowance charges against gross revenues | ' | 4.8 | 2.8 | 3.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accounts Receivable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowances for doubtful accounts | ' | 0.3 | 0.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Miscellaneous receivables | ' | $1.90 | $1.70 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies (Details 3) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Concentration of Risks and Limited Suppliers | ' | ' | ' |
Number of major customers | 2 | ' | ' |
Accounts Receivable | Customer concentration risk | Company A | ' | ' | ' |
Concentration of Risks and Limited Suppliers | ' | ' | ' |
Concentration risk (as a percent) | 16.70% | 30.70% | ' |
Accounts Receivable | Customer concentration risk | Company B | ' | ' | ' |
Concentration of Risks and Limited Suppliers | ' | ' | ' |
Concentration risk (as a percent) | 13.20% | 8.80% | ' |
Accounts Receivable | Customer concentration risk | Company C | ' | ' | ' |
Concentration of Risks and Limited Suppliers | ' | ' | ' |
Concentration risk (as a percent) | 7.20% | 7.00% | ' |
Revenues | Customer concentration risk | Company A | ' | ' | ' |
Concentration of Risks and Limited Suppliers | ' | ' | ' |
Concentration risk (as a percent) | 18.80% | 27.40% | 26.50% |
Revenues | Customer concentration risk | Company B | ' | ' | ' |
Concentration of Risks and Limited Suppliers | ' | ' | ' |
Concentration risk (as a percent) | 10.20% | 8.40% | 8.50% |
Revenues | Customer concentration risk | Company C | ' | ' | ' |
Concentration of Risks and Limited Suppliers | ' | ' | ' |
Concentration risk (as a percent) | 9.80% | 11.50% | 11.10% |
Net product revenue | Product concentration risk | DEFINITY | ' | ' | ' |
Concentration of Risks and Limited Suppliers | ' | ' | ' |
Concentration risk (as a percent) | 28.70% | 18.60% | 19.80% |
Net product revenue | Product concentration risk | TechneLite | ' | ' | ' |
Concentration of Risks and Limited Suppliers | ' | ' | ' |
Concentration risk (as a percent) | 33.90% | 41.20% | 38.00% |
Net product revenue | Product concentration risk | Xenon | ' | ' | ' |
Concentration of Risks and Limited Suppliers | ' | ' | ' |
Concentration risk (as a percent) | 11.80% | 10.80% | 7.70% |
Net product revenue | Product concentration risk | Cardiolite | ' | ' | ' |
Concentration of Risks and Limited Suppliers | ' | ' | ' |
Concentration risk (as a percent) | 9.60% | 12.60% | 19.10% |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies (Details 4) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
In Millions, unless otherwise specified | Buildings | Land improvements | Machinery and equipment | Machinery and equipment | Furniture and fixtures | Leasehold improvements | ||
Minimum | Maximum | Maximum | ||||||
Summary of Significant Accounting Policies | ' | ' | ' | ' | ' | ' | ' | ' |
Product costs included in capitalized inventories associated with product that has not yet received regulatory approval | $0 | $1.50 | ' | ' | ' | ' | ' | ' |
Property, Plant and Equipment | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated useful lives | ' | ' | '50 years | '40 years | '3 years | '20 years | '15 years | '15 years |
Summary_of_Significant_Account7
Summary of Significant Accounting Policies (Details 5) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | ||||||
Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Mar. 31, 2012 | Dec. 31, 2013 | Mar. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | |
item | item | Trademarks | Cardiolite trademark | Cardiolite trademark | Cardiolite trademark | Customer relationships | Customer relationships | Minimum | Maximum | |||
Amortization period | Capitalized Software Development Costs | Capitalized Software Development Costs | ||||||||||
Capitalized Software Development Costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated useful life | ' | ' | ' | ' | '5 years | ' | '5 years | '5 years | ' | ' | '3 years | '5 years |
Capitalized software development costs, net of accumulated amortization | ' | $1,470,000 | $2,234,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Software development costs capitalized | ' | 700,000 | 200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amortization expense | ' | 1,500,000 | 1,500,000 | 1,400,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Impairment of goodwill | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of methods utilized to derive the fair value of the business | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of events that triggered an interim impairment test | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Carrying amount | ' | 34,998,000 | ' | ' | ' | 19,200,000 | ' | ' | ' | ' | ' | ' |
Impairment of intangible assets | ' | 17,175,000 | ' | 23,474,000 | ' | 15,400,000 | ' | ' | 700,000 | 1,000,000 | ' | ' |
Fair value | ' | ' | ' | ' | ' | $3,800,000 | ' | ' | ' | ' | ' | ' |
Summary_of_Significant_Account8
Summary of Significant Accounting Policies (Details 6) (USD $) | 12 Months Ended | 3 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | |
U.S. | Land held for sale | Significant unobservable inputs (Level 3) | ||
Land held for sale | ||||
U.S. | ||||
Goodwill, Intangibles and Long-Lived Assets | ' | ' | ' | ' |
Carrying value | ' | ' | ' | $7,500,000 |
Impairment charge on assets held for sale | 6,406,000 | 0 | ' | 6,400,000 |
Net proceeds from sale of land | ' | ' | $1,100,000 | ' |
Summary_of_Significant_Account9
Summary of Significant Accounting Policies (Details 7) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment | ' | ' |
Carrying value of property, plant and equipment | $97,653 | $109,573 |
Fixed assets dedicated to R&D activities | ' | ' |
Property, Plant and Equipment | ' | ' |
Carrying value of property, plant and equipment | $6,300 | ' |
Recovered_Sheet1
Summary of Significant Accounting Policies (Details 8) (USD $) | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | |
Deferred Financing Costs | ' | ' | ' | ' |
Unamortized deferred financing costs | $9,639,000 | $11,372,000 | ' | ' |
Expense associated with the amortization of deferred financing costs | 2,400,000 | 2,200,000 | 1,400,000 | ' |
Write-off of deferred financing costs | 598,000 | ' | ' | ' |
Fair Value of Financial Instruments | ' | ' | ' | ' |
Estimated fair value of the debt | 356,000,000 | 380,000,000 | ' | ' |
Face value of debt | 400,000,000 | 400,000,000 | ' | ' |
Shipping and Handling Revenues and Costs | ' | ' | ' | ' |
Shipping and handling costs | 20,500,000 | 20,400,000 | 20,300,000 | ' |
Advertising and Promotion Costs | ' | ' | ' | ' |
Advertising and promotion costs | 2,700,000 | 3,200,000 | 4,100,000 | ' |
Foreign Currency Translation | ' | ' | ' | ' |
Total losses arising from foreign currency transactions | 349,000 | 579,000 | 156,000 | ' |
Asset Retirement Obligations | ' | ' | ' | ' |
Asset retirement obligation | 6,385,000 | 5,416,000 | 4,868,000 | 4,372,000 |
Self Insurance Reserves | ' | ' | ' | ' |
Accrued liabilities associated with employee medical costs | 400,000 | 500,000 | ' | ' |
Balance in restricted cash account to fund medical claims | $200,000 | $27,000 | ' | ' |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments (Details) (Recurring basis, USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Total fair value | ' | ' |
Fair value of assets measured on recurring basis observable and unobservable inputs | ' | ' |
Total | $1,558 | $2,332 |
Total fair value | Money market | ' | ' |
Fair value of assets measured on recurring basis observable and unobservable inputs | ' | ' |
Cash and cash equivalents, fair value | 1,236 | 2,004 |
Total fair value | Certificates of deposit-restricted | ' | ' |
Fair value of assets measured on recurring basis observable and unobservable inputs | ' | ' |
Restricted investments | 322 | 328 |
Quoted prices in active markets (Level 1) | ' | ' |
Fair value of assets measured on recurring basis observable and unobservable inputs | ' | ' |
Total | 1,236 | 2,004 |
Quoted prices in active markets (Level 1) | Money market | ' | ' |
Fair value of assets measured on recurring basis observable and unobservable inputs | ' | ' |
Cash and cash equivalents, fair value | 1,236 | 2,004 |
Significant other observable inputs (Level 2) | ' | ' |
Fair value of assets measured on recurring basis observable and unobservable inputs | ' | ' |
Total | 322 | 328 |
Significant other observable inputs (Level 2) | Certificates of deposit-restricted | ' | ' |
Fair value of assets measured on recurring basis observable and unobservable inputs | ' | ' |
Restricted investments | $322 | $328 |
Fair_Value_of_Financial_Instru3
Fair Value of Financial Instruments (Details 2) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Certificate of deposit | Money market funds | Money market funds | Cash-on-hand | Cash-on-hand | |||||
Fair value of assets measured on recurring basis observable and unobservable inputs | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted investments, current | $200,000 | $27,000 | ' | ' | $200,000 | ' | ' | ' | ' |
Restricted investments, noncurrent | ' | ' | ' | ' | 100,000 | ' | ' | ' | ' |
Cash and cash equivalents, carrying value | 16,669,000 | 31,595,000 | 40,607,000 | 33,006,000 | ' | 1,200,000 | 2,000,000 | 15,500,000 | 29,600,000 |
Estimated fair value of the debt | 356,000,000 | 380,000,000 | ' | ' | ' | ' | ' | ' | ' |
Face value of debt | $400,000,000 | $400,000,000 | ' | ' | ' | ' | ' | ' | ' |
Fair_Value_of_Financial_Instru4
Fair Value of Financial Instruments (Details 3) (USD $) | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 3 Months Ended | |||||||||||
Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | |
U.S. | Cardiolite trademark | Cardiolite trademark | Cardiolite trademark | Customer relationships | Customer relationships | Significant unobservable inputs (Level 3) | Significant unobservable inputs (Level 3) | Significant unobservable inputs (Level 3) | Significant unobservable inputs (Level 3) | Significant unobservable inputs (Level 3) | Significant unobservable inputs (Level 3) | Significant unobservable inputs (Level 3) | Significant unobservable inputs (Level 3) | Nonrecurring basis | Nonrecurring basis | Nonrecurring basis | Nonrecurring basis | |||
Cardiolite trademark | Cardiolite trademark | Cardiolite trademark | Customer relationships | Customer relationships | Customer relationships | Customer relationships | Land held for sale | Total fair value | Total fair value | Significant unobservable inputs (Level 3) | Significant unobservable inputs (Level 3) | |||||||||
Income-based approach | Income-based approach | U.S. | Income-based approach | Income-based approach | International segment | International segment | U.S. | Cardiolite trademark | Cardiolite trademark | |||||||||||
Fair value of assets measured on nonrecurring basis observable and unobservable inputs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value of intangible assets | ' | ' | ' | $3,800,000 | ' | ' | ' | ' | ' | ' | $3,800,000 | ' | ' | $0 | ' | ' | ' | $3,800,000 | ' | $3,800,000 |
Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,800,000 | ' | 3,800,000 | ' |
Impairment charge on assets held for sale | 6,406,000 | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,400,000 | ' | ' | ' | ' |
Fair value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,500,000 | ' | ' | ' | ' |
Impairment charge | 17,175,000 | 23,474,000 | ' | 15,400,000 | ' | ' | 700,000 | 1,000,000 | ' | ' | 15,400,000 | ' | ' | 700,000 | ' | ' | ' | ' | ' | ' |
Fair value | $34,998,000 | ' | ' | $19,200,000 | ' | ' | ' | ' | ' | ' | $19,200,000 | ' | ' | $700,000 | $1,800,000 | ' | ' | ' | ' | ' |
Discount rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | 15.00% | 15.00% | ' | 15.00% | 15.00% | ' | ' | ' | ' | ' | ' | ' |
Royalty rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | 6.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Useful life | ' | ' | ' | ' | '5 years | '5 years | ' | ' | '15 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Components of (loss) income before income taxes | ' | ' | ' |
United States | ($58,093) | ($43,868) | ($55,658) |
International | -2,571 | 1,312 | 3,287 |
Loss before income taxes | -60,664 | -42,556 | -52,371 |
Current | ' | ' | ' |
Federal | -782 | -3,508 | -41 |
State | 1,712 | 2,763 | 2,607 |
International | 356 | 618 | 202 |
Current provision (benefit) for income taxes | 1,286 | -127 | 2,768 |
Deferred | ' | ' | ' |
Federal | ' | 200 | 75,939 |
State | ' | ' | 6,326 |
International | -272 | -628 | -935 |
Deferred provision (benefit) for income taxes | -272 | -428 | 81,330 |
Provision (benefit) for income taxes | $1,014 | ($555) | $84,098 |
Income_Taxes_Details_2
Income Taxes (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Differences in the provision (benefit) for income taxes from the amount computed by applying the statutory U.S. Federal income tax rate to (loss) income from operations before income taxes | ' | ' | ' |
U.S. statutory rate | ($21,224) | ($14,895) | ($18,331) |
Permanent items and foreign tax credits | 292 | -1,200 | -363 |
Uncertain tax positions | 809 | 892 | 1,148 |
Research credits | -1,346 | ' | -910 |
State and local taxes | -1,780 | -1,821 | -1,815 |
Impact of rate change on deferred taxes | 31 | -974 | -393 |
True-up of prior year tax | -1,422 | -2,345 | 33 |
Foreign tax rate differential | 92 | -455 | -584 |
Valuation allowance | 25,674 | 20,243 | 102,692 |
Tax on repatriation | -18 | ' | 2,600 |
Other | -94 | ' | 21 |
Provision (benefit) for income taxes | $1,014 | ($555) | $84,098 |
Differences in the provision (benefit) for income taxes from the amount computed by applying the statutory U.S. Federal income tax rate to (loss) income from operations before income taxes (as a percent) | ' | ' | ' |
U.S. statutory rate (as a percent) | 35.00% | 35.00% | 35.00% |
Permanent items and foreign tax credits (as a percent) | -0.50% | 2.80% | 0.70% |
Uncertain tax positions (as a percent) | -1.30% | -2.10% | -2.20% |
Research credits (as a percent) | 2.20% | ' | 1.70% |
State and local taxes (as a percent) | 3.00% | 4.30% | 3.50% |
Impact of rate change on deferred taxes (as a percent) | -0.10% | 2.30% | 0.70% |
True-up of prior year tax (as a percent) | 2.30% | 5.50% | -0.10% |
Foreign tax rate differential (as a percent) | -0.20% | 1.10% | 1.10% |
Valuation allowance (as a percent) | -42.30% | -47.60% | -196.10% |
Tax on repatriation (as a percent) | 0.00% | ' | -5.00% |
Other | 0.20% | ' | ' |
Provision (benefit) for income taxes (as a percent) | -1.70% | 1.30% | -160.70% |
Income_Taxes_Details_3
Income Taxes (Details 3) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Deferred Tax Assets | ' | ' | ' |
Federal benefit of state taxes payable | $11,541 | $10,926 | ' |
Reserves, accruals and other | 29,242 | 33,977 | ' |
Capitalized research and development | 30,057 | 22,320 | ' |
Capital loss carryforward | 2,309 | ' | ' |
Amortization of intangibles other than goodwill | 52,665 | 61,131 | ' |
Net operating loss carryforwards | 31,405 | 7,851 | ' |
Deferred tax assets | 157,219 | 136,205 | ' |
Deferred Tax Liabilities | ' | ' | ' |
Reserves, accruals and other | -500 | -1,125 | ' |
Customer relationships | -7,860 | -10,274 | ' |
Depreciation | -360 | -2,191 | ' |
Deferred tax liability | -8,720 | -13,590 | ' |
Less: Valuation allowance | -148,535 | -122,935 | -102,692 |
Net deferred tax liabilities | -36 | -320 | ' |
Recorded in the accompanying consolidated balance sheet as: | ' | ' | ' |
Current deferred tax assets | 18 | 115 | ' |
Current deferred tax liabilities | -57 | ' | ' |
Noncurrent deferred tax assets | 15 | ' | ' |
Noncurrent deferred tax liability | -12 | -435 | ' |
Net deferred tax liabilities | ($36) | ($320) | ' |
Income_Taxes_Details_4
Income Taxes (Details 4) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Income Taxes | ' | ' | ' |
Total liabilities for tax obligations and associated interest and penalties | $34,900,000 | $34,700,000 | ' |
Income tax provisions for uncertain tax benefits | 14,100,000 | 15,400,000 | ' |
Interest accruals | 18,200,000 | 16,500,000 | ' |
Penalty accruals | 2,600,000 | 2,800,000 | ' |
Tax provision due to indemnification | 1,014,000 | -555,000 | 84,098,000 |
Uncertain tax position for transfer pricing exposure reflected within other long-term liabilities | 1,000,000 | ' | ' |
Uncertain tax position for transfer pricing exposure reflected within other long-term assets | 1,000,000 | ' | ' |
Interest and penalties | 2,000,000 | ' | ' |
Amount of unrecognized tax benefits associated with potential state settlements and transfer pricing which may be recognized within the next twelve months due to the closing of the statute of limitation | 6,900,000 | ' | ' |
Period for which domestic pre-tax losses were generated | '3 years | ' | ' |
Period over which cumulative loss was incurred | '3 years | ' | ' |
Reconciliation of the changes in uncertain tax positions | ' | ' | ' |
Beginning balance of uncertain tax positions | 13,906,000 | 15,378,000 | 16,059,000 |
Additions related to current year tax positions | 18,000 | 301,000 | 195,000 |
Reductions related to prior year tax positions | ' | ' | -876,000 |
Settlements | -34,000 | -651,000 | ' |
Lapse of statute of limitations | -763,000 | -1,122,000 | ' |
Ending balance of uncertain tax positions | 13,127,000 | 13,906,000 | 15,378,000 |
U.S. | ' | ' | ' |
Income Taxes | ' | ' | ' |
Income tax returns subject to examination period | '3 years | ' | ' |
State | Minimum | ' | ' | ' |
Income Taxes | ' | ' | ' |
Income tax returns subject to examination period | '3 years | ' | ' |
State | Maximum | ' | ' | ' |
Income Taxes | ' | ' | ' |
Income tax returns subject to examination period | '4 years | ' | ' |
Tax Indemnification | ' | ' | ' |
Income Taxes | ' | ' | ' |
Total noncurrent asset related to the indemnification | 19,700,000 | 18,500,000 | ' |
Tax provision due to indemnification | 1,900,000 | 2,600,000 | 2,400,000 |
BMS | ' | ' | ' |
Income Taxes | ' | ' | ' |
Payments made on behalf of the company to a number of states in connection with prior year state income tax filings | 0 | 700,000 | ' |
Decrease in amount due from BMS included within other long-term assets | ' | 700,000 | ' |
Net effect on earnings related to deferred tax liabilities | 0 | ' | ' |
Net effect on cash flow related to deferred tax liabilities | 0 | ' | ' |
BMS | Tax Indemnification | ' | ' | ' |
Income Taxes | ' | ' | ' |
Reduction in tax receivable included in other expense | 900,000 | ' | ' |
Lantheus MI Holdings | ' | ' | ' |
Income Taxes | ' | ' | ' |
Amount payable for the tax benefit of losses | $85,000 | $85,000 | ' |
Income_Taxes_Details_5
Income Taxes (Details 5) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Reconciliation of the valuation allowance | ' | ' | ' |
Balance at the beginning of the period | $122,935,000 | $102,692,000 | ' |
Charged to provision for income taxes | 25,600,000 | 20,243,000 | 102,692,000 |
Balance at the end of the period | 148,535,000 | 122,935,000 | 102,692,000 |
Federal net operating loss carryovers | 74,300,000 | ' | ' |
Massachusetts investment tax credits | ' | ' | ' |
Tax credits | ' | ' | ' |
Tax credits | 400,000 | ' | ' |
Federal | ' | ' | ' |
Tax credits | ' | ' | ' |
Tax credits | 2,400,000 | ' | ' |
Foreign | Research | ' | ' | ' |
Tax credits | ' | ' | ' |
Tax credits | 4,200,000 | ' | ' |
State | Research | ' | ' | ' |
Tax credits | ' | ' | ' |
Tax credits | $1,600,000 | ' | ' |
Income_Taxes_Details_6
Income Taxes (Details 6) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Tax holiday | ' | ' | ' |
Capital loss | $6 | ' | ' |
Capital loss carryforward term | '5 years | ' | ' |
Puerto Rico | ' | ' | ' |
Tax holiday | ' | ' | ' |
Tax rate during tax holiday period (as a percent) | 4.00% | 4.00% | 4.00% |
Decrease in foreign tax as a result of tax holiday | $0.30 | $0.30 | $0.20 |
Inventory_Details
Inventory (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Inventory | ' | ' |
Raw materials | $7,063,000 | $7,573,000 |
Work in process | 5,849,000 | 5,019,000 |
Finished goods | 5,398,000 | 5,456,000 |
Inventory | 18,310,000 | 18,048,000 |
Other long-term assets | 1,687,000 | 2,090,000 |
Total | 19,997,000 | 20,138,000 |
Non-current raw materials | 1,700,000 | 1,500,000 |
Non-current finished goods | ' | $600,000 |
Inventory_Details_2
Inventory (Details 2) (USD $) | 12 Months Ended | 3 Months Ended | 12 Months Ended | ||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2011 | |
API agreement | Ablavar | Ablavar | Ablavar | Ablavar | Ablavar | ||||
API agreement | API agreement | ||||||||
Inventory | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Inventory on-hand | $18,310,000 | $18,048,000 | ' | ' | $2,800,000 | ' | $1,500,000 | ' | ' |
Inventory included in other long-term assets | 1,687,000 | 2,090,000 | ' | ' | 2,100,000 | ' | 500,000 | ' | ' |
Remaining purchase commitment | ' | ' | ' | 1,800,000 | ' | ' | ' | ' | ' |
Inventory write-downs due to product expiration | ' | ' | ' | ' | 10,600,000 | ' | ' | 1,600,000 | 25,800,000 |
Aggregate inventory shelf life | ' | ' | ' | ' | ' | ' | ' | ' | '6 years |
Reserve recorded for loss | ' | 1,859,000 | 5,610,000 | 1,300,000 | 1,900,000 | ' | ' | ' | 5,600,000 |
Impairment charge | $17,175,000 | ' | $23,474,000 | ' | ' | $23,500,000 | ' | ' | $23,500,000 |
Property_Plant_and_Equipment_n2
Property, Plant and Equipment, net (Details) (USD $) | 12 Months Ended | 3 Months Ended | 3 Months Ended | ||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | |
U.S. | Land | Land | Land | Land | Buildings | Buildings | Machinery, equipment and fixtures | Machinery, equipment and fixtures | Construction in progress | Construction in progress | Spare parts | Spare parts | Fixed assets dedicated to R&D activities | ||||
U.S. | International segment | ||||||||||||||||
Significant unobservable inputs (Level 3) | |||||||||||||||||
Property, plant and equipment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Property, plant and equipment, gross | ' | ' | ' | ' | $14,950,000 | $22,450,000 | ' | ' | $65,787,000 | $64,649,000 | $65,026,000 | $63,503,000 | $8,029,000 | $7,331,000 | $2,500,000 | $2,700,000 | ' |
Accumulated depreciation | -56,139,000 | -48,360,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Property, plant and equipment, net | 97,653,000 | 109,573,000 | ' | ' | ' | ' | 7,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,300,000 |
Depreciation expense | 9,336,000 | 9,722,000 | 12,915,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-Lived Assets Held for Sale | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Property, plant and equipment, net | 97,653,000 | 109,573,000 | ' | ' | ' | ' | 7,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,300,000 |
Impairment charge on assets held for sale | 6,406,000 | ' | ' | 0 | ' | ' | ' | 6,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net proceeds from sale of excess land | ' | ' | ' | ' | $1,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Asset_Retirement_Obligations_D
Asset Retirement Obligations (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Asset Retirement Obligations | ' | ' | ' |
Asset Retirement Obligation Liabilities Expected Present Value | $25,900,000 | ' | ' |
Reconciliation of the asset retirement obligations | ' | ' | ' |
Balance at the beginning of the period | 5,416,000 | 4,868,000 | 4,372,000 |
Net increase (decrease) due to changes in estimated future cash flows | 341,000 | -5,000 | ' |
Accretion expenses | 628,000 | 553,000 | 496,000 |
Balance at the end of the period | 6,385,000 | 5,416,000 | 4,868,000 |
Financial assurance in form of surety bond | 28,200,000 | ' | ' |
Financial assurance in form of letter of credit | 8,800,000 | ' | ' |
Capitalization | $300,000 | ' | ' |
Intangibles_net_Details
Intangibles, net (Details) (USD $) | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 3 Months Ended | 0 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Mar. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Apr. 06, 2009 | Dec. 31, 2011 | |
Trademarks | Trademarks | Cardiolite trademark | Cardiolite trademark | Cardiolite trademark | Cardiolite trademark | Customer relationships | Customer relationships | Customer relationships | Customer relationships | Customer relationships | Other patents | Other patents | Ablavar patent | Ablavar patent | ||||
U.S. | International segment | International segment | ||||||||||||||||
Significant unobservable inputs (Level 3) | Significant unobservable inputs (Level 3) | Significant unobservable inputs (Level 3) | ||||||||||||||||
Intangibles, net | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cost | $162,618,000 | $210,170,000 | ' | $13,540,000 | $53,390,000 | ' | ' | ' | ' | $106,298,000 | ' | $114,000,000 | ' | ' | $42,780,000 | $42,780,000 | ' | ' |
Accumulated amortization | 127,620,000 | 143,368,000 | ' | 3,298,000 | 20,743,000 | ' | ' | ' | ' | 84,476,000 | ' | 83,385,000 | ' | ' | 39,846,000 | 39,240,000 | ' | ' |
Net | 34,998,000 | 66,802,000 | ' | 10,242,000 | 32,647,000 | ' | ' | ' | ' | 21,822,000 | ' | 30,615,000 | ' | ' | 2,934,000 | 3,540,000 | ' | ' |
Weighted Average Useful Life | ' | ' | ' | ' | ' | ' | '5 years | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase of U.S., Canadian and Australian territory rights to Ablavar | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 32,600,000 | ' |
Fair value | 34,998,000 | ' | ' | ' | ' | 19,200,000 | ' | ' | 19,200,000 | ' | ' | ' | 700,000 | 1,800,000 | ' | ' | ' | ' |
Impairment charge | 17,175,000 | ' | 23,474,000 | ' | ' | 15,400,000 | ' | ' | 15,400,000 | 700,000 | 1,000,000 | ' | 700,000 | ' | ' | ' | ' | 23,500,000 |
Fair value of intangible asset | ' | ' | ' | ' | ' | 3,800,000 | ' | ' | 3,800,000 | ' | ' | ' | 0 | ' | ' | ' | ' | 0 |
Estimated useful life before revision of estimate | ' | ' | ' | ' | ' | ' | ' | '11 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amortization expense | 14,400,000 | 16,100,000 | 18,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Increase in amortization expense | ' | ' | ' | ' | ' | ' | ' | 3,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected future amortization expense related to the intangible assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2014 | 7,629,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2015 | 6,036,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2016 | 5,349,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2017 | 3,530,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2018 | 2,799,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2019 and thereafter | 9,655,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | 34,998,000 | ' | ' | ' | ' | 19,200,000 | ' | ' | 19,200,000 | ' | ' | ' | 700,000 | 1,800,000 | ' | ' | ' | ' |
Changes in the gross carrying amount of intangible assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period | 210,170,000 | ' | ' | 13,540,000 | 53,390,000 | ' | ' | ' | ' | ' | ' | 114,000,000 | ' | ' | 42,780,000 | 42,780,000 | ' | ' |
Asset impairment charges | -46,592,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Effect of currency translation | -960,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at the end of the period | $162,618,000 | $210,170,000 | ' | $13,540,000 | $53,390,000 | ' | ' | ' | ' | $106,298,000 | ' | $114,000,000 | ' | ' | $42,780,000 | $42,780,000 | ' | ' |
Accrued_Expenses_and_Other_Lia2
Accrued Expenses and Other Liabilities (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accrued Expenses and Other Liabilities | ' | ' |
Compensation and benefits | $10,209 | $5,351 |
Accrued interest | 4,989 | 5,040 |
Accrued professional fees | 1,361 | 1,628 |
Research and development services | 338 | 3,205 |
Freight, distribution and operations | 3,432 | 3,633 |
Accrued loss on firm purchase commitment | 1,315 | 7,469 |
Marketing expense | 749 | 1,168 |
Accrued rebates, discounts and chargebacks | 1,739 | 1,542 |
Other | 1,360 | 653 |
Accrued expenses | $25,492 | $29,689 |
Accrued_Expenses_and_Other_Lia3
Accrued Expenses and Other Liabilities (Details 2) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 |
Severance | Severance | Ablavar | Ablavar | |||
Accrued Expenses and other liabilities | ' | ' | ' | ' | ' | ' |
Contract loss reserve due to product expiration, associated with the portion of the committed purchases, included in accrued expenses | $1,315,000 | $7,469,000 | ' | ' | $1,315,000 | $7,469,000 |
Restructuring charges | ' | ' | 2,700,000 | ' | ' | ' |
Accrued expenses | ' | ' | ' | $600,000 | ' | ' |
Financing_Arrangements_Details
Financing Arrangements (Details) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||||||||||||||
Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2012 | Mar. 21, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Aug. 06, 2013 | Dec. 31, 2013 | Apr. 11, 2012 | Feb. 03, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | |
Restricted Senior Notes | Restricted Senior Notes | Restricted Senior Notes | Restricted Senior Notes | Restricted Senior Notes | Restricted Senior Notes | Restricted Senior Notes | Senior Notes | Senior Notes | Additional Notes | Additional Notes | Additional Notes | Demand note | Old Facility | Old Facility | Old Facility | Old Facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | ||||
item | On or after May 15, 2016 | Twelve month period beginning May 15, 2014 | Twelve month period beginning May 15, 2015 | Prior to May 15, 2014 | Holdings | item | Holdings | Holdings | Holdings | LIBOR | Reference Rate | LIBOR | Reference Rate | Minimum | Minimum | Minimum | Maximum | Maximum | Maximum | |||||||||||||
item | LIBOR | Reference Rate | LIBOR | Reference Rate | ||||||||||||||||||||||||||||
Financing Arrangements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Notes issued | $400,000,000 | ' | $400,000,000 | $150,000,000 | ' | ' | ' | ' | ' | ' | $250,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issue price of debt instrument as a percentage of principal amount | ' | ' | ' | 101.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate (as a percent) | ' | ' | ' | ' | 9.75% | ' | ' | ' | ' | ' | 9.75% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.00% | ' | ' | 2.50% | ' | ' |
Aggregate principal amount outstanding | ' | ' | ' | ' | 400,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repayment of debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 77,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dividend paid | ' | 150,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 163,800,000 | 106,000,000 | ' | 150,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repayment of demand note | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 75,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repurchase of Series A Preferred Stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 90,000,000 | ' | ' | 44,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of cash payment made to amend the Indenture to modify the restricted payments covenant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,750,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capitalized premium | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,250,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capitalized consent fee | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,750,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Redemption price of debt instrument as a percentage of principal amount | ' | ' | ' | ' | ' | 100.00% | 104.88% | 102.44% | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Redemption price of debt instrument as a percentage of principal amount upon change of control | ' | ' | ' | ' | 101.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 42,500,000 | ' | ' | ' | 42,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Variable rate basis | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'LIBOR | 'Reference | ' | ' | ' | ' | 'LIBOR | 'Reference | ' | ' | ' | ' | ' | ' |
Basis spread on variable rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.75% | 2.75% | ' | ' | ' | ' | ' | ' | ' | 2.00% | 1.00% | ' | 2.50% | 1.50% |
Unused line of credit fee (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.75% | ' | ' | ' | ' | ' | ' | ' | ' | 0.38% | ' | ' | 0.50% | ' | ' |
Amount outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | 8,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unfunded standby Letter of Credit outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,800,000 | ' | ' | 8,800,000 | 8,800,000 | ' | 4,400,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Available borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 33,700,000 | ' | ' | ' | 25,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum increase available in the aggregate borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Renewal period of unfunded standby letter of credit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '1 year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period required to notify in writing the cancellation of automatic renewal of debt instrument | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '60 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Borrowing base | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 42,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument Covenant Excess Availability Threshold for more than Specified Period of Time | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage threshold of borrowing base to be maintained (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15.00% | ' | ' | ' | ' | ' |
Number of consecutive business days considered for determining excess availability | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 days | ' | ' | ' | ' | ' |
Amount of excess availability | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,500,000 | ' | ' | ' | ' | ' |
Consolidated fixed charge coverage ratio to be maintained | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' |
Direct financing fees capitalized | 15,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fees and expenses associated with each amendment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | 400,000 | ' | ' | ' | 1,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Write-off of existing unamortized deferred financing costs | $598,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of voting classes under the Indenture | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of subsidiaries that have jointly and severally, guaranteed obligation of payments of unsecured notes by the parent entity | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stockholders_Equity_Details
Stockholder's Equity (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Stockholder's Equity | ' | ' |
Common stock, shares authorized | 10,000 | 10,000 |
Common stock, par value (in dollars per share) | $0.00 | $0.00 |
Common stock, share outstanding | 1 | 1 |
StockBased_Compensation_Detail
Stock-Based Compensation (Details) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | ||||||||||||||
Dec. 31, 2013 | Aug. 04, 2013 | Aug. 05, 2013 | Aug. 04, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2012 | Mar. 31, 2012 | Mar. 31, 2012 | |
2008 Plan | 2013 Plan | 2013 Plan | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Time based stock options | Time based stock options | Time based stock options | Performance based stock options | Modified stock options | Modified stock options | Modified stock options | Modified stock options | Modified stock options | ||
Minimum | Minimum | Maximum | Maximum | Minimum | Maximum | Minimum | Maximum | |||||||||||||
Stock-Based Compensation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of further grants to be issued (in shares) | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum number of shares that may be issued pursuant to awards | ' | ' | 2,700,000 | 1,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vesting period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | '5 years | ' | ' | ' | ' | ' | ' |
Contractual term | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Black-Scholes inputs used for estimating the fair value of each option award on the date of grant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected volatility (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31.00% | ' | 30.00% | ' | ' |
Expected volatility, minimum (as a percent) | ' | ' | ' | ' | 30.00% | 36.00% | 33.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30.00% | ' | ' | ' |
Expected volatility, maximum (as a percent) | ' | ' | ' | ' | 37.00% | 41.00% | 40.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | 36.00% | ' | ' | ' |
Expected life | ' | ' | ' | ' | ' | ' | '6 years 6 months | '3 years 7 months 6 days | '5 years 6 months | '6 years 3 months 18 days | '6 years 6 months | ' | ' | ' | ' | '3 years 3 months 18 days | ' | '2 years 6 months | '3 months 18 days | '3 years 6 months |
Risk-free interest rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.30% | ' | 0.30% | ' | ' |
Risk-free interest rate, minimum (as a percent) | ' | ' | ' | ' | 0.50% | 0.70% | 1.90% | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.30% | ' | ' | ' |
Risk-free interest rate, maximum (as a percent) | ' | ' | ' | ' | 1.70% | 1.40% | 2.90% | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.80% | ' | ' | ' |
Number of options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period (in shares) | ' | ' | ' | ' | 3,329,298 | ' | ' | ' | ' | ' | ' | 2,326,350 | ' | ' | 1,002,948 | ' | ' | ' | ' | ' |
Options granted (in shares) | ' | ' | ' | ' | 1,948,177 | ' | ' | ' | ' | ' | ' | 1,348,177 | ' | ' | 600,000 | ' | ' | ' | ' | ' |
Options cancelled (in shares) | ' | ' | ' | ' | -489,905 | ' | ' | ' | ' | ' | ' | -228,925 | ' | ' | -260,980 | ' | ' | ' | ' | ' |
Options exercised (in shares) | ' | ' | ' | ' | -631,518 | -21,220 | -14,650 | ' | ' | ' | ' | -583,750 | ' | ' | -47,768 | ' | ' | ' | ' | ' |
Options forfeited and expired (in shares) | ' | ' | ' | ' | -297,590 | ' | ' | ' | ' | ' | ' | -100,815 | ' | ' | -196,775 | ' | ' | ' | ' | ' |
Outstanding at the end of the period (in shares) | ' | ' | ' | ' | 3,858,462 | 3,329,298 | ' | ' | ' | ' | ' | 2,761,037 | ' | ' | 1,097,425 | ' | ' | ' | ' | ' |
Vested and expected to vest at the end of the period (in shares) | ' | ' | ' | ' | 3,397,075 | ' | ' | ' | ' | ' | ' | 2,675,020 | ' | ' | 722,055 | ' | ' | ' | ' | ' |
Exercisable at the end of the period (in shares) | ' | ' | ' | ' | 1,998,106 | ' | ' | ' | ' | ' | ' | 1,491,401 | ' | ' | 506,705 | ' | ' | ' | ' | ' |
Weighted Average Exercise Price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period (in dollars per share) | ' | ' | ' | ' | $3.11 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options granted (in dollars per share) | ' | ' | ' | ' | $6.77 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options cancelled (in dollars per share) | ' | ' | ' | ' | $2.33 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options exercised (in dollars per share) | ' | ' | ' | ' | $2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options forfeited and expired (in dollars per share) | ' | ' | ' | ' | $7.66 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period (in dollars per share) | ' | ' | ' | ' | $4.89 | $3.11 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vested and expected to vest at the end of the period (in dollars per share) | ' | ' | ' | ' | $4.63 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercisable at the end of the period (in dollars per share) | ' | ' | ' | ' | $2.90 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average Remaining Contractual Term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period | ' | ' | ' | ' | '6 years 10 months 24 days | '5 years 7 months 6 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vested and expected to vest at the end of the period | ' | ' | ' | ' | '6 years 7 months 6 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercisable at the end of the period | ' | ' | ' | ' | '4 years 8 months 12 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate Intrinsic Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period | ' | ' | ' | ' | $6,777,000 | $15,336,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vested and expected to vest at the end of the period | ' | ' | ' | ' | 6,777,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercisable at the end of the period | ' | ' | ' | ' | 6,777,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional disclosures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average grant-date fair value of options granted (in dollars per share) | ' | ' | ' | ' | $2.45 | $3.29 | $4.05 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of awards vested (in shares) | ' | ' | ' | ' | 349,605 | 710,139 | 362,300 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate fair value of awards vested (in dollars) | ' | ' | ' | ' | $1,000,000 | $1,000,000 | $400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock issued | ' | ' | ' | ' | 459,171 | 9,085 | 4,629 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
StockBased_Compensation_Detail1
Stock-Based Compensation (Details 2) (USD $) | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Sep. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2012 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Performance based stock options | Modified stock options | Modified stock options | Modified stock options | Liability awards | Liability awards | Liability awards | Liability awards | Cost of goods sold | Cost of goods sold | Cost of goods sold | General and administrative | General and administrative | General and administrative | Sales and marketing | Sales and marketing | Sales and marketing | Research and development | Research and development | Research and development | ||||
item | item | item | |||||||||||||||||||||
Stock-based compensation expense (income) recognized | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock-based compensation expense (income) | $578,000 | $1,240,000 | ($969,000) | ' | ' | ' | ' | ($1,000,000) | $0 | $0 | $0 | $41,000 | $79,000 | $2,000 | $429,000 | $982,000 | $58,000 | $93,000 | $111,000 | ($1,064,000) | $15,000 | $68,000 | $35,000 |
Stock compensation expense associated with the modification of option agreements | ' | ' | ' | ' | ' | ' | 600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of agreements modified | ' | ' | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of agreements effectuated, which were modified | ' | ' | ' | ' | 1 | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total unrecognized compensation costs | $3,000,000 | ' | ' | $1,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average remaining period for recognition of unrecognized compensation costs | '1 year 8 months 12 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other_Income_Expense_net_Detai
Other Income (Expense), net (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Other Income (Expense), net | ' | ' | ' |
Foreign currency (losses) | ($349) | ($579) | ($156) |
Tax indemnification income | 1,141 | 346 | 1,380 |
Other income | 369 | 189 | 205 |
Total other income (expense), net | $1,161 | ($44) | $1,429 |
Commitments_Details
Commitments (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Operating Leases | ' | ' | ' |
2014 | $898,000 | ' | ' |
2015 | 535,000 | ' | ' |
2016 | 345,000 | ' | ' |
2017 | 267,000 | ' | ' |
2018 | 200,000 | ' | ' |
2019 and thereafter | 264,000 | ' | ' |
Operating Leases | 2,509,000 | ' | ' |
Other | ' | ' | ' |
2014 | 3,416,000 | ' | ' |
Total | 3,416,000 | ' | ' |
Total | ' | ' | ' |
2014 | 4,314,000 | ' | ' |
2015 | 535,000 | ' | ' |
2016 | 345,000 | ' | ' |
2017 | 267,000 | ' | ' |
2018 | 200,000 | ' | ' |
2019 and thereafter | 264,000 | ' | ' |
Total | 5,925,000 | ' | ' |
Lease expense | ' | ' | ' |
Lease expense | $900,000 | $1,000,000 | $1,000,000 |
Commitments_Details_2
Commitments (Details 2) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Commitments | ' | ' | ' |
Minimum purchase commitments or payments under agreements | $3,416,000 | ' | ' |
Purchases included in accounts payable | 18,103,000 | 18,945,000 | ' |
Accrued loss due to product expiration, associated with the portion of the committed purchases | 1,315,000 | 7,469,000 | ' |
Supply agreement | ' | ' | ' |
Commitments | ' | ' | ' |
Annual purchases under supply agreement | 7,700,000 | 1,700,000 | 24,800,000 |
Minimum purchase commitments or payments under agreements | 1,800,000 | ' | ' |
Purchases included in accounts payable and accrued expenses | ' | 0 | ' |
Purchases included in accounts payable | 1,700,000 | ' | ' |
Accrued loss due to product expiration, associated with the portion of the committed purchases | 1,315,000 | 7,469,000 | ' |
Manufacturing and supply agreement | ' | ' | ' |
Commitments | ' | ' | ' |
Minimum purchase commitments or payments under agreements | ' | $0 | ' |
401k_Plan_Details
401(k) Plan (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
401(k) Plan | ' | ' | ' |
Maximum matching contribution by company as percentage of eligible employees' contributions | ' | ' | 4.50% |
Expenses recognized for matching contributions | $1.20 | $0.40 | $1.90 |
Legal_Proceedings_Details
Legal Proceedings (Details) (Claim against insurance carriers to recover business interruption losses) | 0 Months Ended |
Dec. 16, 2010 | |
item | |
Claim against insurance carriers to recover business interruption losses | ' |
Legal Proceedings and Contingencies | ' |
Number of suits filed | 1 |
Related_Party_Transactions_Det
Related Party Transactions (Details) (USD $) | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2012 | Dec. 31, 2013 | Sep. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | |
INC | INC | INC | LMI | LMI | LMI | Avista | Avista | Avista | VWR | VWR | VWR | Officer | Officer | |||
Advisory services and monitoring agreement | Advisory services and monitoring agreement | Advisory services and monitoring agreement | ||||||||||||||
Related Party Transactions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding receivable from Holdings | ($1,353,000) | ' | ' | ' | ' | $1,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Due from parent | ' | ' | ' | ' | ' | ' | 1,300,000 | 1,400,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Agreement term | ' | ' | '5 years | ' | ' | ' | ' | ' | '7 years | ' | ' | ' | ' | ' | ' | ' |
Costs incurred associated with agreement | ' | ' | ' | 500,000 | 900,000 | ' | ' | ' | 1,000,000 | 1,000,000 | 1,000,000 | ' | ' | ' | ' | ' |
Purchases included in accounts payable | 18,945,000 | 18,103,000 | ' | 0 | 500,000 | ' | ' | ' | 30,000 | 30,000 | ' | 1,000 | 19,000 | ' | ' | ' |
Annual fee required to be paid | ' | ' | ' | ' | ' | ' | ' | ' | 1,000,000 | ' | ' | ' | ' | ' | ' | ' |
Purchases | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 300,000 | 300,000 | 300,000 | ' | ' |
Due from related party, accounts receivable, net | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $100,000 | $100,000 |
Segment_Information_Details
Segment Information (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
item | |||
Segment Information | ' | ' | ' |
Number of operating segments | 2 | ' | ' |
Revenues | ' | ' | ' |
Revenues | $283,672,000 | $288,105,000 | $356,292,000 |
Operating income/(loss) | ' | ' | ' |
Operating income (loss) | -19,014,000 | -750,000 | -16,475,000 |
Interest expense | -42,915,000 | -42,014,000 | -37,658,000 |
Interest income | 104,000 | 252,000 | 333,000 |
Other income (expense) | 1,161,000 | -44,000 | 1,429,000 |
Loss before income taxes | -60,664,000 | -42,556,000 | -52,371,000 |
Depreciation and amortization | 25,155,000 | 27,402,000 | 32,762,000 |
Capital expenditures | 5,010,000 | 7,920,000 | 7,694,000 |
Assets | 259,385,000 | 322,926,000 | ' |
Long-lived Assets | 97,653,000 | 109,573,000 | ' |
DEFINITY | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | 78,094,000 | 51,431,000 | 68,503,000 |
TechneLite | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | 92,195,000 | 114,249,000 | 131,241,000 |
Cardiolite | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | 26,137,000 | 34,995,000 | 66,127,000 |
Xenon | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | 32,125,000 | 30,075,000 | 26,761,000 |
Other | ' | ' | ' |
Segment Information | ' | ' | ' |
Reclassification of revenues | ' | ' | 800,000 |
Revenues | ' | ' | ' |
Revenues | 55,121,000 | 57,355,000 | 63,660,000 |
U.S. | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | 213,639,000 | 210,011,000 | 268,365,000 |
Canada | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | 35,502,000 | 37,017,000 | 42,366,000 |
All other | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | 34,531,000 | 41,077,000 | 45,561,000 |
U.S. | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | 213,639,000 | 210,011,000 | 268,365,000 |
Operating income/(loss) | ' | ' | ' |
Depreciation and amortization | 22,146,000 | 23,918,000 | 28,912,000 |
Capital expenditures | 4,903,000 | 7,353,000 | 7,100,000 |
Assets | 232,973,000 | 279,808,000 | ' |
Long-lived Assets | 91,683,000 | 101,773,000 | ' |
U.S. | Consolidated revenues | ' | ' | ' |
Segment Information | ' | ' | ' |
Concentration risk (as a percent) | 75.30% | 72.90% | 75.30% |
U.S. | Consolidated assets | ' | ' | ' |
Segment Information | ' | ' | ' |
Concentration risk (as a percent) | 89.80% | 86.70% | ' |
International | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | 70,033,000 | 78,094,000 | 87,927,000 |
Operating income/(loss) | ' | ' | ' |
Depreciation and amortization | 3,009,000 | 3,484,000 | 3,850,000 |
Capital expenditures | 107,000 | 567,000 | 594,000 |
Assets | 26,412,000 | 43,118,000 | ' |
Long-lived Assets | 5,970,000 | 7,800,000 | ' |
Operating segment | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | 304,600,000 | 308,020,000 | 379,271,000 |
Operating income/(loss) | ' | ' | ' |
Operating income (loss) | -18,201,000 | -1,284,000 | -13,114,000 |
Operating segment | U.S. | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | 234,567,000 | 229,926,000 | 291,344,000 |
Operating income/(loss) | ' | ' | ' |
Operating income (loss) | -18,904,000 | -11,104,000 | -25,881,000 |
Operating segment | International | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | 70,033,000 | 78,094,000 | 87,927,000 |
Operating income/(loss) | ' | ' | ' |
Operating income (loss) | 703,000 | 9,820,000 | 12,767,000 |
Inter-segment | ' | ' | ' |
Revenues | ' | ' | ' |
Revenues | -20,928,000 | -19,915,000 | -22,979,000 |
Operating income/(loss) | ' | ' | ' |
Operating income (loss) | ($813,000) | $534,000 | ($3,361,000) |
Valuation_and_Qualifying_Accou2
Valuation and Qualifying Accounts (Details) (Allowance for doubtful accounts, USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Allowance for doubtful accounts | ' | ' | ' |
Movement in valuation and qualifying accounts | ' | ' | ' |
Balance at Beginning of Fiscal Year | $301 | $462 | $796 |
Charge to Costs and Expenses (Recovery of write-offs) | 63 | -117 | 301 |
Deductions From Reserves | -74 | -44 | -635 |
Balance at End of Fiscal Year | $290 | $301 | $462 |
Guarantor_Financial_Informatio2
Guarantor Financial Information (Details) (Guarantor Subsidiary) | 12 Months Ended |
Dec. 31, 2013 | |
item | |
Guarantor Subsidiary | ' |
Guarantor Financial Information | ' |
Number of guarantor subsidiaries | 1 |
Guarantor_Financial_Informatio3
Guarantor Financial Information (Details 2) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
Current assets | ' | ' | ' | ' |
Cash and cash equivalents | $16,669,000 | $31,595,000 | $40,607,000 | $33,006,000 |
Accounts receivable, net | 38,910,000 | 41,380,000 | ' | ' |
Inventory | 18,310,000 | 18,048,000 | ' | ' |
Income tax receivable | 325,000 | 736,000 | ' | ' |
Deferred tax assets | 18,000 | 115,000 | ' | ' |
Other current assets | 3,087,000 | 2,943,000 | ' | ' |
Total current assets | 77,319,000 | 94,817,000 | ' | ' |
Property, plant and equipment, net | 97,653,000 | 109,573,000 | ' | ' |
Capitalized software development costs, net | 1,470,000 | 2,234,000 | ' | ' |
Intangibles, net | 34,998,000 | 66,802,000 | ' | ' |
Goodwill | 15,714,000 | 15,714,000 | ' | ' |
Deferred financing costs | 9,639,000 | 11,372,000 | ' | ' |
Deferred tax assets | 15,000 | ' | ' | ' |
Other long-term assets | 22,577,000 | 22,414,000 | ' | ' |
Total assets | 259,385,000 | 322,926,000 | ' | ' |
Current liabilities | ' | ' | ' | ' |
Line of credit | 8,000,000 | ' | ' | ' |
Accounts payable | 18,103,000 | 18,945,000 | ' | ' |
Accrued expenses and other liabilities | 25,492,000 | 29,689,000 | ' | ' |
Deferred tax liability | 57,000 | ' | ' | ' |
Deferred revenue | 3,979,000 | 7,320,000 | ' | ' |
Total current liabilities | 55,631,000 | 55,954,000 | ' | ' |
Asset retirement obligations | 6,385,000 | 5,416,000 | 4,868,000 | 4,372,000 |
Long-term debt, net | 399,037,000 | 398,822,000 | ' | ' |
Deferred tax liability | 12,000 | 435,000 | ' | ' |
Other long-term liabilities | 35,408,000 | 36,652,000 | ' | ' |
Total liabilities | 496,473,000 | 497,279,000 | ' | ' |
(Deficit) equity | -237,088,000 | -174,353,000 | -133,203,000 | 153,434,000 |
Total liabilities and stockholder's deficit | 259,385,000 | 322,926,000 | ' | ' |
Eliminations | ' | ' | ' | ' |
Current assets | ' | ' | ' | ' |
Intercompany accounts receivable | -2,671,000 | -1,992,000 | ' | ' |
Total current assets | -2,671,000 | -1,992,000 | ' | ' |
Investment in subsidiaries | 196,799,000 | 116,187,000 | ' | ' |
Intercompany note receivable | -5,396,000 | ' | ' | ' |
Total assets | 188,732,000 | 114,195,000 | ' | ' |
Current liabilities | ' | ' | ' | ' |
Intercompany accounts payable | -2,671,000 | -1,992,000 | ' | ' |
Total current liabilities | -2,671,000 | -1,992,000 | ' | ' |
Intercompany note payable | -5,396,000 | ' | ' | ' |
Total liabilities | -8,067,000 | -1,992,000 | ' | ' |
(Deficit) equity | 196,799,000 | 116,187,000 | ' | ' |
Total liabilities and stockholder's deficit | 188,732,000 | 114,195,000 | ' | ' |
Lantheus Intermediate | Reportable entities | ' | ' | ' | ' |
Current assets | ' | ' | ' | ' |
Investment in subsidiaries | -237,088,000 | -174,353,000 | ' | ' |
Total assets | -237,088,000 | -174,353,000 | ' | ' |
Current liabilities | ' | ' | ' | ' |
(Deficit) equity | -237,088,000 | -174,353,000 | ' | ' |
Total liabilities and stockholder's deficit | -237,088,000 | -174,353,000 | ' | ' |
LMI | Reportable entities | ' | ' | ' | ' |
Current assets | ' | ' | ' | ' |
Cash and cash equivalents | 11,995,000 | 17,635,000 | 20,474,000 | 19,079,000 |
Accounts receivable, net | 28,099,000 | 30,218,000 | ' | ' |
Intercompany accounts receivable | 2,671,000 | 1,992,000 | ' | ' |
Inventory | 15,414,000 | 15,417,000 | ' | ' |
Income tax receivable | 297,000 | 291,000 | ' | ' |
Other current assets | 2,906,000 | 2,596,000 | ' | ' |
Total current assets | 61,382,000 | 68,149,000 | ' | ' |
Property, plant and equipment, net | 76,068,000 | 78,578,000 | ' | ' |
Capitalized software development costs, net | 1,468,000 | 2,230,000 | ' | ' |
Intangibles, net | 31,838,000 | 60,370,000 | ' | ' |
Goodwill | 15,714,000 | 15,714,000 | ' | ' |
Deferred financing costs | 9,639,000 | 11,372,000 | ' | ' |
Investment in subsidiaries | 40,289,000 | 58,166,000 | ' | ' |
Other long-term assets | 22,370,000 | 22,192,000 | ' | ' |
Total assets | 258,768,000 | 316,771,000 | ' | ' |
Current liabilities | ' | ' | ' | ' |
Line of credit | 8,000,000 | ' | ' | ' |
Accounts payable | 16,672,000 | 16,835,000 | ' | ' |
Accrued expenses and other liabilities | 21,409,000 | 26,592,000 | ' | ' |
Deferred revenue | 3,979,000 | 7,229,000 | ' | ' |
Total current liabilities | 50,060,000 | 50,656,000 | ' | ' |
Asset retirement obligations | 6,212,000 | 5,268,000 | ' | ' |
Long-term debt, net | 399,037,000 | 398,822,000 | ' | ' |
Intercompany note payable | 5,396,000 | ' | ' | ' |
Other long-term liabilities | 35,151,000 | 36,378,000 | ' | ' |
Total liabilities | 495,856,000 | 491,124,000 | ' | ' |
(Deficit) equity | -237,088,000 | -174,353,000 | ' | ' |
Total liabilities and stockholder's deficit | 258,768,000 | 316,771,000 | ' | ' |
Guarantor Subsidiary | Reportable entities | ' | ' | ' | ' |
Current assets | ' | ' | ' | ' |
Property, plant and equipment, net | 15,615,000 | 23,195,000 | ' | ' |
Total assets | 15,615,000 | 23,195,000 | ' | ' |
Current liabilities | ' | ' | ' | ' |
(Deficit) equity | 15,615,000 | 23,195,000 | ' | ' |
Total liabilities and stockholder's deficit | 15,615,000 | 23,195,000 | ' | ' |
Non-Guarantor Subsidiaries | Reportable entities | ' | ' | ' | ' |
Current assets | ' | ' | ' | ' |
Cash and cash equivalents | 4,674,000 | 13,960,000 | 20,133,000 | 13,927,000 |
Accounts receivable, net | 10,811,000 | 11,162,000 | ' | ' |
Inventory | 2,896,000 | 2,631,000 | ' | ' |
Income tax receivable | 28,000 | 445,000 | ' | ' |
Deferred tax assets | 18,000 | 115,000 | ' | ' |
Other current assets | 181,000 | 347,000 | ' | ' |
Total current assets | 18,608,000 | 28,660,000 | ' | ' |
Property, plant and equipment, net | 5,970,000 | 7,800,000 | ' | ' |
Capitalized software development costs, net | 2,000 | 4,000 | ' | ' |
Intangibles, net | 3,160,000 | 6,432,000 | ' | ' |
Deferred tax assets | 15,000 | ' | ' | ' |
Intercompany note receivable | 5,396,000 | ' | ' | ' |
Other long-term assets | 207,000 | 222,000 | ' | ' |
Total assets | 33,358,000 | 43,118,000 | ' | ' |
Current liabilities | ' | ' | ' | ' |
Accounts payable | 1,431,000 | 2,110,000 | ' | ' |
Intercompany accounts payable | 2,671,000 | 1,992,000 | ' | ' |
Accrued expenses and other liabilities | 4,083,000 | 3,097,000 | ' | ' |
Deferred tax liability | 57,000 | ' | ' | ' |
Deferred revenue | ' | 91,000 | ' | ' |
Total current liabilities | 8,242,000 | 7,290,000 | ' | ' |
Asset retirement obligations | 173,000 | 148,000 | ' | ' |
Deferred tax liability | 12,000 | 435,000 | ' | ' |
Other long-term liabilities | 257,000 | 274,000 | ' | ' |
Total liabilities | 8,684,000 | 8,147,000 | ' | ' |
(Deficit) equity | 24,674,000 | 34,971,000 | ' | ' |
Total liabilities and stockholder's deficit | $33,358,000 | $43,118,000 | ' | ' |
Guarantor_Financial_Informatio4
Guarantor Financial Information (Details 3) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Consolidating Comprehensive Loss Information | ' | ' | ' |
Net product revenues | $271,809 | $277,354 | $345,762 |
License and other revenues | 11,863 | 10,751 | 10,530 |
Total revenues | 283,672 | 288,105 | 356,292 |
Cost of goods sold | 206,311 | 211,049 | 255,466 |
Loss on firm purchase commitment | ' | 1,859 | 5,610 |
Total cost of goods sold | 206,311 | 212,908 | 261,076 |
Gross profit | 77,361 | 75,197 | 95,216 |
Operating expenses | ' | ' | ' |
General and administrative expenses | 33,159 | 32,520 | 32,057 |
Sales and marketing expenses | 35,227 | 37,437 | 38,689 |
Research and development expenses | 30,459 | 40,604 | 40,945 |
Proceeds from manufacturer | -8,876 | -34,614 | ' |
Impairment of land | 6,406 | ' | ' |
Operating loss | -19,014 | -750 | -16,475 |
Interest expense | -42,915 | -42,014 | -37,658 |
Interest income | 104 | 252 | 333 |
Other income (expense) | 1,161 | -44 | 1,429 |
Loss before income taxes | -60,664 | -42,556 | -52,371 |
Provision (benefit) for income taxes | 1,014 | -555 | 84,098 |
Net loss | -61,678 | -42,001 | -136,469 |
Foreign currency translation, net of taxes | -1,729 | 964 | -104 |
Income taxes expense related to items of other comprehensive (loss) income | ' | ' | -233 |
Total comprehensive loss | -63,407 | -41,037 | -136,806 |
Eliminations | ' | ' | ' |
Consolidating Comprehensive Loss Information | ' | ' | ' |
Net product revenues | -20,928 | -19,915 | -22,979 |
Total revenues | -20,928 | -19,915 | -22,979 |
Cost of goods sold | -20,928 | -19,915 | -22,979 |
Total cost of goods sold | ' | -19,915 | -22,979 |
Operating expenses | ' | ' | ' |
Interest expense | 96 | ' | ' |
Interest income | -96 | ' | ' |
Equity in earnings (losses) of affiliates | 70,820 | 40,759 | 133,181 |
Loss before income taxes | 70,820 | 40,759 | 133,181 |
Net loss | 70,820 | 40,759 | 133,181 |
Equity in other comprehensive income (loss) of subsidiaries | 3,458 | -1,728 | ' |
Total comprehensive loss | 74,278 | 39,031 | 133,181 |
Lantheus Intermediate | Reportable entities | ' | ' | ' |
Operating expenses | ' | ' | ' |
Equity in earnings (losses) of affiliates | -61,678 | -42,001 | -136,469 |
Loss before income taxes | -61,678 | -42,001 | -136,469 |
Net loss | -61,678 | -42,001 | -136,469 |
Equity in other comprehensive income (loss) of subsidiaries | -1,729 | 964 | ' |
Total comprehensive loss | -63,407 | -41,037 | -136,469 |
LMI | Reportable entities | ' | ' | ' |
Consolidating Comprehensive Loss Information | ' | ' | ' |
Net product revenues | 231,216 | 230,655 | 293,775 |
License and other revenues | 11,863 | 10,751 | 10,530 |
Total revenues | 243,079 | 241,406 | 304,305 |
Cost of goods sold | 169,334 | 171,257 | 213,121 |
Loss on firm purchase commitment | ' | 1,859 | 5,610 |
Total cost of goods sold | ' | 173,116 | 218,731 |
Gross profit | 73,745 | 68,290 | 85,574 |
Operating expenses | ' | ' | ' |
General and administrative expenses | 30,785 | 30,112 | 29,335 |
Sales and marketing expenses | 31,668 | 34,220 | 34,665 |
Research and development expenses | 30,138 | 40,457 | 40,387 |
Proceeds from manufacturer | -8,876 | -34,614 | ' |
Operating loss | -9,970 | -1,885 | -18,813 |
Interest expense | -43,011 | -42,014 | -37,658 |
Interest income | 1 | 1 | 1 |
Other income (expense) | 1,373 | 110 | 1,573 |
Equity in earnings (losses) of affiliates | -9,142 | 1,242 | 3,288 |
Loss before income taxes | -60,749 | -42,546 | -51,609 |
Provision (benefit) for income taxes | 929 | -545 | 84,860 |
Net loss | -61,678 | -42,001 | -136,469 |
Foreign currency translation, net of taxes | ' | 200 | ' |
Equity in other comprehensive income (loss) of subsidiaries | -1,729 | 764 | ' |
Income taxes expense related to items of other comprehensive (loss) income | ' | ' | -233 |
Total comprehensive loss | -63,407 | -41,037 | -136,702 |
Guarantor Subsidiary | Reportable entities | ' | ' | ' |
Operating expenses | ' | ' | ' |
General and administrative expenses | 80 | 80 | 80 |
Impairment of land | 6,406 | ' | ' |
Operating loss | -6,486 | -80 | -80 |
Loss before income taxes | -6,486 | -80 | -80 |
Provision (benefit) for income taxes | ' | ' | -28 |
Net loss | -6,486 | -80 | -52 |
Total comprehensive loss | -6,486 | -80 | -52 |
Non-Guarantor Subsidiaries | Reportable entities | ' | ' | ' |
Consolidating Comprehensive Loss Information | ' | ' | ' |
Net product revenues | 61,521 | 66,614 | 74,966 |
Total revenues | 61,521 | 66,614 | 74,966 |
Cost of goods sold | 57,905 | 59,707 | 65,324 |
Total cost of goods sold | ' | 59,707 | 65,324 |
Gross profit | 3,616 | 6,907 | 9,642 |
Operating expenses | ' | ' | ' |
General and administrative expenses | 2,294 | 2,328 | 2,642 |
Sales and marketing expenses | 3,559 | 3,217 | 4,024 |
Research and development expenses | 321 | 147 | 558 |
Operating loss | -2,558 | 1,215 | 2,418 |
Interest income | 199 | 251 | 332 |
Other income (expense) | -212 | -154 | -144 |
Loss before income taxes | -2,571 | 1,312 | 2,606 |
Provision (benefit) for income taxes | 85 | -10 | -734 |
Net loss | -2,656 | 1,322 | 3,340 |
Foreign currency translation, net of taxes | -1,729 | 764 | -104 |
Total comprehensive loss | ($4,385) | $2,086 | $3,236 |
Guarantor_Financial_Informatio5
Guarantor Financial Information (Details 4) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Condensed Consolidating Cash Flow Information | ' | ' | ' |
Cash provided by operating activities | ($15,678) | $523 | $22,420 |
Cash flows from investing activities | ' | ' | ' |
Capital expenditures | -5,010 | -7,920 | -7,694 |
Purchase of certificate of deposit | ' | -225 | ' |
Proceeds from sale of property, plant and equipment | 1,527 | ' | ' |
Cash used in investing activities | -3,483 | -8,145 | -7,694 |
Cash flows from financing activities | ' | ' | ' |
Proceeds from line of credit | 8,000 | ' | 10,000 |
Payments on note payable | -1,310 | -1,530 | ' |
Proceeds from issuance of debt | ' | ' | 152,250 |
Consent solicitation fee | ' | ' | -3,750 |
Payments of deferred financing costs | -1,249 | -442 | -5,491 |
Payments on line of credit | ' | ' | -10,000 |
Due from parent | 94 | -67 | ' |
Payment of dividend | ' | ' | -150,000 |
Cash provided by (used in) financing activities | 5,535 | -2,039 | -6,991 |
Effect of foreign exchange rate on cash | -1,300 | 649 | -134 |
(Decrease) Increase in cash and cash equivalents | -14,926 | -9,012 | 7,601 |
Cash and cash equivalents, beginning of year | 31,595 | 40,607 | 33,006 |
Cash and cash equivalents, end of year | 16,669 | 31,595 | 40,607 |
Eliminations | ' | ' | ' |
Condensed Consolidating Cash Flow Information | ' | ' | ' |
Cash provided by operating activities | -1,738 | -7,874 | -600 |
Cash flows from investing activities | ' | ' | ' |
Proceeds from dividend | -5,268 | -2,949 | -149,400 |
Cash used in investing activities | -5,268 | -2,949 | -149,400 |
Cash flows from financing activities | ' | ' | ' |
Payment of dividend | 7,006 | 10,823 | 150,000 |
Cash provided by (used in) financing activities | 7,006 | 10,823 | 150,000 |
Lantheus Intermediate | Reportable entities | ' | ' | ' |
Condensed Consolidating Cash Flow Information | ' | ' | ' |
Cash provided by operating activities | ' | ' | 600 |
Cash flows from investing activities | ' | ' | ' |
Proceeds from dividend | ' | ' | 149,400 |
Cash used in investing activities | ' | ' | 149,400 |
Cash flows from financing activities | ' | ' | ' |
Payment of dividend | ' | ' | -150,000 |
Cash provided by (used in) financing activities | ' | ' | -150,000 |
LMI | Reportable entities | ' | ' | ' |
Condensed Consolidating Cash Flow Information | ' | ' | ' |
Cash provided by operating activities | -17,273 | 3,829 | 15,409 |
Cash flows from investing activities | ' | ' | ' |
Capital expenditures | -4,903 | -7,353 | -7,023 |
Purchase of certificate of deposit | ' | -225 | ' |
Proceeds from dividend | 5,268 | 2,949 | ' |
Proceeds from sale of property, plant and equipment | 433 | ' | ' |
Cash used in investing activities | 798 | -4,629 | -7,023 |
Cash flows from financing activities | ' | ' | ' |
Proceeds from line of credit | 8,000 | ' | 10,000 |
Payments on note payable | -1,310 | -1,530 | ' |
Proceeds from issuance of debt | ' | ' | 152,250 |
Consent solicitation fee | ' | ' | -3,750 |
Payments of deferred financing costs | -1,249 | -442 | -5,491 |
Payments on line of credit | ' | ' | -10,000 |
Due from parent | 94 | -67 | ' |
Intercompany note | 5,300 | ' | ' |
Payment of dividend | ' | ' | -150,000 |
Cash provided by (used in) financing activities | 10,835 | -2,039 | -6,991 |
(Decrease) Increase in cash and cash equivalents | -5,640 | -2,839 | 1,395 |
Cash and cash equivalents, beginning of year | 17,635 | 20,474 | 19,079 |
Cash and cash equivalents, end of year | 11,995 | 17,635 | 20,474 |
Guarantor Subsidiary | Reportable entities | ' | ' | ' |
Cash flows from investing activities | ' | ' | ' |
Proceeds from sale of property, plant and equipment | 1,094 | ' | ' |
Cash used in investing activities | 1,094 | ' | ' |
Cash flows from financing activities | ' | ' | ' |
Payment of dividend | -1,094 | ' | ' |
Cash provided by (used in) financing activities | -1,094 | ' | ' |
Non-Guarantor Subsidiaries | Reportable entities | ' | ' | ' |
Condensed Consolidating Cash Flow Information | ' | ' | ' |
Cash provided by operating activities | 3,333 | 4,568 | 7,011 |
Cash flows from investing activities | ' | ' | ' |
Capital expenditures | -107 | -567 | -671 |
Cash used in investing activities | -107 | -567 | -671 |
Cash flows from financing activities | ' | ' | ' |
Intercompany note | -5,300 | ' | ' |
Payment of dividend | -5,912 | -10,823 | ' |
Cash provided by (used in) financing activities | -11,212 | -10,823 | ' |
Effect of foreign exchange rate on cash | -1,300 | 649 | -134 |
(Decrease) Increase in cash and cash equivalents | -9,286 | -6,173 | 6,206 |
Cash and cash equivalents, beginning of year | 13,960 | 20,133 | 13,927 |
Cash and cash equivalents, end of year | $4,674 | $13,960 | $20,133 |