Document And Entity Information
Document And Entity Information | 12 Months Ended |
Dec. 31, 2017 | |
Document And Entity Information [Abstract] | |
Document Type | 8-K |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2017 |
Entity Registrant Name | Endo International plc |
Entity Central Index Key | 1,593,034 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 986,605 | $ 517,250 |
Restricted cash and cash equivalents | 320,453 | 282,074 |
Accounts receivable, net of allowance of $392 and $6,956 at December 31, 2017 and 2016, respectively | 517,436 | 992,153 |
Inventories, net | 391,437 | 555,671 |
Prepaid expenses and other current assets | 43,098 | 77,523 |
Income taxes receivable | 12,048 | 47,803 |
Assets held for sale | 0 | 116,985 |
Total current assets | 2,271,077 | 2,589,459 |
MARKETABLE SECURITIES | 1,456 | 2,267 |
PROPERTY, PLANT AND EQUIPMENT, NET | 523,971 | 669,596 |
GOODWILL | 4,450,082 | 4,729,395 |
OTHER INTANGIBLES, NET | 4,317,684 | 5,859,297 |
DEFERRED INCOME TAXES | 11,582 | 7,817 |
OTHER ASSETS | 59,728 | 417,278 |
TOTAL ASSETS | 11,635,580 | 14,275,109 |
CURRENT LIABILITIES: | ||
Accounts payable and accrued expenses | 1,096,825 | 1,454,084 |
Current portion of legal settlement accrual | 1,087,793 | 1,015,932 |
Current portion of long-term debt | 34,205 | 131,125 |
Income taxes payable | 2,086 | 9,266 |
Liabilities held for sale | 0 | 24,338 |
Total current liabilities | 2,220,909 | 2,634,745 |
DEFERRED INCOME TAXES | 43,131 | 192,297 |
LONG-TERM DEBT, LESS CURRENT PORTION, NET | 8,242,032 | 8,141,378 |
LONG-TERM LEGAL SETTLEMENT ACCRUAL, LESS CURRENT PORTION | 210,450 | 0 |
OTHER LIABILITIES | 434,178 | 605,100 |
COMMITMENTS AND CONTINGENCIES (NOTE 14) | ||
SHAREHOLDERS’ EQUITY: | ||
Euro deferred shares, $0.01 par value; 4,000,000 shares authorized and issued at both December 31, 2017 and December 31, 2016 | 48 | 42 |
Ordinary shares, $0.0001 par value; 1,000,000,000 shares authorized; 223,331,706 and 222,954,175 shares issued and outstanding at December 31, 2017 and December 31, 2016, respectively | 22 | 22 |
Additional paid-in capital | 8,791,170 | 8,743,240 |
Accumulated deficit | (8,096,539) | (5,688,281) |
Accumulated other comprehensive loss | (209,821) | (353,434) |
Total shareholders’ equity | 484,880 | 2,701,589 |
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ 11,635,580 | $ 14,275,109 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 392 | $ 6,956 |
Euro deferred shares, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Euro deferred shares, shares authorized | 4,000,000 | 4,000,000 |
Euro deferred shares, shares issued | 4,000,000 | 4,000,000 |
Common stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued | 223,331,706 | 222,954,175 |
Common stock, shares outstanding | 223,331,706 | 222,954,175 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Statement [Abstract] | |||
TOTAL REVENUES | $ 3,468,858 | $ 4,010,274 | $ 3,268,718 |
COSTS AND EXPENSES: | |||
Cost of revenues | 2,228,530 | 2,634,973 | 2,075,651 |
Selling, general and administrative | 629,874 | 770,728 | 741,304 |
Research and development | 172,067 | 183,372 | 102,197 |
Litigation-related and other contingencies, net | 185,990 | 23,950 | 37,082 |
Asset impairment charges | 1,154,376 | 3,781,165 | 1,140,709 |
Acquisition-related and integration items | 58,086 | 87,601 | 105,250 |
OPERATING LOSS | (960,065) | (3,471,515) | (933,475) |
INTEREST EXPENSE, NET | 488,228 | 452,679 | 373,214 |
LOSS ON EXTINGUISHMENT OF DEBT | 51,734 | 0 | 67,484 |
OTHER (INCOME) EXPENSE, NET | (17,023) | (338) | 63,691 |
LOSS FROM CONTINUING OPERATIONS BEFORE INCOME TAX | (1,483,004) | (3,923,856) | (1,437,864) |
INCOME TAX BENEFIT | (250,293) | (700,084) | (1,137,465) |
LOSS FROM CONTINUING OPERATIONS | (1,232,711) | (3,223,772) | (300,399) |
DISCONTINUED OPERATIONS, NET OF TAX (NOTE 3) | (802,722) | (123,278) | (1,194,926) |
CONSOLIDATED NET LOSS | (2,035,433) | (3,347,050) | (1,495,325) |
Less: Net income (loss) attributable to noncontrolling interests | 0 | 16 | (283) |
NET LOSS ATTRIBUTABLE TO ENDO INTERNATIONAL PLC | $ (2,035,433) | $ (3,347,066) | $ (1,495,042) |
NET LOSS PER SHARE ATTRIBUTABLE TO ENDO INTERNATIONAL PLC ORDINARY SHAREHOLDERS—BASIC: | |||
Continuing operations (in dollars per share) | $ (5.52) | $ (14.48) | $ (1.52) |
Discontinued operations (in dollars per share) | (3.60) | (0.55) | (6.07) |
Basic (in dollars per share) | (9.12) | (15.03) | (7.59) |
NET LOSS PER SHARE ATTRIBUTABLE TO ENDO INTERNATIONAL PLC ORDINARY SHAREHOLDERS—DILUTED: | |||
Continuing operations (in dollars per share) | (5.52) | (14.48) | (1.52) |
Discontinued operations (in dollars per share) | (3.60) | (0.55) | (6.07) |
Diluted (in dollars per share) | $ (9.12) | $ (15.03) | $ (7.59) |
WEIGHTED AVERAGE SHARES: | |||
Basic (shares) | 223,198 | 222,651 | 197,100 |
Diluted (shares) | 223,198 | 222,651 | 197,100 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement of Comprehensive Income [Abstract] | |||
CONSOLIDATED NET LOSS | $ (2,035,433) | $ (3,347,050) | $ (1,495,325) |
Net unrealized (loss) gain on securities: | |||
Unrealized (loss) gain arising during the period | (515) | (914) | 2,299 |
Less: reclassification adjustments for gain realized in net loss | 0 | (6) | 0 |
Net unrealized gain (loss) on securities | (515) | (920) | 2,299 |
Net unrealized gain (loss) on foreign currency: | |||
Foreign currency translation gain (loss) arising during the period | 31,202 | 31,729 | (284,722) |
Less: reclassification adjustments for loss realized in net loss | 112,926 | 0 | 25,715 |
Foreign currency translation gain (loss) | 144,128 | 31,729 | (259,007) |
OTHER COMPREHENSIVE INCOME (LOSS) | 143,613 | 30,809 | (256,708) |
CONSOLIDATED COMPREHENSIVE LOSS | (1,891,820) | (3,316,241) | (1,752,033) |
Less: Net income (loss) attributable to noncontrolling interests | 0 | 16 | (283) |
Less: Other comprehensive income (loss) attributable to noncontrolling interests | 0 | 38 | (495) |
COMPREHENSIVE LOSS ATTRIBUTABLE TO ENDO INTERNATIONAL PLC | $ (1,891,820) | $ (3,316,295) | $ (1,751,255) |
Consolidated Statements Of Shar
Consolidated Statements Of Shareholders' Equity - USD ($) $ in Thousands | Total | Auxilium Pharmaceuticals, Inc. | Par Pharmaceutical Holdings, Inc. | Total Endo International plc Shareholders’ Equity | Total Endo International plc Shareholders’ EquityAuxilium Pharmaceuticals, Inc. | Total Endo International plc Shareholders’ EquityPar Pharmaceutical Holdings, Inc. | Ordinary Shares | Ordinary SharesAuxilium Pharmaceuticals, Inc. | Ordinary SharesPar Pharmaceutical Holdings, Inc. | Euro Deferred Shares | Additional Paid-in Capital | Additional Paid-in CapitalAuxilium Pharmaceuticals, Inc. | Additional Paid-in CapitalPar Pharmaceutical Holdings, Inc. | Accumulated Deficit | Accumulated other comprehensive loss | Noncontrolling Interests |
Shareholders' equity, beginning balance (in shares) at Dec. 31, 2014 | 153,912,985 | 4,000,000 | ||||||||||||||
Shareholders' equity, beginning balance at Dec. 31, 2014 | $ 2,408,213 | $ 2,374,757 | $ 15 | $ 48 | $ 3,093,867 | $ (595,085) | $ (124,088) | $ 33,456 | ||||||||
Increase (Decrease) in Shareholders' Equity [Roll Forward] | ||||||||||||||||
Net (loss) income | (1,495,325) | (1,495,042) | (1,495,042) | (283) | ||||||||||||
Other comprehensive income (loss) | (256,708) | (256,213) | (256,213) | (495) | ||||||||||||
Compensation related to share-based awards | 61,185 | 61,185 | 61,185 | |||||||||||||
Exercise of options (in shares) | 880,885 | |||||||||||||||
Exercise of options | 27,217 | 27,217 | 27,217 | |||||||||||||
Tax benefits of share awards, net | 20,051 | 20,051 | 20,051 | |||||||||||||
Issuance of ordinary shares related to the employee stock purchase plan (in shares) | 67,867 | |||||||||||||||
Issuance of ordinary shares related to the employee stock purchase plan | 4,299 | 4,299 | 4,299 | |||||||||||||
Ordinary shares issued (in shares) | 27,982,302 | |||||||||||||||
Ordinary shares issued | 2,300,000 | 2,300,000 | $ 3 | 2,299,997 | ||||||||||||
Equity issuance fees | (66,956) | (66,956) | (66,956) | |||||||||||||
Ordinary shares issued in connection with acquisitions (in shares) | 18,609,835 | 18,069,899 | ||||||||||||||
Ordinary shares issued in connection with acquisition | $ 1,519,320 | $ 1,325,248 | $ 1,519,320 | $ 1,325,248 | $ 2 | $ 2 | $ 1,519,318 | $ 1,325,246 | ||||||||
Tax withholding for restricted shares | (15,398) | (15,398) | (15,398) | |||||||||||||
Share repurchases (in shares) | (4,361,957) | |||||||||||||||
Share repurchases | (251,088) | (251,088) | (251,088) | |||||||||||||
Buy-out of noncontrolling interests, net | (39,608) | (6,876) | (2,972) | (3,904) | (32,732) | |||||||||||
Fair value of equity component of acquired Auxilium Notes | 266,649 | 266,649 | 266,649 | |||||||||||||
Conversion of convertible debt (in shares) | 5,170,239 | |||||||||||||||
Conversion of Auxilium Notes | 160,892 | 160,892 | 160,892 | |||||||||||||
Settlement of common stock warrants | 1,792,379 | |||||||||||||||
Other (in shares) | (152) | |||||||||||||||
Other | (15) | (15) | $ (5) | (10) | ||||||||||||
Shareholders' equity, ending balance (in shares) at Dec. 31, 2015 | 222,124,282 | 4,000,000 | ||||||||||||||
Shareholders' equity, ending balance at Dec. 31, 2015 | 5,967,976 | 5,968,030 | $ 22 | $ 43 | 8,693,385 | (2,341,215) | (384,205) | (54) | ||||||||
Increase (Decrease) in Shareholders' Equity [Roll Forward] | ||||||||||||||||
Net (loss) income | (3,347,050) | (3,347,066) | (3,347,066) | 16 | ||||||||||||
Other comprehensive income (loss) | 30,809 | 30,771 | 30,771 | 38 | ||||||||||||
Compensation related to share-based awards | 59,769 | 59,769 | 59,769 | |||||||||||||
Exercise of options (in shares) | 62,589 | |||||||||||||||
Exercise of options | 1,952 | 1,952 | 1,952 | |||||||||||||
Tax benefits of share awards, net | (5,449) | (5,449) | (5,449) | |||||||||||||
Issuance of ordinary shares related to the employee stock purchase plan (in shares) | 306,918 | |||||||||||||||
Issuance of ordinary shares related to the employee stock purchase plan | 5,119 | 5,119 | 5,119 | |||||||||||||
Ordinary shares issued (in shares) | 460,386 | |||||||||||||||
Ordinary shares issued | 0 | 0 | 0 | |||||||||||||
Tax withholding for restricted shares | (11,500) | (11,500) | (11,500) | |||||||||||||
Other | (37) | (37) | $ (1) | (36) | ||||||||||||
Shareholders' equity, ending balance (in shares) at Dec. 31, 2016 | 222,954,175 | 4,000,000 | ||||||||||||||
Shareholders' equity, ending balance at Dec. 31, 2016 | 2,701,589 | 2,701,589 | $ 22 | $ 42 | 8,743,240 | (5,688,281) | (353,434) | 0 | ||||||||
Increase (Decrease) in Shareholders' Equity [Roll Forward] | ||||||||||||||||
Shareholders' equity, adjusted beginning balance | 2,328,764 | 2,328,764 | 42 | 8,743,240 | (6,061,106) | (353,434) | 0 | |||||||||
Effect of adopting ASU 2016-16 (NOTE 2) | Accounting Standards Update 2016-16 | (372,825) | (372,825) | (372,825) | |||||||||||||
Net (loss) income | (2,035,433) | (2,035,433) | (2,035,433) | |||||||||||||
Other comprehensive income (loss) | 143,613 | 143,613 | 143,613 | |||||||||||||
Compensation related to share-based awards | 50,149 | 50,149 | 50,149 | |||||||||||||
Ordinary shares issued (in shares) | 377,531 | |||||||||||||||
Tax withholding for restricted shares | (2,078) | (2,078) | (2,078) | |||||||||||||
Other | (135) | (135) | $ 6 | (141) | ||||||||||||
Shareholders' equity, ending balance (in shares) at Dec. 31, 2017 | 223,331,706 | 4,000,000 | ||||||||||||||
Shareholders' equity, ending balance at Dec. 31, 2017 | $ 484,880 | $ 484,880 | $ 22 | $ 48 | $ 8,791,170 | $ (8,096,539) | $ (209,821) | $ 0 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
OPERATING ACTIVITIES: | |||
Consolidated net loss | $ (2,035,433) | $ (3,347,050) | $ (1,495,325) |
Adjustments to reconcile consolidated net loss to Net cash provided by operating activities: | |||
Depreciation and amortization | 983,765 | 983,309 | 632,756 |
Inventory step-up | 390 | 108,768 | 232,461 |
Share-based compensation | 50,149 | 59,769 | 61,185 |
Amortization of debt issuance costs and discount | 22,694 | 28,514 | 23,604 |
(Benefit) provision for bad debts | (1,649) | 6,885 | 5,073 |
Deferred income taxes | (156,129) | (745,341) | (447,168) |
Change in fair value of contingent consideration | 49,949 | 23,823 | (65,640) |
Loss on extinguishment of debt | 51,734 | 0 | 67,484 |
Asset impairment charges | 1,154,376 | 3,802,493 | 1,390,281 |
(Gain) loss on sale of business and other assets | (13,809) | 3,192 | (10,294) |
Changes in assets and liabilities which (used) provided cash: | |||
Accounts receivable | 486,359 | (7,387) | (274,994) |
Inventories | 147,189 | 66,876 | 29,130 |
Prepaid and other assets | 5,345 | 69,273 | 21,283 |
Accounts payable and accrued expenses | (69,608) | (682,515) | 443,398 |
Other liabilities | (18,336) | (524,532) | 69,926 |
Income taxes payable/receivable | (103,001) | 682,066 | (564,659) |
Net cash provided by operating activities | 553,985 | 528,143 | 118,501 |
INVESTING ACTIVITIES: | |||
Purchases of property, plant and equipment | (125,654) | (138,856) | (81,774) |
Acquisitions, net of cash and restricted cash acquired | 0 | (30,394) | (7,648,048) |
Proceeds from sale of marketable securities and investments | 0 | 34 | 1,230 |
Decrease in notes receivable | 7,000 | 0 | 17 |
Patent acquisition costs and license fees | 0 | (19,206) | (43,968) |
Proceeds from sale of business and other assets, net | 223,237 | 10,870 | 1,588,779 |
Net cash provided by (used in) investing activities | 104,583 | (177,552) | (6,183,764) |
FINANCING ACTIVITIES: | |||
Proceeds from issuance of notes | 300,000 | 0 | 2,835,000 |
Proceeds from issuance of term loans | 3,415,000 | 0 | 2,800,000 |
Principal payments on notes | 0 | 0 | (899,875) |
Principal payments on term loans | (3,730,951) | (103,625) | (473,376) |
Proceeds from draw of revolving debt | 0 | 380,000 | 525,000 |
Repayments of revolving debt | 0 | (605,000) | (300,000) |
Principal payments on other indebtedness | (6,154) | (7,736) | (10,070) |
Repurchase of convertible senior subordinated notes | 0 | 0 | (247,760) |
Prepayment penalty on long-term debt | 0 | 0 | (31,496) |
Sale of mandatorily redeemable preferred shares | 0 | 0 | 60,000 |
Redemption of mandatorily redeemable preferred shares | 0 | 0 | (60,000) |
Deferred financing fees | (57,773) | (500) | (125,111) |
Payments for contingent consideration | (85,037) | (55,896) | (29,786) |
Payments of tax withholding for restricted shares | (2,078) | (11,500) | (15,398) |
Exercise of options | 0 | 1,952 | 27,217 |
Repurchase of ordinary shares | 0 | 0 | (250,088) |
Issuance of ordinary shares related to the employee stock purchase plan | 0 | 5,119 | 4,299 |
Issuance of ordinary shares | 0 | 0 | 2,300,000 |
Payments related to the issuance of ordinary shares | 0 | 0 | (66,956) |
Cash buy-out of noncontrolling interests | 0 | 0 | (39,608) |
Net cash (used in) provided by financing activities | (166,993) | (397,186) | 6,001,992 |
Effect of foreign exchange rate | 2,515 | 436 | (11,269) |
Movement in cash held for sale | 11,744 | (11,744) | 997 |
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS | 505,834 | (57,903) | (73,543) |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS, BEGINNING OF PERIOD | 805,180 | 863,083 | 936,626 |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS, END OF PERIOD | 1,311,014 | 805,180 | 863,083 |
SUPPLEMENTAL INFORMATION: | |||
Cash paid for interest | 467,017 | 429,172 | 284,985 |
Cash paid for income taxes | 28,675 | 63,983 | 42,700 |
Cash received from U.S. Federal tax refunds | 29,825 | 759,950 | 162,821 |
Cash paid into Qualified Settlement Funds for mesh legal settlements | 668,306 | 831,131 | 743,132 |
Cash paid out of Qualified Settlement Funds for mesh legal settlements | 632,176 | 1,134,734 | 649,391 |
Other cash distributions for mesh legal settlements | 19,243 | 7,830 | 27,380 |
SCHEDULE OF NON-CASH INVESTING AND FINANCING ACTIVITIES: | |||
Accrual for purchases of property, plant and equipment | 5,723 | 2,676 | 4,476 |
Acquisition financed by ordinary shares | 0 | 0 | 2,844,568 |
Repurchase of convertible senior subordinated notes financed by ordinary shares | $ 0 | $ 0 | $ 625,483 |
Description of Business
Description of Business | 12 Months Ended |
Dec. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | NOTE 1. DESCRIPTION OF BUSINESS Endo International plc is an Ireland-domiciled, global specialty pharmaceutical company focused on generic and branded pharmaceuticals. We aim to be the premier partner to healthcare professionals and payment providers, delivering an innovative suite of generic and branded drugs to meet patients’ needs. Unless otherwise indicated or required by the context, references throughout to “Endo,” the “Company,” “we,” “our” or “us” refer to financial information and transactions of Endo International plc and its subsidiaries. The accompanying Consolidated Financial Statements of Endo International plc and its subsidiaries have been prepared in accordance with United States (U.S.) generally accepted accounting principles (GAAP). |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Consolidation and Basis of Presentation. The Consolidated Financial Statements include the accounts of wholly owned subsidiaries after the elimination of intercompany accounts and transactions. Reclassifications . Certain prior period amounts have been reclassified to conform to the current period presentation. Additionally, as further discussed below under the heading “ Recent Accounting Pronouncements Adopted or Otherwise Effective as of December 31, 2017 ,” the Company adopted Accounting Standards Update (ASU) No. 2016-09 “Compensation - Stock Compensation” (ASU 2016-09), ASU No. 2016-15 “Classification of Certain Cash Receipts and Cash Payments” (ASU 2016-15) and ASU No. 2016-18 “Statement of Cash Flows (Topic 230) - Restricted Cash” (ASU 2016-18) during 2017. The table below presents the effects of these ASUs on the Company’s Consolidated Statements of Cash Flows for each of the years ended December 31, 2016 and 2015 (in thousands): Prior to Adoption Impact of Adoption of: Subsequent to Adoption ASU 2016-09 ASU 2016-15 ASU 2016-18 For the year ended December 31, 2016: Net cash provided by operating activities $ 524,439 $ 3,204 $ — $ 500 $ 528,143 Net cash provided by (used in) investing activities 125,861 — — (303,413 ) (177,552 ) Net cash used in financing activities (393,982 ) (3,204 ) — — (397,186 ) Effect of foreign exchange rate 328 — — 108 436 Movement in cash held for sale (11,744 ) — — — (11,744 ) Net change (1) $ 244,902 $ — $ — $ (302,805 ) $ (57,903 ) Beginning-of-period balance (2) 272,348 — — 590,735 863,083 End-of-period balance (2) $ 517,250 $ — $ — $ 287,930 $ 805,180 For the year ended December 31, 2015: Net cash provided by operating activities $ 62,026 $ 21,979 $ 31,496 $ 3,000 $ 118,501 Net cash used in investing activities (6,244,770 ) — — 61,006 (6,183,764 ) Net cash provided by financing activities 6,055,467 (21,979 ) (31,496 ) — 6,001,992 Effect of foreign exchange rate (7,068 ) — — (4,201 ) (11,269 ) Movement in cash held for sale 997 — — — 997 Net change (1) $ (133,348 ) $ — $ — $ 59,805 $ (73,543 ) Beginning-of-period balance (2) 405,696 — — 530,930 936,626 End-of-period balance (2) $ 272,348 $ — $ — $ 590,735 $ 863,083 __________ (1) This line refers to the “Net increase (decrease) in cash and cash equivalents” prior to the adoption of ASU 2016-18 and the “Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents” after the adoption. (2) These lines refer to the beginning or end of period amounts of “Cash and cash equivalents” prior to the adoption of ASU 2016-18 and the beginning or end of periods amounts of “Cash, cash equivalents, restricted cash and restricted cash equivalents” after the adoption. The adoption of ASU 2016-09 and ASU 2016-15 did not affect the Company’s Consolidated Statement of Cash Flows for the year ended December 31, 2017. The primary impact of adopting ASU 2016-18 on the Company’s 2017 Consolidated Statement of Cash Flows was to exclude the cash flow effect of $36.2 million of net increases in restricted cash and cash equivalents from net cash provided by investing activities for the year ended December 31, 2017. Use of Estimates. The preparation of our Consolidated Financial Statements in conformity with GAAP requires us to make estimates and assumptions that affect the amounts and disclosures in our Consolidated Financial Statements , including the notes thereto, and elsewhere in this report. For example, we are required to make significant estimates and assumptions related to revenue recognition, including sales deductions, financial instruments, long-lived assets, goodwill, other intangibles, income taxes, contingencies and share-based compensation, among others. Some of these estimates can be subjective and complex. Although we believe that our estimates and assumptions are reasonable, there may be other reasonable estimates or assumptions that differ significantly from ours. Further, our estimates and assumptions are based upon information available at the time they were made. Actual results may differ significantly from our estimates. We regularly evaluate our estimates and assumptions using historical experience and other factors, including the economic environment. As future events and their effects cannot be determined with precision, our estimates and assumptions may prove to be incomplete or inaccurate, or unanticipated events and circumstances may occur that might cause us to change those estimates and assumptions. Market conditions, such as illiquid credit markets, volatile equity markets, dramatic fluctuations in foreign currency rates and economic downturn, can increase the uncertainty already inherent in our estimates and assumptions. We also are subject to other risks and uncertainties that may cause actual results to differ from estimated amounts, such as changes in the healthcare environment, competition, litigation, legislation and regulations. We adjust our estimates and assumptions when facts and circumstances indicate the need for change. Those changes generally will be reflected in our Consolidated Financial Statements on a prospective basis. Customer, Product and Supplier Concentration. We primarily sell our generic and branded pharmaceuticals to wholesalers, retail drug store chains, supermarket chains, mass merchandisers, distributors, mail order accounts, hospitals and government agencies. Our wholesalers and distributors purchase products from us and, in turn, supply products to retail drug store chains, independent pharmacies and managed health care organizations. Customers in the managed health care market include health maintenance organizations, nursing homes, hospitals, clinics, pharmacy benefit management companies and mail order customers. Total revenues from direct customers that accounted for 10% or more of our total consolidated revenues during the years ended December 31, 2017, 2016 and 2015 are as follows: 2017 2016 2015 Cardinal Health, Inc. 25 % 26 % 21 % McKesson Corporation 25 % 27 % 31 % AmerisourceBergen Corporation 25 % 25 % 23 % Revenues from these customers are included within each of our segments. VASOSTRICT ® accounted for 12% of our 2017 total revenues. No other products accounted for 10% or more of our total revenues during the years ended December 31, 2017 , 2016 or 2015 . We have agreements with certain third parties for the manufacture, supply and processing of certain of our existing pharmaceutical products. See Note 14. Commitments and Contingencies for information on material manufacturing, supply and other service agreements. We are subject to risks and uncertainties associated with these concentrations that could have a material adverse effect on our financial position and results of operations in future periods, including in the near term. Revenue Recognition. Our revenue consists almost entirely of sales of our pharmaceutical products to customers, whereby we ship product to a customer pursuant to a purchase order, which typically corresponds and/or makes reference to a master agreement with that customer, and invoice the customer upon shipment. For sales such as these, we recognize revenue when title and risk of loss has passed to the customer, which is typically upon delivery to the customer, when estimated provisions for revenue reserves are reasonably determinable and when collectability is reasonably confirmed. The amount of revenue we recognize is equal to the selling price, adjusted for our estimates of a number of significant sales deductions, which are further described below. Revenue from the launch of a new or significantly unique product may be deferred until such time that the product has achieved market acceptance. For these products, revenue is typically recognized based on dispensed prescription data and other information obtained prior to and during the period following launch. Sales Deductions. When we recognize revenue from the sale of our products, we simultaneously record an adjustment to revenue for estimated chargebacks, rebates, sales incentives and allowances, DSA and other fees for services, returns and allowances. These sales deductions are estimated based on historical experience, estimated future trends, estimated customer inventory levels, current contract sales terms with our direct and indirect customers and other competitive factors. We subsequently review our provisions for our various sales deductions based on new or revised information that becomes available to us and make revisions to our estimates if and when appropriate. If the assumptions we used to calculate our provisions for sales deductions do not appropriately reflect future activity, our financial position, results of operations and cash flows could be materially impacted. Research and Development (R&D). Expenditures for research and development are expensed as incurred. Total R&D expenses include the costs of discovery research, preclinical development, early- and late-clinical development and drug formulation, clinical trials, medical support of marketed products, upfront, milestone and other payments under third-party collaborations and contracts and other costs. R&D spending also includes enterprise-wide costs which support our overall R&D infrastructure. Property, plant and equipment that are acquired or constructed for research and development activities and that have alternate future uses are capitalized and depreciated over their estimated useful lives on a straight-line basis. Contractual upfront and milestone payments made to third parties are generally: (i) expensed as incurred up to the point of regulatory approval and (ii) capitalized and amortized over the related product’s remaining useful life subsequent to regulatory approval. Amounts capitalized for such payments are included in Other intangibles, net in the Consolidated Balance Sheets . Cash and Cash Equivalents. The Company considers all highly liquid money market instruments with an original maturity of three months or less when purchased to be cash equivalents. At December 31, 2017 , cash equivalents were deposited in financial institutions and consisted of immediately available fund balances and time deposits. The Company maintains its cash deposits and cash equivalents with financial institutions it believes to be well-known and stable. Restricted Cash and Cash Equivalents. Cash and cash equivalents that are restricted as to withdrawal or use under the terms of certain contractual agreements are excluded from Cash and cash equivalents in the Consolidated Balance Sheets . For additional information see Note 7. Fair Value Measurements . Marketable Securities. The Company has equity securities, which consist of investments in the stock of publicly traded companies. For additional information see Note 7. Fair Value Measurements . Accounts Receivable. Accounts receivable are stated at their net realizable value. The allowance for doubtful accounts against gross accounts receivable reflects the best estimate of probable losses inherent in the receivables portfolio determined on the basis of historical experience, specific allowances for known troubled accounts and other currently available information. In addition, accounts receivable is reduced by certain sales deduction reserves where we have the right of offset with the customer. Concentrations of Credit Risk. Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash equivalents, restricted cash equivalents, marketable debt securities and accounts receivable. We invest our excess cash in high-quality, liquid money market instruments and time deposits maintained by major banks and financial institutions. We have not experienced any losses on our cash equivalents. We perform ongoing credit evaluations of our customers and generally do not require collateral. We have no history of significant losses from uncollectible accounts. Approximately 89% and 84% of our gross trade accounts receivable balances represent amounts due from three customers (Cardinal Health, Inc., McKesson Corporation and AmerisourceBergen Corporation) at December 31, 2017 and 2016 , respectively. We do not expect our current or future exposures to credit risk to have a significant impact on our operations. However, there can be no assurance that any of these risks will not have an adverse effect on our business. Inventories. Inventories consist of raw materials, work-in-process and finished goods. Inventory that is in excess of the amount expected to be sold within one year is classified as long-term inventory and is recorded in Other assets in the Consolidated Balance Sheets . The Company capitalizes inventory costs associated with certain generic products prior to regulatory approval and product launch when it is reasonably certain, based on management’s judgment of future commercial use and net realizable value, that the pre-launch inventories will be saleable. The determination to capitalize is made on a product-by-product basis once: (i) the Company (or its third party development partners) has filed an ANDA that has been acknowledged by the FDA as containing sufficient information to allow the FDA to conduct its review in an efficient and timely manner and (ii) management is reasonably certain that all regulatory and legal requirements will be cleared. The Company could be required to write down previously capitalized costs related to pre-launch inventories upon a change in such judgment, a denial or delay of approval by regulatory bodies, a delay in commercialization or other potential factors. Our inventories are stated at the lower of cost or net realizable value. Cost is determined by the first-in, first-out method and includes materials, direct labor and an allocation of overhead. Net realizable value is determined by the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. When necessary, we write-down inventories to net realizable value based on forecasted demand and market and regulatory conditions, which may differ from actual results. Property, Plant and Equipment. Property, plant and equipment is generally stated at cost less accumulated depreciation. Major improvements are capitalized, while routine maintenance and repairs are expensed as incurred. Costs incurred during the construction or development of property plant and equipment are capitalized as assets under construction. Once an asset has been put into service, depreciation expense is taken over the estimated useful life of the related assets or, in the case of leasehold improvements and capital lease assets, over the shorter of the estimated useful life or the lease term. Depreciation expense is recorded on a straight-line basis. Depreciation expense is not recorded on Assets held for sale. Gains and losses on disposals are included in Other (income) expense, net in the Consolidated Statements of Operations . Depreciation is based on the following estimated useful lives, as of December 31, 2017 : Range of Useful Lives (1), from: Buildings 10 years to 30 years Machinery and equipment 2 years to 15 years Leasehold improvements 2 years to 10 years Computer equipment and software 1 year to 7 years Assets under capital lease Shorter of useful life or lease term Furniture and fixtures 3 years to 10 years __________ (1) The useful lives for certain fixed assets have been reduced in connection with our 2017 U.S. Generic Pharmaceuticals Restructuring Initiative , which is further described in Note 4. Restructuring . The ranges of useful lives above do not include such assets. Computer Software. The Company capitalizes certain costs incurred in connection with obtaining or developing internal-use software, including external direct costs of material and services, and payroll costs for employees directly involved with the software development. Capitalized software costs are included in Property, plant and equipment, net in the Consolidated Balance Sheets and depreciated beginning when the software project is substantially complete and the asset is ready for its intended use. Costs incurred during the preliminary project stage and post-implementation stage, as well as maintenance and training costs, are expensed as incurred. Lease Accounting. The Company accounts for operating lease transactions by recording rent expense on a straight-line basis over the expected life of the lease, commencing on the date it gains possession of leased property. The Company includes tenant improvement allowances and rent holidays received from landlords and the effect of any rent escalation clauses as adjustments to straight-line rent expense over the expected life of the lease. Capital lease transactions are reflected as a liability at the inception of the lease based on the present value of the minimum lease payments or, if lower, the fair value of the property. Assets under capital leases are recorded in Property, plant and equipment, net in the Consolidated Balance Sheets and depreciated in a manner similar to other Property, plant and equipment. Certain construction projects may be accounted for as direct financing arrangements, whereby the Company records, over the construction period, the full cost of the asset in Property, plant and equipment, net in the Consolidated Balance Sheets . A corresponding liability is also recorded, net of leasehold improvements paid for by the Company, and is amortized over the expected lease term through monthly rental payments using an effective interest method. Assets recorded under direct financing arrangements are depreciated over the lease term. Finite-Lived Intangible Assets. Our finite-lived intangible assets, which consist of license rights and developed technology, are initially recorded at fair value upon acquisition. There are several methods that can be used to determine fair value. For intangible assets, we typically use the income method. This method starts with our forecast of all of the expected future net cash flows. Revenues are estimated based on relevant market size and growth factors, expected industry trends, individual project life cycles and, if applicable, the life of any estimated period of marketing exclusivity, such as that granted by a patent. The pricing, margins and expense levels of similar products are considered if available. These cash flows are then adjusted to present value by applying an appropriate discount rate that reflects the risk factors associated with the cash flow streams. To the extent an intangible asset is deemed to have a finite life, it is then amortized over its estimated useful life using either the straight-line method or, in the case of certain developed technology assets, the economic benefit model. The values of these various assets are subject to continuing scientific, medical and marketplace uncertainty. Factors giving rise to our initial estimate of useful lives are subject to change. Significant changes to any of these factors may result in a reduction in the useful life of the asset and an acceleration of related amortization expense, which could cause our operating income, net income and net income per share to decrease. Amortization expense is not recorded on assets held for sale. License Rights. Our license rights have useful lives ranging from 3 years to 15 years , with a weighted average useful life of approximately 12 years . We determine amortization periods for licenses based on our assessment of various factors including the expected launch date of the product, the strength of the intellectual property protection of the product, contractual terms and various other competitive, developmental and regulatory issues. Developed Technology. Our developed technology assets have useful lives ranging from 1 year to 20 years , with a weighted average useful life of approximately 11 years . We determine amortization periods and method of amortization for developed technology assets based on our assessment of various factors impacting estimated useful lives and timing and extent of estimated cash flows of the acquired assets including the strength of the intellectual property protection of the product, contractual terms and various other competitive and regulatory issues. Long-Lived Asset Impairment Testing. Long-lived assets, including property, plant and equipment and finite-lived intangible assets, are assessed for impairment whenever events or changes in circumstances indicate the carrying amounts of the assets may not be recoverable. Recoverability of an asset that will continue to be used in our operations is measured by comparing the carrying amount of the asset to the forecasted undiscounted future cash flows related to the asset. In the event the carrying amount of the asset exceeds its undiscounted future cash flows and the carrying amount is not considered recoverable, impairment may exist. An impairment loss, if any, is measured as the excess of the asset’s carrying amount over its fair value, generally based on a discounted future cash flow method, independent appraisals or preliminary offers from prospective buyers. An impairment loss would be recognized in the Consolidated Statements of Operations in the period that the impairment occurs. In-Process Research and Development Assets (IPR&D). IPR&D assets are considered indefinite-lived intangible assets. Similar to finite-lived intangible assets, IPR&D assets are initially recorded at fair value. While amortization expense is not initially recorded for IPR&D assets, these assets are subject to impairment reviews. Impairment tests for an IPR&D asset occur at least annually on October 1 st of each year, but also whenever events or changes in circumstances indicate that the asset might be impaired. If the fair value of the intangible assets is less than its carrying amount, an impairment loss is recognized for the difference. For those assets that reach commercialization, the assets are reclassified as finite-lived intangible assets and amortized over the expected useful lives. Goodwill. Acquisitions meeting the definition of business combinations are accounted for using the acquisition method of accounting, which requires that the purchase price be allocated to the net assets acquired at their respective fair values. Any excess of the purchase price over the estimated fair values of the net assets acquired is recorded as goodwill. While amortization expense is not recorded on goodwill, goodwill is subject to impairment reviews. Impairment tests for goodwill occur at least annually on October 1 st of each year, but also whenever events or changes in circumstances indicate that the asset might be impaired. As further described below under the heading “ Recent Accounting Pronouncements Adopted or Otherwise Effective as of December 31, 2017 ,” effective January 1, 2017, we early adopted Accounting Standards Update (ASU) No. 2017-04 “Intangibles - Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment” (ASU 2017-04). Subsequent to adoption, we perform our goodwill impairment tests by comparing the fair value of each of our reporting units with the carrying amount. Any goodwill impairment charge we recognize for a reporting unit is equal to the lesser of (i) the total goodwill allocated to that reporting unit and (ii) the amount by which that reporting unit’s carrying amount exceeds its fair value. Contingencies. The Company is subject to various patent challenges, product liability claims, government investigations and other legal proceedings in the ordinary course of business. Legal fees and other expenses related to litigation are expensed as incurred and included in Selling, general and administrative expenses or Discontinued operations, net of tax in the Consolidated Statements of Operations . Contingent accruals and legal settlements are recorded in the Consolidated Statements of Operations as Litigation-related and other contingencies, net (or Discontinued operations, net in the case of vaginal mesh matters) when the Company determines that a loss is both probable and reasonably estimable. Due to the fact that legal proceedings and other contingencies are inherently unpredictable, our estimates of the probability and amount of any such liabilities involve significant judgment regarding future events. The Company records a receivable from its product liability insurance carriers only when the resolution of any dispute has been reached and realization of the potential claim for recovery is considered probable. Contingent Consideration. Certain of the Company’s business acquisitions involve the potential for future payment of consideration that is contingent upon the achievement of operational and commercial milestones and royalty payments on future product sales. The fair value of contingent consideration liabilities is determined at the acquisition date using unobservable inputs. These inputs include the estimated amount and timing of projected cash flows, the probability of success (achievement of the contingent event) and the risk-adjusted discount rate used to present value the probability-weighted cash flows. Subsequent to the acquisition date, at each reporting period, the Company remeasures its contingent consideration liability to its current fair value, with changes recorded in earnings. Changes to any of the inputs used in determining fair value may result in a significantly different fair value adjustment. Share Repurchases. The Company accounts for the repurchase of ordinary shares at par value. Under applicable Irish law, ordinary shares repurchased are retired and not displayed separately as treasury stock. Upon retirement of the ordinary shares, the Company records the difference between the weighted average cost of such ordinary shares and the par value of the ordinary shares as an adjustment to Accumulated deficit in the Consolidated Balance Sheets . Advertising Costs. Advertising costs are expensed as incurred and included in Selling, general and administrative expenses in the Consolidated Statements of Operations . Advertising costs amounted to $42.0 million , $47.9 million and $57.9 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. Cost of Revenues. Cost of revenues includes all costs directly related to bringing both purchased and manufactured products to their final selling destination. Amounts include purchasing and receiving costs, direct and indirect costs to manufacture products including direct materials, direct labor and direct overhead expenses necessary to acquire and convert purchased materials and supplies into finished goods, royalties paid or owed by Endo on certain in-licensed products, inspection costs, depreciation of certain property, plant and equipment, amortization of intangible assets, warehousing costs, freight charges, costs to operate our equipment and other shipping and handling costs, among others. Share-Based Compensation. The Company grants share-based compensation awards to certain employees and non-employee directors. Generally, the grant-date fair value of each award is recognized as expense over the requisite service period. However, expense recognition differs in the case of certain performance share units where the ultimate payout is performance-based. For these awards, at each reporting period, the Company estimates the ultimate payout and adjusts the cumulative expense based on its estimate and the percent of the requisite service period that has elapsed. Share-based compensation expense is reduced for estimated future forfeitures. These estimates are revised in future periods if actual forfeitures differ from the estimates. Changes in forfeiture estimates impact compensation expense in the period in which the change in estimate occurs. New ordinary shares are generally issued upon the exercise of stock options or vesting of stock awards by employees and non-employee directors. Foreign Currency. The Company operates in various jurisdictions both inside and outside of the U.S. While the Company’s reporting currency is the U.S. dollar (USD), the Company has concluded that certain of its distinct and separable operations have functional currencies other than the USD. Further, certain of the Company’s operations hold assets and liabilities and recognize income and expenses denominated in various local currencies, which may differ from their functional currencies. Assets and liabilities are first remeasured from local currency to functional currency, generally using end-of-period exchange rates. Foreign currency income and expenses are generally remeasured using average exchange rates in effect during the year. In the case of nonmonetary assets and liabilities such as inventories, prepaid expenses, property, plant and equipment, goodwill and other intangible assets, and related income statement amounts, such as depreciation expense, historical exchange rates are used for remeasurement. The net effect of remeasurement is included in Other (income) expense, net in the Consolidated Statements of Operations . As part of the Company’s consolidation process, assets and liabilities of entities with functional currencies other than the USD are translated into USD at end-of-period exchange rates. Income and expenses are translated using average exchange rates in effect during the year. The net effect of translation is included as foreign currency translation, a component of Other comprehensive income (loss). Upon the sale or liquidation of an investment in a foreign operation, the Company records a reclassification adjustment out of Other comprehensive income (loss) for the accumulated amount of currency translation. Income Taxes. The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial statements and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. The Company records net deferred tax assets to the extent it believes these assets will more likely than not be realized. In making such a determination, the Company considers all available positive and negative evidence, including projected future taxable income, tax-planning strategies and results of recent operations. In the event that the Company were to determine that it would be able to realize its deferred tax assets in the future in excess of their net recorded amount, the Company would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income tax. The Company records uncertain tax positions on the basis of a two-step process whereby the Company first determines whether it is more likely than not that the tax positions will be sustained based on the technical merits of the position and then measures those tax positions that meet the more-likely-than-not recognition threshold. The Company recognizes the largest amount of tax benefit that is greater than 50% likely to be realized upon ultimate settlement with the tax authority. The Company recognizes interest and penalties related to unrecognized tax benefits within the Income tax expense (benefit) line in the Consolidated Statements of Operations . Accrued interest and penalties are included within the related tax liability line in the Consolidated Balance Sheets . Comprehensive Income. Comprehensive income or loss includes all changes in equity during a period except those that resulted from investments by or distributions to a company’s shareholders. Other comprehensive income or loss refers to revenues, expenses, gains and losses that are included in comprehensive income, but excluded from net income as these amounts are recorded directly as an adjustment to shareholders’ equity. Recent Accounting Pronouncements Recently Issued Accounting Pronouncements Not Yet Adopted at December 31, 2017 In May 2014, the Financial Accounting Standards Board (FASB) issued ASU No. 2014-09, “Revenue from Contracts with Customers” (ASU 2014-09). ASU 2014-09 represents a comprehensive new revenue recognition model th |
Discontinued Operations and Ass
Discontinued Operations and Assets and Liabilities Held For Sale | 12 Months Ended |
Dec. 31, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |
DISCONTINUED OPERATIONS AND ASSETS AND LIABILITIES HELD FOR SALE | NOTE 3. DISCONTINUED OPERATIONS AND ASSETS AND LIABILITIES HELD FOR SALE American Medical Systems On February 24, 2015, the Company’s Board of Directors (Board of Directors) approved a plan to sell the Company’s American Medical Systems Holdings, Inc. (AMS) business. The AMS business included the Men’s Health and Prostate Health and Women’s Health (Astora) businesses. The Men’s Health and Prostate Health businesses were sold to Boston Scientific Corporation (Boston Scientific) on August 3, 2015 for $1.6 billion in cash. In addition, Boston Scientific paid $60.0 million in exchange for 60,000 shares of AMS Series B Non-Voting Preferred Stock (the Series B Senior Preferred Stock) sold by our subsidiary Endo Pharmaceuticals Inc. (EPI). On December 11, 2015, the Company repurchased the Series B Senior Preferred Stock from Boston Scientific Corporation for $61.6 million . On February 24, 2016, the Company’s Board of Directors resolved to wind-down the remaining Astora business as it did not align with the Company’s strategic direction and to reduce Astora’s exposure to mesh-related product liability. Astora ceased business operations on March 31, 2016. The operating results of AMS are reported as Discontinued operations, net of tax in the Consolidated Statements of Operations for all periods presented. The assets and liabilities of the AMS disposal groups were classified as held for sale until they were sold in the case of the Men’s Health and Prostate Health businesses, or until the Company determined it would wind-down the remaining business in the case of Astora. In connection with classifying AMS as held for sale during 2015, the Company was required to compare the estimated fair values of the underlying disposal groups, less the costs to sell, to the respective carrying amounts. The Company performed this analysis for each unsold AMS disposal group during each reporting period in 2015. As a result of these analyses, the Company recorded combined asset impairment charges of $230.7 million in 2015, which were classified as Discontinued operations, net of tax in the Consolidated Statements of Operations. We estimated the fair value of the Men’s Health and Prostate Health businesses based on the agreed-upon purchase price with Boston Scientific. The fair value of Astora was estimated based on contemporaneous expressions of interest from third parties. Subsequently, at the time of the sale of the Men’s Health and Prostate Health businesses in August 2015, the Company recorded a gain based on the difference between the net proceeds received and the net book value of the assets sold of approximately $13.6 million , which included an adjustment of $25.7 million relating to amounts transferred from foreign currency translation adjustments and included in the determination of net income for the period as a result of the sale, which decreased the gain. This amount is included in Discontinued operations, net of tax in the Consolidated Statements of Operations for the year ended December 31, 2015. In addition, as a result of determining that the sale of the AMS disposal groups was probable as of December 31, 2015, the Company re-assessed its permanent reinvestment assertion for certain components of the AMS business and recognized a corresponding tax benefit of $161.8 million during the year ended December 31, 2015, which was recorded as Income tax benefit (a component of Loss from continuing operations) in the Consolidated Statements of Operations. In addition, due to the overall differences between the book and tax basis of the underlying assets sold during the third quarter of 2015, the Company recognized a tax benefit of $157.4 million during the year ended December 31, 2015 from Discontinued operations. As a result of the Astora wind-down initiative announced in the first quarter of 2016, the Company incurred asset impairment charges of $21.3 million during the year ended December 31, 2016. See below for discussion of our material wind-down initiatives. The following table provides the operating results of AMS Discontinued operations, net of tax for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 Revenue $ 338 $ 30,101 $ 305,256 Litigation-related and other contingencies, net $ 775,474 $ 20,115 $ 1,107,752 Asset impairment charges $ — $ 21,328 $ 230,703 Gain on sale of business $ — $ — $ 13,550 Loss from discontinued operations before income taxes $ (816,426 ) $ (123,164 ) $ (1,352,344 ) Income tax benefit $ (13,704 ) $ — $ (157,418 ) Discontinued operations, net of tax $ (802,722 ) $ (123,164 ) $ (1,194,926 ) Amounts reported in the table above as Litigation-related and other contingencies, net primarily relate to charges for vaginal-mesh-related matters, which are further described in Note 14. Commitments and Contingencies . The cash flows from discontinued operating activities related to AMS included the impact of net losses of $802.7 million , $123.2 million and $1,194.9 million for the years ended December 31, 2017, 2016 and 2015 , respectively, and the impact of cash activity related to vaginal mesh cases, which is further described in Note 14. Commitments and Contingencies . Net cash used in discontinued investing activities related to AMS consisted of purchases of property, plant and equipment of $0.1 million and $2.7 million for the years ended December 31, 2016 and 2015, with no comparable amount during the year ended December 31, 2017 . There was no depreciation or amortization during the years ended December 31, 2017 or 2016 related to AMS. Depreciation and amortization during the year ended December 31, 2015 was $11.6 million . Astora Restructuring Initiative The Astora wind-down process included a restructuring initiative implemented during the three months ended March 31, 2016, which included a reduction of the Astora workforce consisting of approximately 250 employees (the Astora Restructuring Initiative ). The Company did not incur any pre-tax charges during the year ended December 31, 2017 as a result of the Astora Restructuring Initiative . A summary of expenses related to the Astora Restructuring Initiative is included below for the year ended December 31, 2016 (in thousands): 2016 Employee separation, retention and other benefit-related costs $ 20,476 Asset impairment charges 21,328 Contract termination-related items 8,074 Other wind down costs 10,972 Total $ 60,850 The Company anticipates there will be no significant additional pre-tax restructuring expenses related to this initiative. The majority of these actions were completed as of September 30, 2016 and substantially all cash payments were made by June 30, 2017. These restructuring costs are included in Discontinued operations in the Consolidated Statements of Operations . The liability related to the Astora Restructuring Initiative is included in Accounts payable and accrued expenses in the Consolidated Balance Sheets . Changes to this liability during the years ended December 31, 2017 and 2016 were as follows (in thousands): Employee Separation and Other Benefit-Related Costs Contract Termination Charges Other Restructuring Costs Total Liability balance as of January 1, 2016 $ — $ — $ — $ — Expenses 20,476 8,074 5,798 34,348 Cash distributions (16,621 ) (6,413 ) (5,798 ) (28,832 ) Liability balance as of January 1, 2017 $ 3,855 $ 1,661 $ — $ 5,516 Cash distributions (3,855 ) (1,208 ) — (5,063 ) Liability balance as of December 31, 2017 $ — $ 453 $ — $ 453 Litha During the fourth quarter of 2016, the Company initiated a process to sell its Litha Healthcare Group Limited and related Sub-Sahara African business assets (Litha) and, on February 27, 2017, the Company entered into a definitive agreement to sell Litha to Acino Pharma AG (Acino). The sale closed on July 3, 2017 and the Company received net cash proceeds of approximately $94.2 million , after giving effect to cash and net working capital purchase price adjustments, as well as a short-term receivable of $4.4 million , which was subsequently collected in October 2017. No additional gain or loss was recognized upon sale. However, in December 2017, Acino became obligated to pay $10.1 million of additional consideration to the Company related to the settlement of certain contingencies set forth in the purchase agreement, which was subsequently paid to the Company in January 2018. In December 2017, the Company recorded a short-term receivable and a gain on the sale of Litha for this amount. The gain is included in Other (income) expense, net in the Consolidated Statements of Operations . The purchase agreement contains an additional contingency that could result in a decrease in the purchase price of up to $26 million as a result of additional payments to Acino, which would result in a loss on the sale. This contingency is expected to be resolved by June 30, 2018. The assets and liabilities of Litha are classified as held for sale in the Consolidated Balance Sheets as of December 31, 2016 . Litha was part of the Company’s International Pharmaceuticals segment. The following table provides the components of Assets and Liabilities held for sale of Litha as of and December 31, 2016 (in thousands): December 31, 2016 Current assets $ 50,167 Property, plant and equipment 3,527 Other intangibles, net 29,950 Other assets 11,343 Assets held for sale $ 94,987 Current liabilities 18,642 Other liabilities 5,696 Liabilities held for sale $ 24,338 Litha does not meet the requirements for treatment as a discontinued operation. Somar On June 30, 2017, the Company entered into a definitive agreement to sell Somar and all of the securities thereof, to AI Global Investments (Netherlands) PCC Limited acting for and on behalf of the Soar Cell (the Purchaser). The sale closed on October 25, 2017 and the Purchaser paid an aggregate purchase price of approximately $124 million in cash, after giving effect to estimated cash, debt and net working capital purchase price adjustments. The Company recognized a $1.3 million loss upon sale. Somar was part of the Company’s International Pharmaceuticals segment. Somar does not meet the requirements for treatment as a discontinued operation. |
Restructuring
Restructuring | 12 Months Ended |
Dec. 31, 2017 | |
Restructuring and Related Activities [Abstract] | |
RESTRUCTURING | NOTE 4. RESTRUCTURING Auxilium Restructuring Initiative In connection with the acquisition of Auxilium Pharmaceuticals, Inc. (subsequently converted to Auxilium Pharmaceuticals LLC hereafter referred to as Auxilium) on January 29, 2015 , the Company implemented cost-rationalization and integration initiatives to capture operating synergies and generate cost savings across the Company (the Auxilium Restructuring Initiative ). These measures included realigning our sales, sales support, management activities and staffing, which included separation benefits to former Auxilium employees, in addition to the closing of duplicative facilities. The cost reduction initiatives included a reduction in headcount of approximately 40% of the former Auxilium workforce. For former Auxilium employees that agreed to continue employment with the Company for a merger transition period, the separation costs payable upon completion of their retention period were expensed over their respective retention period. As a result of the Auxilium Restructuring Initiative , the Company incurred $1.1 million of restructuring expenses during the year ended December 31, 2017 , primarily related to its Chesterbrook, Pennsylvania facility. There were no significant restructuring expenses related to this initiative during the year ended December 31, 2016 . The Company incurred restructuring expenses of $41.9 million during the year ended December 31, 2015, primarily consisting of $26.7 million of employee severance and other benefit-related costs. Other restructuring expenses related primarily to our Auxilium subsidiary’s former corporate headquarters in Chesterbrook, Pennsylvania, including $7.0 million of asset impairment charges on certain related leasehold improvements and $7.9 million recorded upon the facility’s cease use date, representing the liability for our remaining obligations under the respective lease agreement, net of estimated sublease income. These restructuring costs were included in the U.S. Branded Pharmaceuticals segment, and were primarily included in Selling, general and administrative costs and expenses in the Consolidated Statements of Operations . The Company does not anticipate any additional pre-tax restructuring expenses. The liability related to the Auxilium Restructuring Initiative is included in Accounts payable and accrued expenses and Other liabilities in the Consolidated Balance Sheets . Changes to this accrual during the years ended December 31, 2017 and 2016 were as follows (in thousands): Employee Separation and Other Benefit-Related Costs Other Restructuring Costs Total Liability balance as of January 1, 2016 $ 5,353 $ 6,910 $ 12,263 Cash distributions (5,353 ) (1,406 ) (6,759 ) Liability balance as of January 1, 2017 $ — $ 5,504 $ 5,504 Expenses — 1,058 1,058 Cash distributions — (1,937 ) (1,937 ) Liability balance as of December 31, 2017 $ — $ 4,625 $ 4,625 The remainder of the cash payments will be made over the remaining lease term of the Chesterbrook facility, which extends until December 2023. 2015 U.S. Generic Pharmaceuticals Restructuring Initiative In connection with the acquisition of Par Pharmaceutical Holdings, Inc. and its subsidiaries (together herein Par) on September 25, 2015 , we implemented cost-rationalization and integration initiatives to capture operating synergies and generate cost savings across the Company. These measures included realigning the Company’s U.S. Generic Pharmaceuticals segment sales, sales support, management activities and staffing, which resulted in separation benefits to certain U.S. Generic Pharmaceuticals employees. The cost reduction initiatives included a reduction in headcount of approximately 6% of the U.S. Generic Pharmaceuticals workforces. Under this restructuring initiative (the 2015 U.S. Generic Pharmaceuticals Restructuring Initiative ), separation costs were expensed over the requisite service period, if any, while retention was expensed ratably over the respective retention period. There were no significant restructuring expenses related to this initiative during the year ended December 31, 2017 . The Company incurred restructuring expenses of $5.0 million and $23.6 million during the years ended December 31, 2016 and 2015 , respectively, consisting of employee separation, retention and other benefit-related costs. These actions were completed by October 31, 2016. These restructuring costs were allocated to the U.S. Generic Pharmaceuticals segment, and were primarily included in Selling, general and administrative expenses in the Consolidated Statements of Operations . The liability related to the 2015 U.S. Generic Pharmaceuticals Restructuring Initiative is included in Accounts payable and accrued expenses in the Consolidated Balance Sheets . Changes to this accrual during the years ended December 31, 2017 and 2016 were as follows (in thousands): Total Liability balance as of January 1, 2016 $ 17,914 Expenses 5,010 Cash distributions (19,655 ) Liability balance as of January 1, 2017 $ 3,269 Expenses 63 Cash distributions (3,332 ) Liability balance as of December 31, 2017 $ — 2016 U.S. Generic Pharmaceuticals Restructuring Initiative As part of the ongoing U.S. Generic Pharmaceuticals integration efforts initiated in connection with the acquisition of Par in September 2015, the Company announced a restructuring initiative in May 2016 to optimize its product portfolio and rationalize its manufacturing sites to expand product margins (the 2016 U.S. Generic Pharmaceuticals Restructuring Initiative ). These measures included certain cost savings initiatives, including a reduction in headcount and the disposal of our Charlotte, North Carolina manufacturing facility (the Charlotte facility). On October 31, 2016, we entered into a definitive agreement to sell the Charlotte facility for cash proceeds of $14 million . The transaction closed in January 2017. The assets of the Charlotte facility were classified as held for sale in the accompanying Consolidated Balance Sheet as of December 31, 2016 . As a result of the 2016 U.S. Generic Pharmaceuticals Restructuring Initiative , the Company incurred pre-tax charges of $1.0 million and $173.9 million during the years ended December 31, 2017 and 2016 , respectively. The 2017 charges related primarily to employee separation and other benefit-related costs. The 2016 charges consisted of certain asset impairment charges of $107.2 million , charges to increase excess inventory reserves of $33.3 million , charges related to employee separation, retention and other benefit-related costs of $17.0 million , accelerated depreciation of $10.2 million and other charges of $6.2 million . These charges are included in the U.S. Generic Pharmaceuticals segment and are included in Asset impairment charges, Cost of revenues and Selling, general and administrative expenses in the Consolidated Statements of Operations . The Company does not expect to incur additional significant expenses related to this restructuring initiative. Substantially all related cash payments were made by the end of 2017. Under this restructuring initiative, separation costs were expensed ratably over the requisite service period, if any, while retention was expensed ratably over the respective retention period. The liability related to the 2016 U.S. Generic Pharmaceuticals Restructuring Initiative is included in Accounts payable and accrued expenses in the Consolidated Balance Sheets and related entirely to employee separation and other benefit-related costs. Changes to this liability during the years ended December 31, 2017 and 2016 were as follows (in thousands): Total Liability balance as of January 1, 2016 $ — Expenses 16,983 Cash distributions (7,044 ) Liability balance as of January 1, 2017 $ 9,939 Expenses 984 Cash distributions (10,672 ) Liability balance as of December 31, 2017 $ 251 2016 U.S. Branded Pharmaceuticals Restructuring Initiative In December 2016, the Company announced that it was terminating its worldwide license and development agreement with BioDelivery Sciences International, Inc. (BDSI) for BELBUCA™ and returning the product to BDSI. This termination was completed on January 6, 2017. As a result of this announcement and a comprehensive assessment of its product portfolio, the Company restructured its U.S. Branded Pharmaceuticals segment sales organization during the fourth quarter of 2016 (the 2016 U.S. Branded Pharmaceuticals Restructuring Initiative ), which included the elimination of an approximate 375 -member U.S. Branded Pharmaceuticals pain field sales force and the termination of certain contracts. The Company did not incur any significant pre-tax charges during the year ended December 31, 2017 as a result of the 2016 U.S. Branded Pharmaceuticals Restructuring Initiative . The Company incurred total pre-tax charges of approximately $61.5 million during the fourth quarter of 2016. These charges consisted of a non-cash intangible asset impairment charge of approximately $36.8 million , employee separation and other benefit-related costs of $16.5 million , early contract termination fees of $5.2 million and $3.0 million of inventory write-offs. Actions related to this initiative were completed by December 31, 2016 and substantially all of the cash payments were made by the end of 2017. These charges are included in the U.S. Branded Pharmaceuticals segment and are included in Asset impairment charges, Cost of revenues, and Selling, general and administrative expenses in the Consolidated Statements of Operations. The Company does not expect to incur any additional material pre-tax restructuring expenses related to this initiative. The liability related to the 2016 U.S. Branded Pharmaceuticals Restructuring Initiative is included in Accounts payable and accrued expenses in the Consolidated Balance Sheets . Changes to this liability during the years ended December 31, 2017 and 2016 were as follows (in thousands): Employee Separation and Other Benefit-Related Costs Contract Termination Charges Total Liability balance as of January 1, 2016 $ — $ — $ — Expenses 16,544 5,224 21,768 Cash distributions — — — Liability balance as of January 1, 2017 $ 16,544 $ 5,224 $ 21,768 Cash distributions (16,544 ) (5,224 ) (21,768 ) Liability balance as of December 31, 2017 $ — $ — $ — January 2017 Restructuring Initiative On January 26, 2017, the Company announced a restructuring initiative implemented as part of its ongoing organizational review (the January 2017 Restructuring Initiative ). This restructuring is intended to further integrate, streamline and optimize the Company’s operations by aligning certain corporate and R&D functions with its recently restructured U.S. Generic Pharmaceuticals and U.S. Branded Pharmaceuticals business units in order to create efficiencies and cost savings. As part of this restructuring, the Company undertook certain cost reduction initiatives, including a reduction of approximately 90 positions of its workforce, primarily related to corporate and U.S. Branded Pharmaceuticals R&D functions in Malvern, PA and Chestnut Ridge, NY, a streamlining of general and administrative expenses, an optimization of commercial spend and a refocusing of research and development efforts. As a result of the January 2017 Restructuring Initiative , the Company incurred total pre-tax charges of approximately $15.1 million during the year ended December 31, 2017 related to employee separation and other benefit-related costs. Of the total charges incurred, $6.9 million are included in the U.S. Branded Pharmaceuticals segment, $4.9 million are included in Corporate unallocated costs and $3.3 million are included in the U.S. Generic Pharmaceuticals segment for the year ended December 31, 2017 , respectively. These charges are included in Selling, general and administrative expenses in the Consolidated Statements of Operations . The Company does not expect to incur additional material pre-tax restructuring-related expenses. Substantially all cash payments were made by the end of 2017 and substantially all of the actions associated with this restructuring were completed by the end of April 2017. The liability related to the January 2017 Restructuring Initiative is included in Accounts payable and accrued expenses in the Consolidated Balance Sheets and is entirely related to employee separation and other benefit-related costs. Changes to this liability during the year ended December 31, 2017 were as follows (in thousands): 2017 Liability balance as of January 1, 2017 $ — Expenses 15,072 Cash distributions (12,391 ) Liability balance as of December 31, 2017 $ 2,681 2017 U.S. Generic Pharmaceuticals Restructuring Initiative On July 21, 2017, the Company announced that after completing a comprehensive review of its manufacturing network, the Company will be ceasing operations and closing its manufacturing and distribution facilities in Huntsville, Alabama (the 2017 U.S. Generic Pharmaceuticals Restructuring Initiative ). The closure of the facilities is expected to occur by the end of 2018. As a result of the 2017 U.S. Generic Pharmaceuticals Restructuring Initiative , the Company’s workforce is expected to be reduced by approximately 815 employees and the Company expects total pre-tax charges related to this initiative to be approximately $345 million , including total estimated cash outlays of approximately $70 million , substantially all of which will be paid by the end of 2018. The estimated restructuring charges consist of accelerated depreciation charges of approximately $155 million , asset impairment charges related to identifiable intangible assets and certain property, plant and equipment of approximately $105 million , charges to increase excess inventory reserves of approximately $10 million , employee separation, retention and other benefit-related costs of approximately $40 million and certain other charges of approximately $35 million . Employee separation, retention and certain other employee benefit-related costs are expensed ratably over the requisite service period. Other costs including, but not limited to, contract termination fees and product technology transfer costs, will be expensed as incurred. As a result of the 2017 U.S. Generic Pharmaceuticals Restructuring Initiative , the Company incurred pre-tax charges of $286.7 million during the year ended December 31, 2017 . These expenses consisted of charges relating to accelerated depreciation of $123.3 million , employee separation, retention and other benefit-related costs of $29.6 million , charges to increase excess inventory reserves of $12.1 million , certain intangible asset and property, plant and equipment impairment charges of $104.7 million and certain other charges of $17.0 million . These charges are included in the U.S. Generic Pharmaceuticals segment. Intangible asset and property, plant and equipment impairment charges are included in Asset impairment charges. Charges to increase excess inventory reserves are included in Cost of revenues. Employee separation, retention and other benefit-related costs are included in Cost of revenues. Certain other charges are included in both Cost of revenues and Selling, general and administrative expenses in the Consolidated Statements of Operations . The liability related to the 2017 U.S. Generic Pharmaceuticals Restructuring Initiative is included in Accounts payable and accrued expenses in the Consolidated Balance Sheets . Changes to this liability during the year ended December 31, 2017 were as follows (in thousands): Employee Separation and Other Benefit-Related Costs Other Restructuring Costs Total Liability balance as of January 1, 2017 $ — $ — $ — Expenses 29,553 13,724 43,277 Cash distributions (6,578 ) (12,114 ) (18,692 ) Liability balance as of December 31, 2017 $ 22,975 $ 1,610 $ 24,585 January 2018 Restructuring Initiative In January 2018, the Company initiated a restructuring initiative that included a reorganization of its U.S. Generic Pharmaceuticals segment’s research and development network, a further simplification of the Company’s manufacturing networks and a company-wide unification of certain corporate functions (the January 2018 Restructuring Initiative ). As a result of the January 2018 Restructuring Initiative , the Company expects total related pre-tax charges of approximately $30 million , including total estimated cash outlays of approximately $25 million , substantially all of which will be paid by March 31, 2019. The estimated restructuring charges consist of employee separation, retention and other benefit-related costs of approximately $25 million and certain other charges of approximately $5 million . Employee separation, retention and certain other employee benefit-related costs are expensed ratably over the requisite service period. Other costs will be expensed as incurred. As a result of the January 2018 Restructuring Initiative , the Company incurred pre-tax charges of $2.6 million during the year ended December 31, 2017 . These expenses consisted of certain property, plant and equipment impairment charges of $2.0 million and certain other charges of $0.6 million . These charges are included in the U.S. Generic Pharmaceuticals segment. Impairment charges are included in Asset impairment charges in the Consolidated Statements of Operations. Certain other charges are included in Selling, general and administrative expenses in the Consolidated Statements of Operations. |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2017 | |
Business Combinations [Abstract] | |
ACQUISITIONS | NOTE 5. ACQUISITIONS For each of the acquisitions described below, the estimates of the fair values of the net assets acquired have been finalized and all measurement period adjustments are complete. Auxilium Pharmaceuticals, Inc. On January 29, 2015 (the Auxilium Acquisition Date), the Company acquired all of the outstanding shares of common stock of Auxilium, a fully integrated specialty biopharmaceutical company in the men’s healthcare sector with a strategically focused product portfolio and pipeline in orthopedics, dermatology and other therapeutic areas, in a cash and stock transaction valued at $2.6 billion . The consideration included 18,609,835 ordinary shares valued at $1.52 billion . The operating results of Auxilium are included in the accompanying Consolidated Statements of Operations for the years ended December 31, 2017 and 2016 and the operating results from the acquisition date of January 29, 2015 are included in the accompanying Consolidated Statements of Operations for the year ended December 31, 2015 . The Consolidated Balance Sheets as of December 31, 2017 and 2016 reflect the acquisition of Auxilium. Our measurement period adjustments for Auxilium were complete as of December 31, 2015. The Company recognized no acquisition-related transaction costs associated with the Auxilium acquisition during the years ended December 31, 2017 and 2016 . The Company recognized acquisition-related transaction costs associated with the Auxilium acquisition during the year ended December 31, 2015 totaling $23.1 million . These costs, which related primarily to bank fees, legal and accounting services and fees for other professional services, are included in Acquisition-related and integration items in the accompanying Consolidated Statements of Operations . The amounts of Auxilium Revenue and Net loss included in the Company’s Consolidated Statements of Operations from and including January 29, 2015 to December 31, 2015 are as follows (in thousands, except per share data): Revenue $ 341,520 Net loss attributable to Endo International plc (1) $ (469,986 ) Basic and diluted net loss per share $ (2.38 ) __________ (1) Net loss attributable to Endo International plc does not include any portion of the goodwill impairment charges recorded during 2015 since it is not possible to distinguish the amount of the charges directly attributable to Auxilium. The following supplemental unaudited pro forma information presents the financial results as if the acquisition of Auxilium had occurred on January 1, 2015 for the year ended December 31, 2015 . This supplemental pro forma information has been prepared for comparative purposes and does not purport to be indicative of what would have occurred had the acquisition been made on January 1, 2015 , nor is it indicative of any future results. 2015 Unaudited pro forma consolidated results (in thousands, except per share data): Revenue $ 3,292,293 Net loss attributable to Endo International plc $ (1,513,625 ) Basic and diluted net loss per share $ (7.68 ) These amounts have been calculated after applying the Company’s accounting policies and adjusting the results of Auxilium to reflect factually supportable adjustments that give effect to events that are directly attributable to the Auxilium acquisition assuming the Auxilium acquisition had occurred on January 1, 2015 . These adjustments mainly include adjustments to interest expense and additional intangible amortization. The adjustments to interest expense, net of tax, related to borrowings to finance the acquisition increased the expense by $1.1 million for the year ended December 31, 2015 . In addition, the adjustments include additional intangible amortization, net of tax, which would have been charged assuming the Company’s estimated fair value of the intangible assets. The adjustment to the amortization expense for the year ended December 31, 2015 increased the expense by $6.2 million . Acquisition of Par Pharmaceutical Holdings, Inc. On September 25, 2015 (Par Acquisition Date), the Company acquired Par Pharmaceutical Holdings, Inc., a specialty pharmaceutical company that develops, licenses, manufactures, markets and distributes innovative and cost-effective pharmaceuticals with a focus on high-barrier-to-entry products and first-to-file or first-to-market opportunities, for total consideration of $8.14 billion , including the assumption of Par debt. The consideration included 18,069,899 of the Company’s ordinary shares valued at $1.33 billion . The operating results of Par are included in the accompanying Consolidated Statements of Operations for the years ended December 31, 2017 and 2016 and the operating results from the acquisition date of September 25, 2015 are included in the accompanying Consolidated Statements of Operations for the year ended December 31, 2015 . The Consolidated Balance Sheets as of December 31, 2017 and 2016 reflect the acquisition of Par. Our measurement period adjustments for Par were complete as of September 30, 2016. The Company recognized acquisition-related transaction costs associated with the Par acquisition during the year ended December 31, 2015 totaling $46.3 million . These costs, which related primarily to bank fees, legal and accounting services and fees for other professional services, are included in Acquisition-related and integration items in the accompanying Consolidated Statements of Operations . The amounts of Par revenue and Net loss attributable to Endo International plc included in the Company’s Consolidated Statements of Operations for the year ended December 31, 2015 from and including September 25, 2015 to December 31, 2015 are as follows (in thousands, except per share data): Revenue $ 401,238 Net loss attributable to Endo International plc $ (4,348 ) Basic and diluted net loss per share $ (0.02 ) The following supplemental unaudited pro forma information presents the financial results as if the acquisition of Par had occurred on January 1, 2015 for the year ended December 31, 2015 . This supplemental pro forma information has been prepared for comparative purposes and does not purport to be indicative of what would have occurred had the acquisition been made on January 1, 2015 , nor is it indicative of any future results. 2015 Unaudited pro forma consolidated results (in thousands, except per share data): Revenue $ 4,268,110 Net loss attributable to Endo International plc $ (1,594,130 ) Basic and diluted net loss per share $ (8.09 ) These amounts have been calculated after applying the Company’s accounting policies and adjusting the results of Par to reflect factually supportable adjustments that give effect to events that are directly attributable to the Par acquisition assuming the Par acquisition had occurred on January 1, 2015 . These adjustments mainly include adjustments to interest expense and additional intangible amortization. The adjustments to interest expense, net of tax, related to borrowings to finance the acquisition increased the expense by $11.7 million for the year ended December 31, 2015 . In addition, the adjustments include additional intangible amortization, net of tax, which would have been charged assuming the Company’s estimated fair value of the intangible assets. The adjustment to the amortization expense for the year ended December 31, 2015 increased the expense by $129.2 million . Aspen Holdings On October 1, 2015 , the Company acquired a broad portfolio of branded and generic injectable and established products focused on pain, anti-infectives, cardiovascular and other specialty therapeutic areas from a subsidiary of Aspen Pharmacare Holdings Ltd, a leading publicly-traded South African company that supplies branded and generic products in more than 150 countries, and from GlaxoSmithKline plc (GSK) for total consideration of approximately $135.6 million . The Company accounted for this transaction as a business combination in accordance with the relevant accounting literature. The transaction expanded the Company’s presence in South Africa. These products were incorporated into our Litha business, which was subsequently sold in July 2017. Until sold, the operating results of the Aspen Asset Acquisition were included in the accompanying Consolidated Statements of Operations for the years ended December 31, 2017 and 2016 and the operating results from the acquisition date of October 1, 2015 are included in the accompanying Consolidated Statements of Operations for the year ended December 31, 2015 . Our measurement period adjustments for the Aspen Asset Acquisition were complete as of September 30, 2016. Pro forma results of operations have not been presented because the effect of the Aspen Asset Acquisition was not material. VOLTAREN ® Gel The Company had exclusive U.S. marketing rights to VOLTAREN ® Gel through June 30, 2016 pursuant to a License and Supply Agreement entered into in 2008 with and among Novartis AG and Novartis Consumer Health, Inc. (the 2008 VOLTAREN ® Gel Agreement). On December 11, 2015, the Company, Novartis AG and Sandoz Inc. entered into a new License and Supply Agreement (the 2015 VOLTAREN ® Gel Agreement) whereby the Company licensed exclusive U.S. marketing and license rights to commercialize VOLTAREN ® Gel and to launch an authorized generic of VOLTAREN ® Gel effective July 1, 2016. Pursuant to the 2015 VOLTAREN ® Gel Agreement, the former 2008 VOLTAREN ® Gel Agreement expired on June 30, 2016 in accordance with its terms. The Company accounted for this transaction as a business combination as of the effective date in accordance with the relevant accounting literature. The Company acquired the product for consideration of approximately $162.7 million , consisting of an upfront payment of $16.2 million and contingent cash consideration with an acquisition-date fair value of approximately $146 million , including the impact of a measurement period adjustment recorded during the fourth quarter of 2016. See Note 7. Fair Value Measurements for further discussion of this contingent consideration. The preliminary fair values of the net identifiable assets acquired totaled approximately $162.7 million , resulting in no goodwill. The amount of net identifiable assets acquired in connection with the VOLTAREN ® Gel acquisition includes approximately $162.7 million of identifiable developed technology intangible assets to be amortized over an average life of approximately 7 years . Our measurement period adjustments for the acquisition of VOLTAREN ® Gel were complete as of December 31, 2016. The operating results of VOLTAREN ® Gel under business combination accounting are included in the accompanying Consolidated Statements of Operations for the year ended December 31, 2017 and for the six months ended December 31, 2016. The results included in the accompanying Consolidated Statements of Operations for the year ended December 31, 2015 and for the six months ended June 30, 2016, were accounted for under the previous license and supply agreement, which was not treated as a business combination. Pro forma results of operations have not been presented because the effect of the 2015 VOLTAREN ® Gel Agreement was not material. |
Segment Results
Segment Results | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
SEGMENT RESULTS | NOTE 6. SEGMENT RESULTS Beginning with our first quarter 2018 Quarterly Report on Form 10-Q, the four reportable business segments in which we now operate are: (1) U.S. Branded - Specialty & Established Pharmaceuticals , (2) U.S. Branded - Sterile Injectables , (3) U.S. Generic Pharmaceuticals and (4) International Pharmaceuticals . Prior to that, the Company had three reportable segments: (1) U.S. Generic Pharmaceuticals , (2) U.S. Branded Pharmaceuticals and (3) International Pharmaceuticals . Our new U.S. Branded - Sterile Injectables segment consists of our sterile injectables product portfolio, which was previously part of our former U.S. Generic Pharmaceuticals segment. Our new U.S. Generic Pharmaceuticals segment represents the remainder of our former U.S. Generic Pharmaceuticals segment. Additionally, our former U.S. Branded Pharmaceuticals segment has been renamed “ U.S. Branded - Specialty & Established Pharmaceuticals .” The information in this Note 6. Segment Results has been retrospectively adjusted to reflect this change in reportable segments. Our segments reflect the level at which the chief operating decision maker regularly reviews financial information to assess performance and to make decisions about resources to be allocated. Each segment derives revenue from the sales or licensing of its respective products and is discussed in more detail below. We evaluate segment performance based on each segment’s adjusted income from continuing operations before income tax , which we define as Loss from continuing operations before income tax and before certain upfront and milestone payments to partners; acquisition-related and integration items, including transaction costs, earn-out payments or adjustments, changes in the fair value of contingent consideration and bridge financing costs; cost reduction and integration-related initiatives such as separation benefits, retention payments, other exit costs and certain costs associated with integrating an acquired company’s operations; excess costs that will be eliminated pursuant to integration plans; asset impairment charges; amortization of intangible assets; inventory step-up recorded as part of our acquisitions; certain non-cash interest expense; litigation-related and other contingent matters; gains or losses from early termination of debt; foreign currency gains or losses on intercompany financing arrangements; and certain other items . Certain of the corporate general and administrative expenses incurred by the Company are not attributable to any specific segment. Accordingly, these costs are not allocated to any of the Company’s segments and are included in the results below as “Corporate unallocated costs.” Interest income and expense are also considered corporate items and not allocated to any of the Company’s segments. The Company’s consolidated adjusted income from continuing operations before income tax is equal to the combined results of each of its segments less these unallocated corporate items. U.S. Branded - Specialty & Established Pharmaceuticals Our U.S. Branded - Specialty & Established Pharmaceuticals segment includes a variety of branded prescription products to treat and manage conditions in urology, urologic oncology, endocrinology, pain and orthopedics. The products that are included in this segment include XIAFLEX ® , SUPPRELIN ® LA, TESTOPEL ® , NASCOBAL ® Nasal Spray, AVEED ® , OPANA ® ER, PERCOCET ® , VOLTAREN ® Gel, LIDODERM ® , TESTIM ® and FORTESTA ® Gel, among others. U.S. Branded - Sterile Injectables Our U.S. Branded - Sterile Injectables segment consists primarily of branded sterile injectable products such as VASOSTRICT ® , ADRENALIN ® and APLISOL ® , among others, and certain generic sterile injectable products, including ephedrine sulfate injection and neostigmine methylsulfate injection, among others. U.S. Generic Pharmaceuticals Our U.S. Generic Pharmaceuticals segment consists of a differentiated product portfolio including solid oral extended-release, solid oral immediate-release, abuse-deterrent products, liquids, semi-solids, patches, powders, ophthalmics and sprays and includes products in the pain management, urology, central nervous system disorders, immunosuppression, oncology, women’s health and cardiovascular disease markets, among others. International Pharmaceuticals Our International Pharmaceuticals segment includes a variety of specialty pharmaceutical products sold outside the U.S., primarily in Canada through our operating company Paladin Labs Inc. (Paladin). This segment’s key products serve growing therapeutic areas, including attention deficit hyperactivity disorder (ADHD), pain, women’s health and oncology. This segment also included: (i) our South African business, which was sold in July 2017 and consisted of Litha Healthcare Group Limited and certain assets acquired from Aspen Holdings in October 2015 and (ii) our Latin American business consisting of Grupo Farmacéutico Somar, S.A.P.I. de C.V. (Somar), which was sold in October 2017. The following represents selected information for the Company’s reportable segments for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 Net revenues to external customers: U.S. Branded - Specialty & Established Pharmaceuticals $ 957,525 $ 1,166,294 $ 1,284,607 U.S. Branded - Sterile Injectables 750,471 576,399 114,719 U.S. Generic Pharmaceuticals 1,530,530 1,988,214 1,557,697 International Pharmaceuticals (1) 230,332 279,367 311,695 Total net revenues to external customers $ 3,468,858 $ 4,010,274 $ 3,268,718 Adjusted income from continuing operations before income tax: U.S. Branded - Specialty & Established Pharmaceuticals $ 485,515 $ 553,806 $ 694,440 U.S. Branded - Sterile Injectables 563,103 426,170 76,627 U.S. Generic Pharmaceuticals 501,249 653,309 665,140 International Pharmaceuticals 58,308 84,337 81,789 Total segment adjusted income from continuing operations before income tax $ 1,608,175 $ 1,717,622 $ 1,517,996 __________ (1) Revenues generated by our International Pharmaceuticals segment are primarily attributable to external customers located in Canada and, prior to the sale of Litha on July 3, 2017 and Somar on October 25, 2017, South Africa and Latin America. There were no material revenues from external customers attributed to an individual country outside of the United States during the years ended December 31, 2017, 2016 and 2015 . There were no material tangible long-lived assets in an individual country other than the United States as of December 31, 2017 or December 31, 2016 . The table below provides reconciliations of our consolidated Loss from continuing operations before income tax , which is determined in accordance with U.S. GAAP, to our total segment adjusted income from continuing operations before income tax for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 Total consolidated loss from continuing operations before income tax $ (1,483,004 ) $ (3,923,856 ) $ (1,437,864 ) Interest expense, net 488,228 452,679 373,214 Corporate unallocated costs (1) 165,298 189,043 171,242 Amortization of intangible assets 773,766 876,451 561,302 Inventory step-up and certain manufacturing costs that will be eliminated pursuant to integration plans 390 125,699 249,464 Upfront and milestone payments to partners 9,483 8,330 16,155 Separation benefits and other cost reduction initiatives (2) 212,448 107,491 125,407 Impact of VOLTAREN® Gel generic competition — (7,750 ) — Acceleration of Auxilium employee equity awards at closing — — 37,603 Certain litigation-related and other contingencies, net (3) 185,990 23,950 37,082 Asset impairment charges (4) 1,154,376 3,781,165 1,140,709 Acquisition-related and integration items (5) 58,086 87,601 105,250 Loss on extinguishment of debt 51,734 — 67,484 Costs associated with unused financing commitments — — 78,352 Other-than-temporary impairment of equity investment — — 18,869 Foreign currency impact related to the remeasurement of intercompany debt instruments (1,403 ) 366 (25,121 ) Other, net (7,217 ) (3,547 ) (1,152 ) Total segment adjusted income from continuing operations before income tax $ 1,608,175 $ 1,717,622 $ 1,517,996 __________ (1) Amounts include certain corporate overhead costs, such as headcount and facility expenses and certain other income and expenses. (2) Amounts primarily relate to employee separation costs of $53.0 million , $57.9 million and $60.2 million in 2017 , 2016 and 2015 , respectively. Other amounts in 2017 include accelerated depreciation of $123.7 million , charges to increase excess inventory reserves of $13.7 million and other charges of $22.0 million , each of which related primarily to the 2017 U.S. Generic Pharmaceuticals Restructuring Initiative . Other amounts in 2016 primarily consist of charges to increase excess inventory reserves of $24.5 million and other restructuring costs of $25.1 million , consisting primarily of contract termination fees and building costs. Other amounts in 2015 primarily consist of $41.2 million of inventory write-offs and $13.3 million of building costs, including a $7.9 million charge recorded upon the cease use date of our Auxilium subsidiary’s former corporate headquarters. See Note 4. Restructuring for discussion of our material restructuring initiatives. (3) Amounts include adjustments for Litigation-related and other contingencies, net as further described in Note 14. Commitments and Contingencies . (4) Amounts primarily relate to charges to impair goodwill and intangible assets as further described in Note 10. Goodwill and Other Intangibles as well as charges to write down certain property, plant and equipment as further described in Note 4. Restructuring , Note 7. Fair Value Measurements and Note 9. Property, Plant and Equipment . (5) Amounts in 2017 , 2016 and 2015 include costs directly associated with previous acquisitions of $8.1 million , $63.8 million and $170.9 million , respectively. In addition, in 2017 and 2016 , there were charges due to changes in the fair value of contingent consideration of $49.9 million and $23.8 million , respectively. In 2015 , there was a benefit due to changes in the fair value of contingent consideration of $65.6 million . The following represents depreciation expense for our reportable segments for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 U.S. Branded - Specialty & Established Pharmaceuticals $ 16,957 $ 16,294 $ 19,884 U.S. Branded - Sterile Injectables 8,411 9,023 2,333 U.S. Generic Pharmaceuticals 174,652 70,816 26,860 International Pharmaceuticals 3,332 2,557 3,147 Corporate unallocated 6,647 8,168 7,674 Total depreciation expense $ 209,999 $ 106,858 $ 59,898 Asset information is not reviewed or included within our internal management reporting. Therefore, the Company has not disclosed asset information for each reportable segment. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | NOTE 7. FAIR VALUE MEASUREMENTS Financial Instruments The financial instruments recorded in our Consolidated Balance Sheets include cash and cash equivalents (including money market funds and time deposits), restricted cash and cash equivalents, accounts receivable, marketable securities, equity and cost method investments, accounts payable and accrued expenses, acquisition-related contingent consideration and debt obligations. Included in cash and cash equivalents and restricted cash and cash equivalents are money market funds representing a type of mutual fund required by law to invest in low-risk securities (for example, U.S. government bonds, U.S. Treasury Bills and commercial paper). Money market funds pay dividends that generally reflect short-term interest rates. Due to their short-term maturity, the carrying amounts of non-restricted and restricted cash and cash equivalents (including money market funds and time deposits), accounts receivable, accounts payable and accrued expenses approximate their fair values. At December 31, 2017 and 2016 , the Company had combined restricted cash and cash equivalents of $324.4 million and $287.9 million , respectively, of which $320.5 million and $282.1 million , respectively, are classified as current assets and reported in our Consolidated Balance Sheets as Restricted cash and cash equivalents. The remaining amounts, which are classified as non-current assets, are reported in our Consolidated Balance Sheets as Other assets. Approximately $313.8 million and $276.0 million of our restricted cash and cash equivalents are held in QSFs for mesh-related matters at December 31, 2017 and 2016 , respectively. See Note 14. Commitments and Contingencies for further information relating to the vaginal mesh liability. Fair value guidance establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: • Level 1—Quoted prices in active markets for identical assets or liabilities. • Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Marketable Securities Equity securities consist of investments in the stock of publicly traded companies, the values of which are based on quoted market prices and thus represent Level 1 measurements within the above-defined fair value hierarchy. These securities are not held to support current operations and are therefore classified as non-current assets. Equity securities are included in Marketable securities in our Consolidated Balance Sheets at December 31, 2017 and December 31, 2016 . At the time of purchase, we classify our marketable securities as either available-for-sale securities or trading securities, depending on our intent at that time. Available-for-sale and trading securities are carried at fair value with unrealized holding gains and losses recorded within other comprehensive income or net income, respectively. The Company reviews any unrealized losses associated with available-for-sale securities to determine the classification as a “temporary” or “other-than-temporary” impairment. A temporary impairment results in an unrealized loss being recorded in other comprehensive income. An impairment that is viewed as other-than-temporary is recognized in net income. The Company considers various factors in determining the classification, including the length of time and extent to which the fair value has been less than the Company’s cost basis, the financial condition and near-term prospects of the issuer or investee, and the Company’s ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in market value. Acquisition-Related Contingent Consideration The fair value of contingent consideration liabilities is determined using unobservable inputs; hence these instruments represent Level 3 measurements within the above-defined fair value hierarchy. These inputs include the estimated amount and timing of projected cash flows, the probability of success (achievement of the contingent event) and the risk-adjusted discount rate used to present value the probability-weighted cash flows. Subsequent to the acquisition date, at each reporting period, the contingent consideration liability is remeasured at current fair value with changes recorded in earnings. Changes in any of the inputs may result in a significant adjustment to fair value. See Recurring Fair Value Measurements below for additional information on acquisition-related contingent consideration. Recurring Fair Value Measurements The Company’s financial assets and liabilities measured at fair value on a recurring basis at December 31, 2017 and December 31, 2016 were as follows (in thousands): Fair Value Measurements at Reporting Date using: December 31, 2017 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Money market funds $ 439,831 $ — $ — $ 439,831 Time deposits — 303,410 — 303,410 Equity securities 1,456 — — 1,456 Total $ 441,287 $ 303,410 $ — $ 744,697 Liabilities: Acquisition-related contingent consideration—short-term $ — $ — $ 70,543 $ 70,543 Acquisition-related contingent consideration—long-term — — 119,899 119,899 Total $ — $ — $ 190,442 $ 190,442 Fair Value Measurements at Reporting Date using: December 31, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Money market funds $ 26,210 $ — $ — $ 26,210 Time deposits — 100,000 — 100,000 Equity securities 2,267 — — 2,267 Total $ 28,477 $ 100,000 $ — $ 128,477 Liabilities: Acquisition-related contingent consideration—short-term $ — $ — $ 109,373 $ 109,373 Acquisition-related contingent consideration—long-term — — 152,740 152,740 Total $ — $ — $ 262,113 $ 262,113 At December 31, 2017 and December 31, 2016 , money market funds include $35.6 million and $26.2 million , respectively, in QSFs to be disbursed to mesh-related or other product liability claimants. Amounts in QSFs are considered restricted cash equivalents. See Note 14. Commitments and Contingencies for further discussion of our product liability cases. Our money market funds and equity securities are considered available-for-sale securities. The differences between the amortized cost and fair value of such securities were not material, individually or in the aggregate, at December 31, 2017 or December 31, 2016 , nor were any of the related gross unrealized gains or losses. Fair Value Measurements Using Significant Unobservable Inputs The following table presents changes to the Company’s liability for acquisition-related contingent consideration, which was measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2017 and 2016 (in thousands): 2017 2016 Beginning of period $ 262,113 $ 143,502 Amounts acquired — 146,866 Amounts settled (122,559 ) (55,896 ) Measurement period adjustments — 3,700 Changes in fair value recorded in earnings 49,949 23,823 Effect of currency translation 939 118 End of period $ 190,442 $ 262,113 At December 31, 2017 , the fair value measurements of the contingent consideration obligations were determined using risk-adjusted discount rates ranging from 10% to 22% . Changes in fair value recorded in earnings related to acquisition-related contingent consideration are included in our Consolidated Statements of Operations as Acquisition-related and integration items , and amounts recorded for the short-term and long-term portions of acquisition-related contingent consideration are included in Accounts payable and accrued expenses and Other liabilities, respectively, in our Consolidated Balance Sheets . The following table presents changes to the Company’s liability for acquisition-related contingent consideration during the year ended December 31, 2017 by acquisition (in thousands): Balance as of December 31, 2016 Acquisitions Fair Value Adjustments and Accretion Payments and Other Balance as of December 31, 2017 Auxilium acquisition $ 21,097 $ — $ 467 $ (8,503 ) $ 13,061 Lehigh Valley Technologies, Inc. acquisitions 96,000 — 40,016 (73,015 ) 63,001 VOLTAREN ® Gel acquisition 118,395 — 18,586 (38,857 ) 98,124 Other 26,621 — (9,120 ) (1,245 ) 16,256 Total $ 262,113 $ — $ 49,949 $ (121,620 ) $ 190,442 The following table presents changes to the Company’s liability for acquisition-related contingent consideration during the year ended December 31, 2016 by acquisition (in thousands): Balance as of December 31, 2015 Acquisitions Fair Value Adjustments and Accretion Payments and Other Balance as of December 31, 2016 Qualitest acquisition $ 1,137 $ — $ (1,137 ) $ — $ — Sumavel acquisition 631 — (631 ) — — Auxilium acquisition 26,435 — 8,952 (14,290 ) 21,097 Lehigh Valley Technologies, Inc. acquisitions 97,003 — 30,676 (31,679 ) 96,000 VOLTAREN ® Gel acquisition — 146,055 (18,807 ) (8,853 ) 118,395 Other 18,296 4,511 4,770 (956 ) 26,621 Total $ 143,502 $ 150,566 $ 23,823 $ (55,778 ) $ 262,113 Nonrecurring Fair Value Measurements The Company’s financial assets and liabilities measured at fair value on a nonrecurring basis during the year ended December 31, 2017 were as follows (in thousands): Fair Value Measurements at Reporting Date using: Total Expense for the Year Ended December 31, 2017 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Certain U.S. Branded Pharmaceuticals intangible assets (Note 10) $ — $ — $ 34,326 $ (76,674 ) Certain U.S. Generic Pharmaceuticals intangible assets (Note 10) — — 367,160 (577,923 ) Certain International Pharmaceuticals intangible assets (Note 10) — — 21,772 (145,360 ) Certain property, plant and equipment (1) — — — (65,676 ) Total $ — $ — $ 423,258 $ (865,633 ) __________ (1) Amounts relate primarily to an aggregate charge of $47.2 million recorded in connection with the 2017 U.S. Generic Pharmaceuticals Restructuring Initiative , which is described further in Note 4. Restructuring , and $11.9 million recorded following the initiation of held-for-sale accounting resulting from the Company’s June 30, 2017 definitive agreement to sell Somar, which is described in Note 3. Discontinued Operations and Assets and Liabilities Held for Sale . Additionally, the Company recorded aggregate goodwill impairment charges during the year ended December 31, 2017 of $288.7 million . Refer to Note 10. Goodwill and Other Intangibles for further description of the impairment charges taken, including the valuation methodologies utilized. The Company’s financial assets and liabilities measured at fair value on a nonrecurring basis during the year ended December 31, 2016 were as follows (in thousands): Fair Value Measurements at Measurement Date using: Total Expense for the Year Ended December 31, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Certain Astora property, plant and equipment (Note 3) $ — $ — $ — $ (5,041 ) Certain U.S. Generic Pharmaceuticals property, plant and equipment — — 11,360 (13,679 ) Certain U.S. Branded Pharmaceuticals intangible assets (Note 10) — — 4,621 (110,430 ) Certain U.S. Generic Pharmaceuticals intangible assets (Note 10) — — 872,474 (676,776 ) Certain International Pharmaceuticals intangible assets (Note 10) — — 139,313 (301,698 ) Certain Astora intangible assets (Note 3) — — — (16,287 ) Generics reporting unit goodwill (Note 10) — — 3,531,301 (2,342,549 ) Paladin reporting unit goodwill (Note 10) — — 170,572 (272,578 ) Somar reporting unit goodwill (Note 10) — — 24,044 (33,000 ) Litha reporting unit goodwill (Note 10) — — — (26,343 ) Other asset impairment charges — — — (4,112 ) Total $ — $ — $ 4,753,685 $ (3,802,493 ) |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2017 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | NOTE 8. INVENTORIES Inventories consist of the following at December 31, 2017 and December 31, 2016 (in thousands): December 31, 2017 December 31, 2016 Raw materials (1) $ 124,685 $ 175,240 Work-in-process (1) 109,897 100,494 Finished goods (1) 156,855 279,937 Total $ 391,437 $ 555,671 __________ (1) The components of inventory shown in the table above are net of allowance for obsolescence. Inventory that is in excess of the amount expected to be sold within one year, which relates primarily to XIAFLEX ® inventory, is classified as long-term inventory and is not included in the table above. At December 31, 2017 and December 31, 2016 , $17.1 million and $22.9 million , respectively, of long-term inventory was included in Other assets in the Consolidated Balance Sheets . As of December 31, 2017 and December 31, 2016 , the Company’s Consolidated Balance Sheets included approximately $5.9 million and $16.8 million , respectively, of capitalized pre-launch inventories related to generic products that were not yet available to be sold. |
Property, Plant And Equipment
Property, Plant And Equipment | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT | NOTE 9. PROPERTY, PLANT AND EQUIPMENT Changes in the amount of Property, plant and equipment for the year ended December 31, 2017 are set forth in the table below (in thousands). This table excludes changes related to businesses classified as held for sale, to the extent such changes occurred after the business was classified as held for sale. Cost: Land and Buildings Machinery and Equipment Leasehold Improve- Computer Equipment and Software Assets under Capital Lease Furniture and Fixtures Assets under Construc- Total At January 1, 2017 $ 322,537 $ 227,833 $ 50,359 $ 118,928 $ 9,155 $ 21,086 $ 129,102 $ 879,000 Additions 19,871 49,088 11,067 21,626 — 684 26,043 128,379 Disposals, transfers, impairments and other (12,333 ) (9,939 ) (1,271 ) (9,459 ) (4,259 ) (8,770 ) (36,186 ) (82,217 ) Effect of currency translation 1,391 836 309 356 — 124 76 3,092 At December 31, 2017 $ 331,466 $ 267,818 $ 60,464 $ 131,451 $ 4,896 $ 13,124 $ 119,035 $ 928,254 Accumulated Depreciation: At January 1, 2017 $ (50,770 ) $ (64,319 ) $ (21,263 ) $ (62,836 ) $ (5,773 ) $ (4,443 ) $ — $ (209,404 ) Additions (93,633 ) (76,986 ) (6,607 ) (27,121 ) (2,645 ) (3,007 ) — (209,999 ) Disposals, transfers and other (4,656 ) 6,964 1,088 7,354 4,257 1,201 — 16,208 Effect of currency translation (343 ) (400 ) (85 ) (189 ) — (71 ) — (1,088 ) At December 31, 2017 $ (149,402 ) $ (134,741 ) $ (26,867 ) $ (82,792 ) $ (4,161 ) $ (6,320 ) $ — $ (404,283 ) Net Book Amount: At December 31, 2017 $ 182,064 $ 133,077 $ 33,597 $ 48,659 $ 735 $ 6,804 $ 119,035 $ 523,971 At December 31, 2016 $ 271,767 $ 163,514 $ 29,096 $ 56,092 $ 3,382 $ 16,643 $ 129,102 $ 669,596 Depreciation expense, including expense related to assets under capital lease, was $210.0 million , $106.9 million and $59.9 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. During the years ended December 31, 2017 , 2016 and 2015 , the Company recorded impairment charges totaling $65.7 million , $15.9 million and $10.8 million , respectively, which amounts exclude $5.0 million in 2016 related to AMS, which was classified as a discontinued operation. Impairment charges in 2017 primarily relate to an aggregate charge of $47.2 million recorded in connection with the 2017 U.S. Generic Pharmaceuticals Restructuring Initiative , which is described further in Note 4. Restructuring , and $11.9 million recorded following the initiation of held-for-sale accounting resulting from the Company’s June 30, 2017 definitive agreement to sell Somar, which is described in Note 3. Discontinued Operations and Assets and Liabilities Held for Sale . In 2016 and 2015 , impairment charges reflect the write off of certain property, plant and equipment amounts that were abandoned or sold as part of our ongoing efforts to improve our operating efficiency and consolidate certain locations, including our generics manufacturing and research and development operations. These charges are included in the Asset impairment charges line item in our Consolidated Statement of Operations. |
Goodwill And Other Intangibles
Goodwill And Other Intangibles | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER INTANGIBLES | NOTE 10. GOODWILL AND OTHER INTANGIBLES Goodwill Changes in the carrying amount of our goodwill for the years ended December 31, 2017 and 2016 were as follows (in thousands): Carrying Amount U.S. Generic Pharmaceuticals U.S. Branded Pharmaceuticals International Pharmaceuticals Total Goodwill as of December 31, 2015 $ 5,789,934 $ 1,002,776 $ 506,644 $ 7,299,354 Measurement period adjustments 83,916 8,352 1,366 93,634 Effect of currency translation on gross balance — — 3,336 3,336 Effect of currency translation on accumulated impairment — — 9,421 9,421 Goodwill impairment charges (2,342,549 ) (1,880 ) (331,921 ) (2,676,350 ) Goodwill as of December 31, 2016 $ 3,531,301 $ 1,009,248 $ 188,846 $ 4,729,395 Effect of currency translation on gross balance — — 40,454 40,454 Effect of currency translation on accumulated impairment — — (31,023 ) (31,023 ) Goodwill impairment charges — (180,430 ) (108,314 ) (288,744 ) Goodwill as of December 31, 2017 $ 3,531,301 $ 828,818 $ 89,963 $ 4,450,082 The carrying amounts of goodwill at December 31, 2017 and December 31, 2016 are net of the following accumulated impairments: Accumulated Impairment U.S. Generic Pharmaceuticals U.S. Branded Pharmaceuticals International Pharmaceuticals Total Accumulated impairment losses as of December 31, 2016 $ 2,342,549 $ 675,380 $ 408,280 $ 3,426,209 Accumulated impairment losses as of December 31, 2017 (1) $ 2,342,549 $ 855,810 $ 463,545 $ 3,661,904 __________ (1) During the year ended December 31, 2017 , we sold our Litha and Somar businesses. Accordingly, we removed $84.1 million of accumulated impairments from the International Pharmaceuticals segment. Other Intangible Assets Changes in the amount of other intangible assets for the year ended December 31, 2017 are set forth in the table below (in thousands). This table excludes changes related to businesses classified as held for sale, to the extent such changes occurred after the business was classified as held for sale. As such, this table excludes asset impairment charges of $9.6 million related to our Litha business, assets derecognized upon the divestitures of Litha, Somar and BELBUCA™ with a combined carrying amount of $26.4 million and net increases resulting from currency translation of $1.5 million related to our Litha and Somar businesses. Cost basis: Balance as of December 31, 2016 Acquisitions Impairments Other Effect of Currency Translation Balance as of December 31, 2017 Indefinite-lived intangibles: In-process research and development $ 1,123,581 $ — $ (334,490 ) $ (442,100 ) $ 209 $ 347,200 Total indefinite-lived intangibles $ 1,123,581 $ — $ (334,490 ) $ (442,100 ) $ 209 $ 347,200 Finite-lived intangibles: Licenses (weighted average life of 12 years) $ 465,720 $ — $ (8,178 ) $ (140 ) $ — $ 457,402 Tradenames 7,345 — (808 ) (262 ) 134 6,409 Developed technology (weighted average life of 11 years) 6,223,004 — (446,835 ) 378,811 32,784 6,187,764 Total finite-lived intangibles (weighted average life of 11 years) $ 6,696,069 $ — $ (455,821 ) $ 378,409 $ 32,918 $ 6,651,575 Total other intangibles $ 7,819,650 $ — $ (790,311 ) $ (63,691 ) $ 33,127 $ 6,998,775 Accumulated amortization: Balance as of December 31, 2016 Amortization Impairments Other Effect of Currency Translation Balance as of December 31, 2017 Finite-lived intangibles: Licenses $ (341,600 ) $ (28,761 ) $ — $ 140 $ — $ (370,221 ) Tradenames (6,599 ) (42 ) — 262 (30 ) (6,409 ) Developed technology (1,612,154 ) (744,963 ) — 63,289 (10,633 ) (2,304,461 ) Total other intangibles $ (1,960,353 ) $ (773,766 ) $ — $ 63,691 $ (10,663 ) $ (2,681,091 ) Net other intangibles $ 5,859,297 $ 4,317,684 __________ (1) Additional information on the changes in the total gross carrying amount of our other intangible assets is presented below (in thousands): Gross Carrying Amount December 31, 2016 $ 7,819,650 Impairment of certain U.S. Branded Pharmaceuticals intangible assets (76,674 ) Impairment of certain U.S. Generic Pharmaceuticals intangible assets (577,923 ) Impairment of certain International Pharmaceuticals intangible assets (135,714 ) Transfer of intangible assets to Assets held for sale (NOTE 3) (33,304 ) Removal of certain fully amortized intangible assets (30,387 ) Effect of currency translation 33,127 December 31, 2017 $ 6,998,775 (2) Includes reclassification adjustments of $442.1 million for certain developed technology intangible assets, previously classified as in-process research and development, that were placed in service during the year ended December 31, 2017 , the removal of certain fully amortized intangible assets and the transfer of Somar intangible assets to Assets held for sale. Amortization expense for the years ended December 31, 2017, 2016 and 2015 totaled $773.8 million , $876.5 million , and $561.3 million respectively. Amortization expense is included in Cost of revenues in the Consolidated Statements of Operations . Estimated amortization of intangibles for the five fiscal years subsequent to December 31, 2017 is as follows (in thousands): 2018 $ 598,603 2019 $ 506,857 2020 $ 469,339 2021 $ 450,854 2022 $ 436,811 Impairments Endo tests goodwill and indefinite-lived intangible assets for impairment annually, or more frequently whenever events or changes in circumstances indicate that the asset might be impaired. Our annual assessment is performed as of October 1st. As part of our goodwill and intangible asset impairment assessments, we estimate the fair values of our reporting units and our intangible assets using an income approach that utilizes a discounted cash flow model, or, where appropriate, a market approach. The discounted cash flow models are dependent upon our estimates of future cash flows and other factors. These estimates of future cash flows involve assumptions concerning (i) future operating performance, including future sales, long-term growth rates, operating margins, variations in the amount and timing of cash flows and the probability of achieving the estimated cash flows and (ii) future economic conditions. These assumptions are based on significant inputs not observable in the market and thus represent Level 3 measurements within the fair value hierarchy. The discount rates applied to the estimated cash flows for the Company’s October 1, 2017, 2016 and 2015 annual goodwill and indefinite-lived intangible assets impairment test ranged from 9.5% to 12.5% , 8.5% to 11.0% and from 9.0% to 16.0% , respectively, depending on the overall risk associated with the particular assets and other market factors. We believe the discount rates and other inputs and assumptions are consistent with those that a market participant would use. Any impairment charges resulting from annual or interim goodwill and intangible asset impairment assessments are recorded to Asset impairment charges in our Consolidated Statements of Operations. A summary of significant goodwill and other intangible asset impairment charges by reportable segment for the years ended December 31, 2017, 2016 and 2015 is included below. As a result of our annual test performed as of October 1, 2017, the Company determined that the estimated fair values of its Branded, Generics and International reporting units exceeded their carrying amounts; therefore, a goodwill impairment charge was not required for the three months ended December 31, 2017. Certain of our 2016 impairment charges discussed below related to our 2016 annual goodwill impairment test. After performing this test, we concluded that the carrying amounts of our Generics, Paladin, Somar and Litha reporting units each exceeded their respective estimated fair values and recorded goodwill impairment charges of $2,342.5 million , $272.6 million , $33.0 million and $26.3 million , respectively. The impairments were a result of a combination of factors, including increased buying power from the continued consolidation of our generic business customer base, a significant change in the value derived from the level and frequency of anticipated future pricing opportunities and increased levels of competition, particularly in our Generics reporting unit, due to the entry of new low cost competitors and accelerated FDA ANDA approvals. These factors were exacerbated by an increase in the risk factor included in the discount rate used to calculate the Generics discounted cash flows from the date of our last interim test. The increase in the discount rate was due to the implied control premium resulting from recent trading values of our stock. On a combined basis, these factors reduced the estimated fair value of our reporting units. Additionally, our 2015 Paladin goodwill impairment charge discussed below related to our 2015 annual goodwill impairment test. After performing this test, we concluded that the carrying amount of our Paladin reporting unit exceeded its estimated fair values and recorded goodwill impairment charges of $85.8 million . The impairment was primarily due to the loss of exclusivity on certain products sold in Canada. U.S. Generic Pharmaceuticals Segment During each quarter of 2017, the Company identified certain market conditions impacting the recoverability of certain indefinite and finite-lived intangible assets in its U.S. Generic Pharmaceuticals segment. Accordingly, the Company tested these assets for impairment and determined that their carrying amounts were no longer fully recoverable, resulting in pre-tax, non-cash asset impairment charges totaling $72.7 million , $268.2 million , $54.2 million and $125.3 million during the three months ended March 31, 2017, June 30, 2017, September 30, 2017 and December 31, 2017, respectively. In addition, as further described in Note 4. Restructuring , we announced the 2017 U.S. Generic Pharmaceuticals Restructuring Initiative in July 2017, which includes the discontinuation of certain commercial products. As a result, we assessed the recoverability of the impacted products, resulting in 2017 pre-tax, non-cash intangible asset impairment charges of approximately $57.5 million . During the three months ended March 31, 2016 and June 30, 2016, the Company identified certain market and regulatory conditions impacting the commercial potential of certain indefinite and finite-lived intangible assets in our U.S. Generic Pharmaceuticals segment. Accordingly, we tested these assets for impairment and determined that the carrying amounts of certain of these assets were no longer fully recoverable, resulting in pre-tax, non-cash asset impairment charges of $29.3 million and $40.0 million during the first and second quarters of 2016, respectively. In addition, during the first quarter of 2016, the Company recognized pre-tax, non-cash asset impairment charges of $100.3 million related to the 2016 U.S. Generic Pharmaceuticals Restructuring Initiative , which resulted from the discontinuation of certain commercial products and the abandonment of certain IPR&D projects. See Note 4. Restructuring for discussion of our material restructuring initiatives. During the fourth quarter of 2016, the Company recognized pre-tax, non-cash intangible asset impairment charges of $507.2 million in its U.S. Generic Pharmaceuticals segment resulting from certain market conditions, including price erosion and increased competition, impacting the commercial potential of finite and indefinite-lived intangible assets, including higher than expected erosion rates in the U.S. Generic Pharmaceuticals base business. Also during the fourth quarter of 2016, we recognized a pre-tax, non-cash goodwill asset impairment charge of $2,342.5 million . The goodwill impairment charge related to our 2016 annual test, as described above. During the year ended December 31, 2015, we identified certain market conditions impacting the commercial potential of certain indefinite and finite-lived intangible assets in our U.S. Generic Pharmaceuticals segment. Accordingly, we tested these assets for impairment and determined that the carrying amounts of certain of these assets were no longer fully recoverable, resulting in 2015 pre-tax, non-cash intangible asset impairment charges of $181.0 million . U.S. Branded Pharmaceuticals Segment In March 2017, we announced that the Food and Drug Administration’s (FDA) Drug Safety and Risk Management and Anesthetic and Analgesic Drug Products Advisory Committees voted that the benefits of reformulated OPANA ® ER (oxymorphone hydrochloride extended release) no longer outweigh its risks. In June 2017, we became aware of the FDA’s request that we voluntarily withdraw OPANA ® ER from the market, and in July 2017, after careful consideration and consultation with the FDA, we decided to voluntarily remove OPANA ® ER from the market. As a result of our decision, we determined that the carrying amount of our OPANA ® ER intangible asset was no longer recoverable, resulting in a pre-tax, non-cash impairment charge of $20.6 million in the second quarter of 2017, representing the remaining carrying amount. In addition, during the second, third and fourth quarters of 2017, we identified certain market conditions impacting the recoverability of certain other finite-lived intangible assets in our U.S. Branded Pharmaceuticals segment. Accordingly, we tested these assets for impairment and determined that their carrying amounts were no longer fully recoverable, resulting in pre-tax, non-cash asset impairment charges totaling $31.5 million , $24.1 million and $0.5 million during the three months ended June 30, 2017, September 30, 2017 and December 31, 2017, respectively. In addition, as a result of the actions taken with respect to OPANA ® ER and the continued erosion of our U.S. Branded Pharmaceuticals segment’s Established Products portfolio, we initiated an interim goodwill impairment analysis of our Branded reporting unit during the second quarter of 2017. Based on the provisions of ASU 2017-04, which we adopted as of January 1, 2017, we recorded a pre-tax, non-cash goodwill impairment charge of $180.4 million during the three months ended June 30, 2017 for the amount by which the carrying amount exceeded the reporting unit’s fair value. We estimated the fair value of the Branded reporting unit using an income approach that utilizes a discounted cash flow model. The discount rate applied to the estimated cash flows for our Branded goodwill impairment test was 9.5% . As a result of unfavorable formulary changes and generic competition for sumatriptan, we experienced a downturn in the performance of our SUMAVEL ® DOSEPRO ® product, a needle-free delivery system for sumatriptan acquired from Zogenix, Inc. in 2014. As a result of this underperformance, we concluded during the third quarter of 2016 that an impairment assessment was required to evaluate the recoverability of SUMAVEL ® DOSEPRO ® . After performing this assessment, we recorded a pre-tax, non-cash impairment charge of $72.8 million during the third quarter of 2016, representing the remaining carrying amount. During the fourth quarter of 2016, we recognized pre-tax, non-cash goodwill and intangible asset impairment charges of $1.9 million and $37.6 million , respectively, resulting primarily from the termination of our BELBUCA™ product and the return of this product to BDSI. In 2015, a sustained downturn in the short-acting testosterone replacement therapy (TRT) market caused underperformance across several of our TRT products, including TESTIM ® and NATESTO™. In addition, we also experienced underperformance with respect to STENDRA ® . As a result of this underperformance and a re-alignment of investment priorities towards higher growth and higher value assets such as XIAFLEX ® , we concluded during the third quarter of 2015 that an impairment assessment was required to evaluate the recoverability of certain finite-lived intangible assets associated with these products. After performing this assessment, we recorded a pre-tax, non-cash impairment charge of approximately $152.0 million during the third quarter of 2015, representing a full impairment of our Natesto™ intangible asset and a partial impairment of our TESTIM ® and STENDRA ® intangible assets. As a result of providing written notice to VIVUS Inc. on December 30, 2015 that we were terminating the STENDRA ® License Agreement effective June 30, 2016, we recorded an additional pre-tax, non-cash impairment charge of approximately $9.5 million , representing the remaining carrying amount of our STENDRA ® intangible asset. Additionally, during the fourth quarter of 2015, we determined that the fair value of certain U.S. Branded Pharmaceuticals IPR&D assets were less than their respective carrying amounts, and we recorded a pre-tax, non-cash impairment charge of $5.5 million representing the full carrying amount of the assets. Given the results of our intangible asset assessment during the third quarter of 2015 for STENDRA ® and certain TRT products, we initiated an interim goodwill impairment analysis of our Urology, Endocrinology and Oncology (UEO) reporting unit as of September 30, 2015. As a result of this interim analysis, we determined that the net book value of our UEO reporting unit exceeded its estimated fair value. We prepared this analysis on a preliminary basis to estimate the amount of a provisional impairment charge as of September 30, 2015, and determined that an impairment was probable and reasonably estimable. We performed the preliminary fair value assessments taking into consideration a number of factors, based upon the latest available information, including the preliminary results of a hypothetical purchase price allocation. As a result of the preliminary analysis, during the three months ended September 30, 2015, we recorded a provisional pre-tax, non-cash goodwill impairment charge of $680.0 million , representing the difference between the estimated implied fair value of the UEO reporting unit’s goodwill and its respective carrying amount. We completed our UEO goodwill impairment analysis during the fourth quarter of 2015 and reduced the provisional pre-tax, non-cash goodwill impairment charge by $6.5 million , resulting in a net 2015 charge of $673.5 million . International Pharmaceuticals Segment Pursuant to an existing agreement with a wholly owned subsidiary of Novartis AG (Novartis), Paladin licensed the Canadian rights to commercialize serelaxin, an investigational drug for the treatment of acute heart failure (AHF). In March 2017, Novartis announced that a Phase 3 study of serelaxin in patients with AHF failed to meet its primary endpoints. As a result, we concluded that the full carrying amount of our serelaxin IPR&D intangible asset was impaired, resulting in a $45.5 million pre-tax non-cash impairment charge for the three months ended March 31, 2017. In addition and as a result of the serelaxin impairment discussed above, we assessed the recoverability of our Paladin goodwill balance and determined that the estimated fair value of the Paladin reporting unit was below its carrying amount. We recorded a pre-tax, non-cash asset impairment charge of $82.6 million during the three months ended March 31, 2017 for the amount by which the carrying amount exceeded the reporting unit’s fair value. We estimated the fair value of the Paladin reporting unit using an income approach that utilizes a discounted cash flow model. The discount rate applied to the estimated cash flows for our Paladin goodwill impairment test was 10.0% . As further discussed in Note 3. Discontinued Operations and Assets and Liabilities Held for Sale , we entered into a definitive agreement to sell Somar on June 30, 2017, which resulted in Somar’s assets and liabilities being classified as held for sale. The initiation of held-for-sale accounting, together with the agreed upon sale price, triggered an impairment review. Accordingly, we performed an impairment analysis using a market approach and determined that impairment charges were required. We recorded 2017 pre-tax, non-cash impairment charges of $25.7 million and $89.5 million related to Somar’s goodwill and other intangible assets, respectively. The goodwill and other intangible asset impairment charges each represented the remaining carrying amounts of the corresponding assets. As described above, as part of the 2016 annual goodwill impairment test, we recorded pre-tax, non-cash goodwill impairment charges related to our Paladin, Somar and Litha reporting units of $272.6 million , $33.0 million and $26.3 million , respectively. During the three months ended September 30, 2016, we determined that we would not pursue commercialization of a product in certain international markets. Accordingly, we tested the finite-lived intangible asset associated with this product for impairment and determined that the carrying amount was no longer fully recoverable, resulting in a pre-tax, non-cash intangible asset impairment charge of $16.2 million during the third quarter of 2016. During the fourth quarter of 2016, we recognized pre-tax, non-cash intangible asset impairment charges of $285.5 million in our International Pharmaceuticals segment resulting from certain market conditions impacting the commercial potential of finite and indefinite-lived intangible assets. As described above, as part of the 2015 annual goodwill impairment test, we recorded a pre-tax, non-cash goodwill impairment charge of $85.8 million related to our Paladin reporting unit. As part of our finite-lived intangible asset impairment review processes for 2015, we recorded pre-tax, non-cash intangible asset impairment charges of approximately $14.6 million in our International Pharmaceuticals segment, representing the difference between the carrying amount of certain intangible assets and their estimated fair value. |
Accounts Payable And Accrued Ex
Accounts Payable And Accrued Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Accrued Liabilities [Abstract] | |
ACCOUNTS PAYABLE AND ACCRUED EXPENSES | NOTE 12. ACCOUNTS PAYABLE AND ACCRUED EXPENSES Accounts payable and accrued expenses include the following at December 31, 2017 and December 31, 2016 (in thousands): December 31, 2017 December 31, 2016 Trade accounts payable $ 85,348 $ 126,712 Returns and allowances 291,034 332,455 Rebates 168,333 227,706 Chargebacks 14,604 33,092 Accrued interest 130,257 128,254 Accrued payroll and related benefits 113,908 115,224 Accrued royalties and other distribution partner payables 63,114 191,433 Acquisition-related contingent consideration—short-term 70,543 109,373 Other 159,684 189,835 Total $ 1,096,825 $ 1,454,084 |
License And Collaboration Agree
License And Collaboration Agreements | 12 Months Ended |
Dec. 31, 2017 | |
License And Collaboration Agreements [Abstract] | |
LICENSE AND COLLABORATION AGREEMENTS | NOTE 11. LICENSE AND COLLABORATION AGREEMENTS Our subsidiaries have entered into certain license, collaboration and discovery agreements with third parties for product development. These agreements require our subsidiaries to share in the development costs of such products and the third parties grant marketing rights to our subsidiaries for such products. Generally, under these agreements: (i) we are required to make upfront payments and other payments upon successful completion of regulatory or sales milestones, (ii) we are required to pay royalties on sales of the products arising from these agreements and (iii) termination is permitted with no significant continuing obligation. BioSpecifics Technologies Corp. The Company, through an affiliate, is party to a development and license agreement, as amended (the BioSpecifics Agreement) with BioSpecifics Technologies Corp. (BioSpecifics). The BioSpecifics Agreement was originally entered into in June 2004 to obtain exclusive worldwide rights to develop, market and sell certain products containing BioSpecifics’ enzyme collagenase clostridium histolyticum (CCH), which we market for approved indications under the trademark XIAFLEX ® . The Company’s licensed rights concern the development and commercialization of products, other than dermal formulations labeled for topical administration, and currently, the Company’s licensed rights cover the indications of Dupuytren’s contracture (DC), Dupuytren’s nodules, Peyronie’s disease (PD), adhesive capsulitis, cellulite, canine and human lipomas, plantar fibromatosis and lateral hip fat. The Company may further expand the BioSpecifics Agreement, at its option, to cover other indications as they are developed by the Company or BioSpecifics. Under the BioSpecifics Agreement, we are responsible, at our own cost and expense, for developing the formulation and finished dosage form of products and arranging for the clinical supply of products. BioSpecifics is currently conducting exploratory clinical trials evaluating CCH as a treatment for a number of conditions, including uterine fibroids. The Company has the option to license development and marketing rights to these indications based on a full analysis of the data from the clinical trials, which would transfer responsibility for the future development costs to the Company and trigger opt-in payments and potential future milestone and royalty payments to BioSpecifics. The BioSpecifics Agreement extends, on a country-by-country and product-by-product basis, for the longer of the patent life, the expiration of any regulatory exclusivity period or twelve years from the effective date. Either party may terminate the BioSpecifics Agreement as a result of the other party’s breach or bankruptcy. We may terminate the BioSpecifics Agreement with 90 days’ written notice. We must pay BioSpecifics on a country-by-country and product-by-product basis a specified percentage within a range of 5% to 15% of net sales for products covered by the BioSpecifics Agreement. This royalty applies to net sales by the Company or its sublicensees, including Asahi Kasei Pharma Corporation (Asahi Kasei) and Swedish Orphan Biovitrum AB (Sobi). We are also obligated to pay a percentage of any future regulatory or commercial milestone payments received from such sublicensees. In addition, the Company and its affiliates pay BioSpecifics an amount equal to a specified mark-up on certain cost of goods related to supply of XIAFLEX ® (which mark-up is capped at a specified percentage within the range of 5% to 15% of the cost of goods of XIAFLEX ® ) for products sold by the Company and its affiliates. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
DEBT | NOTE 13. DEBT The following table presents information about the Company’s total indebtedness at December 31, 2017 and December 31, 2016 (in thousands): December 31, 2017 December 31, 2016 Effective Interest Rate Principal Amount Carrying Amount Effective Interest Rate Principal Amount Carrying Amount 7.25% Senior Notes due 2022 7.91 % $ 400,000 $ 390,974 7.91 % $ 400,000 $ 389,150 5.75% Senior Notes due 2022 6.04 % 700,000 692,855 6.04 % 700,000 691,339 5.375% Senior Notes due 2023 5.62 % 750,000 742,048 5.62 % 750,000 740,733 6.00% Senior Notes due 2023 6.28 % 1,635,000 1,613,446 6.28 % 1,635,000 1,610,280 5.875% Senior Secured Notes due 2024 6.14 % 300,000 295,513 — — — 6.00% Senior Notes due 2025 6.27 % 1,200,000 1,181,243 6.27 % 1,200,000 1,179,203 Term Loan A Facility Due 2019 — — — 2.95 % 941,875 932,824 Term Loan B Facility Due 2022 — — — 4.06 % 2,772,000 2,728,919 Term Loan B Facility Due 2024 5.46 % 3,397,925 3,360,103 — — — Other debt 1.50 % 55 55 1.50 % 55 55 Total long-term debt, net $ 8,382,980 $ 8,276,237 $ 8,398,930 $ 8,272,503 Less current portion, net 34,205 34,205 131,125 131,125 Total long-term debt, less current portion, net $ 8,348,775 $ 8,242,032 $ 8,267,805 $ 8,141,378 The senior unsecured notes are unsecured and effectively subordinated in right of priority to the 2017 Credit Agreement and our senior secured notes, in each case to the extent of the value of the collateral securing such instruments, which collateral represents substantially all of the assets of the issuers or borrowers and the guarantors party thereto. The aggregate estimated fair value of the Company’s long-term debt, which was estimated using inputs based on quoted market prices for the same or similar debt issuances, was $7.5 billion and $7.8 billion at December 31, 2017 and December 31, 2016 , respectively. Based on this valuation methodology, we determined these debt instruments represent Level 2 measurements within the fair value hierarchy. Credit Facility We have $996.8 million of remaining credit available through our Revolving Credit Facility as of December 31, 2017 . As of December 31, 2017 , we were in compliance with all covenants contained in our 2017 Credit Agreement. Our 2017 Credit Agreement is described below under the heading “April 2017 Refinancing.” Senior Notes and Senior Secured Notes Our various senior notes and our senior secured notes mature between 2022 and 2025. The indentures governing these notes generally allow for redemption prior to maturity, in whole or in part, subject to certain restrictions and limitations described therein. Generally, until a date specified in each indenture (which, as of December 31, 2017, has occurred only for the 7.25% Senior Notes due 2022, 5.75% Senior Notes due 2022 and 5.375% Senior Notes due 2023), the notes may either: (i) be redeemed, in part or in full, by paying the sum of: (a) 100% of the principal amount being redeemed, (b) an applicable make-whole premium as described in each indenture and (c) accrued and unpaid interest or (ii) be redeemed in part (up to 35% of the principal amount outstanding) with the net cash proceeds from specified equity offerings at redemption prices ranging from 105.875% to 106.000% (with respect to the notes for which the specified date described above has not yet occurred as of December 31, 2017 ) of the principal amount being redeemed, plus accrued and unpaid interest. After the specified date described above, the notes may generally be redeemed, in whole or in part, at redemption prices ranging from 100.000% to 104.500% of the principal amount being redeemed plus accrued and unpaid interest. Other than the 5.875% Senior Secured Notes due 2024, these notes are senior unsecured obligations of the Company’s subsidiaries party to the applicable indenture governing such notes. These notes are issued by certain of our subsidiaries and are guaranteed on a senior unsecured basis by the subsidiaries of Endo International plc that also guarantee the 2017 Credit Agreement, except for a de minimis amount of the 7.25% Senior Notes due 2022, which are issued by Endo Health Solutions Inc. (EHSI). and guaranteed on a senior unsecured basis by the guarantors named in the Fifth Supplemental Indenture relating to such notes. The 5.875% Senior Secured Notes due 2024 are senior secured obligations of Endo International plc and its subsidiaries that are party to the indenture governing such notes. These notes are issued by certain of our subsidiaries and are guaranteed on a senior secured basis by Endo International plc and its subsidiaries that also guarantee our 2017 Credit Agreement. The indentures governing our various senior notes contain affirmative and negative covenants that the Company believes to be usual and customary for similar indentures. The negative covenants, among other things, restrict the Company’s ability and the ability of its restricted subsidiaries to incur certain additional indebtedness and issue preferred stock, make certain investments and restricted payments, sell certain assets, enter into sale and leaseback transactions, agree to payment restrictions on the ability of restricted subsidiaries to make certain payments to Endo International plc or any of its restricted subsidiaries, create certain liens, merge, consolidate or sell all or substantially all of the Company’s assets or enter into certain transactions with affiliates. As of December 31, 2017 , we were in compliance with all covenants. Additionally, pursuant to the terms of the indentures governing certain of our senior unsecured notes, the restricted subsidiaries of Endo International plc, whose assets comprise substantially all of the Company’s consolidated total assets after intercompany eliminations, are subject to various restrictions limiting their ability to transfer assets in excess of certain thresholds to Endo International plc. April 2017 Refinancing On April 27, 2017, Endo International plc entered into a new credit agreement (the 2017 Credit Agreement) as a guarantor, together with its subsidiaries Endo Luxembourg Finance Company I S.à r.l., and Endo LLC, as borrowers (the Borrowers), the other guarantors party thereto, the lenders party thereto and JPMorgan Chase Bank, N.A., as administrative agent, issuing bank and swingline lender. The 2017 Credit Agreement provides for (i) a five -year senior secured revolving credit facility in a principal amount of $1,000.0 million (the 2017 Revolving Credit Facility) (up to $50.0 million (which amount may be increased to up to $75.0 million with the consent of the administrative agent and certain issuing banks) of which is available for letters of credit and up to $50.0 million (which amount may be increased to up to $75.0 million with the consent of the administrative agent) of which is available for swing line loans) and (ii) a seven -year senior secured term loan facility in a principal amount of $3,415.0 million (the 2017 Term Loan Facility and, together with the 2017 Revolving Credit Facility, the 2017 Credit Facility). Any outstanding amounts borrowed pursuant to the 2017 Term Loan Facility will immediately mature if the 7.25% Senior Notes due 2022 are not refinanced or repaid in full prior to the date that is 91 days prior to the stated maturity date thereof. Any outstanding amounts borrowed pursuant to the 2017 Credit Facility will immediately mature if any of the following of our senior notes (other than, in the case of the 2017 Revolving Credit Facility, the 5.375% Senior notes due 2023 and the 6.00% Senior Notes due 2023) are not refinanced or repaid in full prior to the date that is 91 days prior to the stated maturity date thereof: Instrument Maturity Date 7.25% Senior Notes due 2022 January 15, 2022 5.75% Senior Notes due 2022 January 15, 2022 5.375% Senior Notes due 2023 January 15, 2023 6.00% Senior Notes due 2023 July 15, 2023 The proceeds of the 2017 Term Loan Facility were used, together with cash on hand, to repay our outstanding obligations under our prior credit facilities and to pay related fees and expenses. The proceeds of the 2017 Revolving Credit Facility will be used for working capital, capital expenditures and general corporate purposes. The obligations under the 2017 Credit Agreement are guaranteed by Endo International plc and its subsidiaries from time to time (with certain exceptions) (together with the Borrowers, the Loan Parties). The obligations under the 2017 Credit Agreement and the obligations under the indenture governing the 5.875% Senior Secured Notes due 2024 are secured on a pari passu basis by a first priority (subject to permitted liens) lien on substantially all the assets (with certain exceptions) of the Loan Parties. The 2017 Credit Agreement contains affirmative and negative covenants that the Company believes to be usual and customary for a senior secured credit facility of this type. The negative covenants include, among other things, limitations on asset sales, mergers and acquisitions, indebtedness, liens, dividends and other restricted payments, investments and transactions with the Company’s affiliates. In addition, on an annual basis commencing with the year ended December 31, 2018, the Company is required to perform a calculation of excess cash flow (as defined in the 2017 Credit Agreement) and a portion of the principal amount of the 2017 Term Loan Facility may be required to be prepaid in accordance with the terms of the 2017 Credit Agreement. No such payment is required at December 31, 2017 . The 2017 Credit Agreement provides that the Borrowers may incur incremental revolving commitments and/or incremental term loans in an aggregate principal amount of up to (i) up to $1.0 billion plus (ii) an unlimited amount if the pro forma first lien net leverage ratio at the time of incurrence of such incremental commitments or loans after giving effect thereto is less than or equal to 2.50 to 1.00 (assuming for purposes of such calculation that any incremental revolving commitments being incurred are fully drawn and without netting cash proceeds of any incremental facilities or incremental equivalent debt) or, in lieu of incremental facilities under the 2017 Credit Agreement, the incurrence of incremental equivalent debt consisting of pari passu notes or loans (subject to pro forma compliance with a first lien net leverage ratio of 2.50 to 1.00), junior secured notes or loans (subject to pro forma compliance with a secured net leverage ratio of 3.50 to 1.00) or unsecured notes or loans (subject to pro forma compliance with a total net leverage ratio of 6.50 to 1.00) from one or more of the existing lenders (or their affiliates) or other lenders (with the consent of the administrative agent) and, subject to compliance by the Borrowers with the documentation and other requirements under the 2017 Credit Agreement, without the need for consent from any of the existing lenders under the 2017 Credit Agreement. Borrowings under the 2017 Revolving Credit Facility bear interest, at the borrower’s election, at a rate equal to (i) an applicable margin between 1.50% and 3.00% depending on the Company’s total net leverage ratio plus the London Interbank Offered Rate ( LIBOR ) or (ii) an applicable margin between 0.50% and 2.00% depending on the Company’s total net leverage ratio plus the Alternate Base Rate (as defined in the 2017 Credit Agreement). In addition, borrowings under our 2017 Term Loan Facility bear interest, at the borrower’s election, at a rate equal to (i) 4.25% plus LIBOR , subject to a LIBOR floor of 0.75% , or (ii) 3.75% plus the Alternate Base Rate, subject to an Alternate Base Rate floor of 1.75% . Also on April 27, 2017, Endo Designated Activity Company (Endo DAC), Endo Finance LLC and Endo Finco Inc. (collectively, the Issuers) issued $300.0 million in aggregate principal amount of 5.875% Senior Secured Notes due 2024 (the 2024 Notes). The 2024 Notes were issued in a private offering for resale to “qualified institutional buyers” (as defined in Rule 144A under the Securities Act) and outside the United States to non-U.S. persons in compliance with Regulation S under the Securities Act. The 2024 Notes are senior secured obligations of the Issuers and are: (i) guaranteed by Endo International plc and its subsidiaries that also guarantee the 2017 Credit Agreement and certain other material indebtedness and (ii) secured by a lien on the same collateral that secures the 2017 Credit Agreement. Interest on the 2024 Notes is payable semiannually in arrears on April 15 and October 15 of each year, beginning on October 15, 2017. The 2024 Notes will mature on October 15, 2024, subject to earlier repurchase or redemption in accordance with the terms of the 2024 Notes indenture. On or after April 15, 2020, the Issuers may on any one or more occasions redeem all or a part of the 2024 Notes, at the redemption prices (expressed as percentages of principal amount) set forth below, plus accrued and unpaid interest and additional interest, if any, on the notes redeemed if such notes are redeemed during the twelve-month period beginning on April 15 of the years indicated below: Year Percentage 2020 102.938 % 2021 101.469 % 2022 and thereafter 100.000 % At any time prior to April 15, 2020, the Issuers may on any one or more occasions redeem all or a part of the 2024 Notes at a redemption price equal to 100% of the principal amount of the notes redeemed, plus the applicable make-whole premium as described in the 2024 Notes indenture, plus accrued and unpaid interest and additional interest, if any. In addition, prior to April 15, 2020, the Issuers may, subject to certain restrictions and limitations, redeem up to 35% of the aggregate principal amount of the 2024 Notes with the net cash proceeds from specified equity offerings at a redemption price equal to 105.875% of the aggregate principal amount of the 2024 Notes redeemed, plus accrued and unpaid interest and additional interest, if any. If the Company experiences certain change of control events, the Issuers must offer to repurchase the 2024 Notes at 101% of their principal amount, plus accrued and unpaid interest and additional interest, if any. The 2024 Notes indenture contains covenants that, among other things, restrict the Company’s ability and the ability of its restricted subsidiaries to incur certain additional indebtedness and issue preferred stock, make certain dividends, distributions, investments and restricted payments, sell certain assets, enter into sale and leaseback transactions, agree to payment restrictions on the ability of restricted subsidiaries to make certain payments to Endo International plc or any of its restricted subsidiaries, create certain liens, merge, consolidate or sell all or substantially all of the Company’s assets, enter into certain transactions with affiliates or designate subsidiaries as unrestricted subsidiaries. These covenants are subject to a number of exceptions and qualifications, including the fall away or revision of certain of these covenants and release of the collateral upon the 2024 Notes receiving investment grade credit ratings. The Company used the net proceeds under the 2017 Term Loan Facility, together with the net proceeds of the 2024 Notes and cash on hand, to repay all of its outstanding loans under its prior credit facilities and to pay related fees and expenses. The Company intends to use the proceeds of the 2017 Revolving Credit Facility from time to time for working capital, capital expenditures and general corporate purposes. In connection with the April 2017 Refinancing, we incurred new debt issuance costs of approximately $56.7 million , which were allocated among the new debt instruments as follows: (i) $41.3 million to the 2017 Term Loan Facility, (ii) $10.5 million to the 2017 Revolving Credit Facility and (iii) $4.9 million to the 2024 Notes. These costs, together with $10.1 million of the previously deferred debt issuance costs associated with our prior revolving credit facility, have been deferred and will be amortized as interest expense over the terms of the respective instruments. The remaining $51.7 million of deferred debt issuance costs associated with our prior revolving and term loan facilities were charged to expense in the second quarter of 2017. These expenses were included in the Consolidated Statements of Operations as Loss on extinguishment of debt . Maturities The following table presents, subsequent to the closing of the April 2017 Refinancing, the maturities on our long-term debt for each of the five fiscal years subsequent to December 31, 2017 (in thousands): Maturities (1) 2018 $ 34,205 2019 $ 34,150 2020 $ 34,150 2021 $ 34,150 2022 $ 1,134,150 __________ (1) Any outstanding amounts borrowed pursuant to the 2017 Credit Facility will immediately mature if certain of our senior notes (enumerated above under the heading “April 2017 Refinancing”) (other than, in the case of the 2017 Revolving Credit Facility, the 5.375% Senior Notes due 2023 and the 6.00% Senior Notes due 2023) are not refinanced or repaid in full prior to the date that is 91 days prior to the respective stated maturity dates thereof. Accordingly, we may be required to repay or refinance senior notes with an aggregate principal amount of $1,100.0 million in 2021, despite such notes having stated maturities in 2022. Similarly, we may be required to repay or refinance senior notes with an aggregate principal amount of $750.0 million in 2022, despite such notes having stated maturities in 2023. The amounts in this maturities table do not reflect any such early payment; rather, they reflect stated maturity dates. |
Commitments And Contingencies
Commitments And Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | NOTE 14. COMMITMENTS AND CONTINGENCIES Manufacturing, Supply and Other Service Agreements Our subsidiaries contract with various third party manufacturers, suppliers and service providers to provide raw materials used in our subsidiaries’ products and semi-finished and finished goods, as well as certain packaging, labeling services, customer service support, warehouse and distribution services. If, for any reason, we are unable to obtain sufficient quantities of any of the finished goods or raw materials or components required for our products or services needed to conduct our business, it could have an adverse effect on our business, financial condition, results of operations and cash flows. In addition to the manufacturing and supply agreements described above, we have agreements with various companies for clinical development services. Although we have no reason to believe that the parties to these agreements will not meet their obligations, failure by any of these third parties to honor their contractual obligations may have a material adverse effect on our business, financial condition, results of operations and cash flows. Jubilant HollisterStier Laboratories LLC (JHS) During the second quarter of 2016, we entered into a new agreement with JHS (JHS Agreement). Pursuant to the JHS Agreement, JHS fills and lyophilizes the XIAFLEX ® bulk drug substance, which is manufactured by the Company, and produces sterile diluent. The initial term of the JHS agreement is three years, with automatic renewal provisions thereafter for subsequent one-year terms, unless or until either party provides notification prior to expiration of the then current term of the contract. The Company is required to purchase a specified percentage of its total forecasted volume of XIAFLEX ® from JHS each year, unless JHS is unable to supply XIAFLEX ® within the timeframe established under such forecasts. Amounts purchased pursuant to the JHS Agreement were $5.6 million and $6.3 million for the years ended December 31, 2017 and 2016 . Amounts purchased in 2015 were not material. Milestones and Royalties See Note 11. License and Collaboration Agreements for a description of future milestone and royalty commitments pursuant to our material acquisitions, license and collaboration agreements. Legal Proceedings and Investigations We and certain of our subsidiaries are involved in various claims, legal proceedings, internal and governmental investigations (collectively, proceedings) that arise from time to time in the ordinary course of our business, including, among others, those relating to product liability, intellectual property, regulatory compliance, consumer protection and commercial matters. While we cannot predict the outcome of these proceedings and we intend to vigorously prosecute or defend our position as appropriate, there can be no assurance that we will be successful or obtain any requested relief and an adverse outcome in any of these proceedings could have a material adverse effect on our current and future financial position, results of operations and cash flows. Matters that are not being disclosed herein are, in the opinion of our management, immaterial both individually and in the aggregate with respect to our financial position, results of operations and cash flows. If and when such matters, in the opinion of our management, become material either individually or in the aggregate, we will disclose such matters. We believe that certain settlements and judgments, as well as legal defense costs, relating to certain product liability or other matters are or may be covered in whole or in part under our insurance policies with a number of insurance carriers. In certain circumstances, insurance carriers reserve their rights to contest or deny coverage. We intend to contest vigorously any and all such disputes with our insurance carriers and to enforce our rights under the terms of our insurance policies. Accordingly, we will record receivables with respect to amounts due under these policies only when the resolution of any dispute has been reached and realization of the potential claim for recovery is considered probable. Amounts recovered under our insurance policies will likely be less than the stated coverage limits and may not be adequate to cover damages and/or costs relating to claims. In addition, there is no guarantee that insurers will pay claims or that coverage will otherwise be available. As of December 31, 2017 , our reserve for loss contingencies totaled $1,298.2 million , of which $1,087.2 million relates to our liability accrual for vaginal mesh cases and other mesh-related matters. During the fourth quarter of 2017, the Company recorded a total increase to its legal reserves of approximately $200 million related to testosterone-related product liability matters and LIDODERM ® -related antitrust matters, which reflects the Company’s conclusion that a loss is probable with respect to these matters. The reserve for LIDODERM ® -related matters includes an estimated loss for, among other matters, a settlement in principle of all remaining claims filed against EPI in multidistrict litigation (MDL) No. 2521, which is further discussed below under the heading “ Other Antitrust Matters .” The testosterone-related reserve includes an estimated loss for, among other matters, all testosterone-related product liability cases filed in MDL No. 2545 and in other courts. These cases are further discussed below under the heading “ Product Liability and Related Matters .” Although we believe there is a reasonable possibility that a loss in excess of the amount recognized exists, we are unable to estimate the possible loss or range of loss in excess of the amount recognized at this time. Product Liability and Related Matters We and certain of our subsidiaries have been named as defendants in numerous lawsuits in various U.S. federal and state courts, as well as in Canada and other countries, alleging personal injury resulting from the use of certain products of our subsidiaries. These and other related matters are described below in more detail. Vaginal Mesh. In October 2008, the FDA issued a Public Health Notification (October 2008 Public Health Notification) regarding potential complications associated with transvaginal placement of surgical mesh to treat pelvic organ prolapse (POP) and stress urinary incontinence (SUI). The notification provided recommendations and encouraged physicians to seek specialized training in mesh procedures, to advise their patients about the risks associated with these procedures and to be diligent in diagnosing and reporting complications. In July 2011, the FDA issued an update to the October 2008 Public Health Notification to further advise the public and the medical community of the potential complications associated with transvaginal placement of surgical mesh to treat POP and SUI. In the July 2011 update, the FDA stated that adverse events are not rare and questioned the relative effectiveness of transvaginal mesh as a treatment for POP as compared to non-mesh surgical repair. The July 2011 update continued to encourage physicians to seek specialized training in mesh procedures, to consider and to advise their patients about the risks associated with these procedures and to be diligent in diagnosing and reporting complications. In January 2016, the FDA issued a statement reclassifying surgical mesh for transvaginal POP repair from Class II to Class III. Surgical mesh for SUI repair remains a Class II device. Since 2008, we and certain of our subsidiaries, including AMS and/or Astora, have been named as defendants in multiple lawsuits in the U.S. in various state and federal courts (including a federal MDL pending in the U.S. District Court for the Southern District of West Virginia (MDL No. 2325)), and in Canada and other countries, alleging personal injury resulting from the use of transvaginal surgical mesh products designed to treat POP and SUI. In January 2018, a representative proceeding (class action) was filed in the Federal Court of Australia against American Medical Systems, LLC. In the various class action and individual complaints, plaintiffs claim a variety of personal injuries, including chronic pain, incontinence, inability to control bowel function and permanent deformities, and seek compensatory and punitive damages, where available. We and certain plaintiffs’ counsel representing mesh-related product liability claimants have entered into various Master Settlement Agreements (MSAs) and other agreements to resolve up to approximately 71,000 filed and unfiled mesh claims handled or controlled by the participating counsel. These MSAs and other agreements were entered into at various times between June 2013 and the present, were solely by way of compromise and settlement and were not in any way an admission of liability or fault by us or any of our subsidiaries. All MSAs are subject to a process that includes guidelines and procedures for administering the settlements and the release of funds. In certain cases, the MSAs provide for the creation of qualified settlement funds (QSFs) into which funds may be deposited pursuant to certain schedules set forth in those agreements. All MSAs have participation requirements regarding the claims represented by each law firm party to the MSA. In addition, one agreement gives us a unilateral right of approval regarding which claims may be eligible to participate under that settlement. To the extent fewer claims than are authorized under an agreement participate, the total settlement payment under that agreement will be reduced by an agreed-upon amount for each such non-participating claim. Funds deposited in QSFs are included in restricted cash and cash equivalents in the Consolidated Balance Sheets . Distribution of funds to any individual claimant is conditioned upon the receipt of documentation substantiating the validity of the claim, a full release and dismissal of the entire action or claim as to all AMS parties and affiliates. Prior to receiving funds, an individual claimant is required to represent and warrant that liens, assignment rights or other claims identified in the claims administration process have been or will be satisfied by the individual claimant. Confidentiality provisions apply to the amount of settlement awards to participating claimants, the claims evaluation process and procedures used in conjunction with award distributions, and the negotiations leading to the settlements. In June 2017, the MDL court entered a case management order which, among other things, requires plaintiffs in newly-filed MDL cases to provide expert disclosures on specific causation within one hundred twenty (120) days of filing a claim (the Order). Under the Order, a plaintiff's failure to meet the foregoing deadline may be grounds for the entry of judgment against such plaintiff. In July 2017, a similar order was entered in Minnesota state court. Beginning in the second quarter of 2017, the Company aggressively pursued a settlement strategy in connection with the mesh litigation. Consequently, the Company increased its mesh liability accrual by $775.5 million in the second quarter of 2017, which is expected to cover approximately 22,000 known U.S. mesh claims, subject to a claims validation process for all resolved claims, as well as all of the international mesh liability claims of which the Company is aware and other mesh-related matters. This increase reflected the Company’s conclusion that a loss was probable with respect to all unsettled mesh-related matters of which we were aware, and our current liability accrual applies to such matters. Although the Company believes it has appropriately estimated the probable total amount of loss associated with all matters as of the date of this report , it is reasonably possible that further claims may be filed or asserted and adjustments to our liability accrual may be required. This could have a material adverse effect on our business, financial condition, results of operations and cash flows. The following table presents the changes in the QSFs and mesh liability accrual balance during the year ended December 31, 2017 (in thousands): Qualified Settlement Funds Mesh Liability Accrual Balance as of January 1, 2017 $ 275,987 $ 963,117 Additional charges — 775,474 Cash contributions to Qualified Settlement Funds 668,306 — Cash distributions to settle disputes from Qualified Settlement Funds (632,176 ) (632,176 ) Cash distributions to settle disputes — (19,243 ) Other 1,697 — Balance as of December 31, 2017 $ 313,814 $ 1,087,172 As of December 31, 2017 , $876.7 million of the mesh liability accrual amount shown above is classified in the Current portion of the legal settlement accrual in the Consolidated Balance Sheets , with the remainder classified as Long-term legal settlement accrual, less current portion. Charges related to vaginal mesh liability and associated legal fees and other expenses for all periods presented are reported in Discontinued operations, net of tax in our Consolidated Statements of Operations . To date, the Company has made total mesh liability payments of approximately $2.9 billion , $313.8 million of which remains in the QSFs as of December 31, 2017 . We expect to fund into the QSFs the remaining payments under all settlement agreements during 2018 and 2019. As the funds are disbursed out of the QSFs from time to time, the liability accrual will be reduced accordingly with a corresponding reduction to restricted cash and cash equivalents. In addition, we may pay cash distributions to settle disputes separate from the QSFs, which will also decrease the liability accrual and decrease cash and cash equivalents. We were contacted in October 2012 regarding a civil investigation initiated by a number of state attorneys general into mesh products, including transvaginal surgical mesh products designed to treat POP and SUI. In November 2013, we received a subpoena relating to this investigation from the state of California, and we have subsequently received additional subpoenas from California and other states. We are currently cooperating with these investigations. We will continue to vigorously defend any unresolved claims and to explore other options as appropriate in our best interests. Similar matters may be brought by others or the foregoing matters may be expanded. We are unable to predict the outcome of these matters or to estimate the possible range of any additional losses that could be incurred. Testosterone. Various manufacturers of prescription medications containing testosterone, including our subsidiaries Endo Pharmaceuticals Inc. (EPI) and Auxilium Pharmaceuticals, Inc. (subsequently converted to Auxilium Pharmaceuticals, LLC and hereinafter referred to as Auxilium), have been named as defendants in multiple lawsuits alleging personal injury resulting from the use of such medications, including FORTESTA ® Gel, DELATESTRYL ® , TESTIM ® , TESTOPEL ® , AVEED ® and STRIANT ® . Plaintiffs in these suits generally allege various personal injuries, including pulmonary embolism, stroke or other vascular and/or cardiac injuries, and seek compensatory and/or punitive damages, where available. As of February 20, 2018 , we were aware of approximately 1,300 testosterone cases (some of which may have been filed on behalf of multiple plaintiffs) pending against one or more of our subsidiaries. Many of these cases have been coordinated in a federal MDL pending in the U.S. District Court for the Northern District of Illinois (MDL No. 2545). In addition, there are cases pending against EPI and/or Auxilium in the Philadelphia Court of Common Pleas (PCCP) and in certain other state courts. In November 2015, the MDL court entered an order granting defendants’ motion to dismiss claims involving certain testosterone products that were approved pursuant to Abbreviated New Drug Applications (ANDAs), including TESTOPEL ® . Plaintiffs filed a motion for reconsideration and clarification of this order. In March 2016, the MDL court granted plaintiffs’ motion in part and entered an order permitting certain claims to go forward to the extent they are based on allegations of fraudulent off-label marketing. The first MDL trial against Auxilium involving TESTIM ® took place in November 2017 and resulted in a defense verdict. The first PCCP trial against Auxilium involving TESTIM ® was scheduled for January 2018 but resolved prior to trial. The next PCCP trial against Auxilium involving TESTIM ® is set for July 2018, with approximately fourteen other PCCP trials involving one or more of our subsidiaries scheduled to follow by January 2019; in some of these cases, another pharmaceutical manufacturer is also named as a defendant. In February 2018, counsel for plaintiffs and counsel for Auxilium and EPI signed a memorandum of understanding regarding a potential settlement, subject to certain contingencies and conditions. The MDL court subsequently entered a case management order directing that proceedings involving these parties be temporarily stayed so that the parties may devote their efforts to finalizing a master settlement agreement. A fourth quarter 2017 increase to the Company’s legal reserves includes, among other things, an estimated loss for all testosterone-related product liability claims filed in MDL No. 2545 and in other courts. Although the Company believes it has appropriately estimated the probable total amount of loss associated with testosterone-related product liability matters as of the date of this report , it is reasonably possible that further claims may be filed or asserted and adjustments to our liability accrual may be required. This could have a material adverse effect on our business, financial condition, results of operations and cash flows. The MDL also includes a lawsuit filed in November 2014 in the U.S. District for the Northern District of Illinois against EPI, Auxilium and various other manufacturers of testosterone products on behalf of a proposed class of health insurance companies and other third party payers that claim to have paid for certain testosterone products. After a series of motions to dismiss, plaintiffs filed a third amended complaint in April 2016, asserting civil claims for alleged violations of the Racketeer Influenced and Corrupt Organizations Act (RICO) and for negligent misrepresentation based on defendants’ marketing of certain testosterone products. The court denied a motion to dismiss this complaint in August 2016 and the case is currently in discovery. In November 2017, plaintiff filed a motion to certify a nationwide class of third party payers. This lawsuit is not part of the potential settlement described above. We will continue to vigorously defend any unresolved claims and to explore other options as appropriate in our best interests. Similar matters may be brought by others or the foregoing matters may be expanded. We are unable to predict the outcome of these matters or to estimate the possible range of any additional losses that could be incurred. Unapproved Drug Litigation In September 2013, the State of Louisiana filed a petition for damages against certain of our subsidiaries, including EPI, and more than 50 other pharmaceutical companies in Louisiana state court (19th Judicial District) alleging that the defendants or their subsidiaries marketed products that were not approved by the FDA and seeking damages, fines, penalties, attorneys’ fees and costs under various causes of action. In October 2015, the district court entered judgment for defendants on their exception for no right of action. The State appealed, and in October 2016 the Louisiana First Circuit Court of Appeals reversed the dismissal as to the State’s Medicaid Assistance Program Integrity Law (MAPIL) and Louisiana Unfair Trade Practices Act (LUTPA) claims but affirmed the dismissal as to the State’s other claims. The State’s petition for rehearing was denied in December 2016. Both sides applied to the Louisiana Supreme Court for a writ of certiorari to review the First Circuit’s decision. Those writs were denied in March 2017. In May 2017, defendants filed exceptions for no cause of action in the district court. In August 2017, the court sustained defendants’ exception as to the MAPIL claim but overruled defendants’ exception as to the LUTPA claim. The State then filed a motion seeking reconsideration with respect to the MAPIL claim, and defendants filed a motion for clarification with respect to the court’s ruling on the LUTPA claim. In October 2017, the court denied the State’s motion and entered final judgment against the State with respect to the MAPIL claim. The court also granted defendants’ motion for clarification and dismissed the State’s LUTPA claim insofar as it sought civil penalties for alleged violations occurring before June 2, 2006. In October 2017, defendants applied for a supervisory writ to the Louisiana First Circuit Court of Appeals on the district court’s August 2017 order overruling defendants’ exception on the State’s LUTPA claim. In March 2017, the State of Mississippi filed a complaint against our subsidiary EPI in Mississippi state court (Hinds County Chancery Court) alleging that EPI marketed products that were not approved by the FDA and seeking damages, penalties, attorneys’ fees, costs and other relief under various causes of action. In April 2017, EPI removed the case to the U.S. District Court for the Southern District of Mississippi. In May 2017, the State moved to remand the case to state court, and that motion was granted in October 2017. In November 2017, EPI filed a motion to dismiss the State’s complaint on various grounds. In January 2018, the State filed a motion for leave to amend its complaint. In February 2018, following an unopposed motion by the State, the court consolidated the State’s case against EPI with five substantially similar cases brought by the State against other defendants. The consolidation is solely for purposes of coordinated pretrial proceedings and discovery, not for trial. We will continue to vigorously defend the foregoing matters and to explore other options as appropriate in our best interests. Similar matters may be brought by others or the foregoing matters may be expanded. We are unable to predict the outcome of these matters or to estimate the possible range of any losses that could be incurred. Opioid-Related Matters Since 2014, multiple U.S. states, counties, other governmental persons or entities and private plaintiffs have filed suit against our subsidiaries EHSI and EPI, in some instances the Company and/or our subsidiary Par Pharmaceutical, Inc. (PPI), and/or various other manufacturers, distributors and/or others, asserting claims relating to defendants’ alleged sales, marketing and/or distribution practices with respect to prescription opioid medications, including certain of our products. As of February 20, 2018 , the cases of which we were aware include, but are not limited to, cases filed by the states of Delaware, Kentucky, Mississippi, Missouri, New Mexico and Ohio; approximately 465 cases filed by counties, cities, Native American tribes and/or other government-related persons or entities in Alabama, Arizona, Arkansas, California, Colorado, Connecticut, Florida, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oregon, Pennsylvania, South Carolina, South Dakota, Tennessee, Texas, Washington, West Virginia, Wisconsin and Puerto Rico; approximately 25 cases filed by hospitals, health systems, unions, health and welfare funds or other third-party payers; and approximately eight cases alleging personal injury and/or wrongful death. We will continue to vigorously defend the foregoing matters and to explore other options as appropriate in our best interests. Similar matters may be brought by others or the foregoing matters may be expanded. We are unable to predict the outcome of these matters or to estimate the possible range of any losses that could be incurred. Many of these cases have been coordinated in a federal MDL pending in the U.S. District Court for the Northern District of Ohio (MDL No. 2804). Other cases remain pending in various state courts. Certain cases filed in Connecticut, Illinois and New York state courts have been transferred to a single court within their respective state court systems for coordinated pretrial proceedings. Defendants have filed motions seeking similar relief in Pennsylvania. The complaints in the cases assert a variety of claims including, but not limited to, claims for alleged violations of public nuisance, consumer protection, unfair trade practices, racketeering, Medicaid fraud and/or drug dealer liability statutes and/or common law claims for public nuisance, fraud/misrepresentation, strict liability, negligence and/or unjust enrichment. The claims are generally based on alleged misrepresentations and/or omissions in connection with the sale and marketing of prescription opioid medications and/or an alleged failure to take adequate steps to prevent abuse and diversion. Plaintiffs generally seek declaratory and/or injunctive relief; compensatory, punitive and/or treble damages; restitution, disgorgement, civil penalties, abatement, attorneys’ fees, costs and/or other relief. Certain of the cases are brought as putative class actions. Defendants, including the company’s subsidiaries, have filed motions to dismiss in certain cases. For the most part, these motions remain pending. In a case filed by the City of Chicago in June 2014, defendants have answered the city’s claims for consumer fraud (deceptive practices) and misrepresentation; defendants’ motion to dismiss other claims remains pending. The case is now part of MDL 2804. In a case filed in May 2014 in California state court (Orange County) in the name of the People of the State of California, acting by and through County Counsel for Santa Clara County and the Orange County District Attorney, following a hearing in January 2018, the court denied defendants’ motions to dismiss the fourth amended complaint but struck certain material from that complaint. In February 2018, plaintiffs filed a motion for leave to file a fifth amended complaint. In March 2017, the Boone County Commission filed suit in the U.S. District Court for the Southern District of West Virginia against multiple defendants, including our subsidiary Generics Bidco I, LLC, for the alleged violation of federal and state safety laws designed to monitor, detect and prevent the diversion of controlled substances. The complaint generally seeks compensatory and punitive damages for the alleged creation of a public nuisance. In December 2017, the case was transferred to MDL 2804 for pretrial purposes. In addition to the lawsuits described above, the Company and/or its subsidiaries have received certain subpoenas, civil investigative demands (CIDs) and informal requests for information concerning the sale, marketing and/or distribution of prescription opioid medications, including the following: In September 2017, the Department of Justice for the State of Oregon and the Office of the Attorney General for the Commonwealth of Massachusetts issued CIDs to EHSI and EPI on behalf of a multistate group which we understand currently includes the District of Columbia and the following additional states: Alabama, Arizona, California, Colorado, Connecticut, Florida, Georgia, Hawaii, Idaho, Illinois, Iowa, Kansas, Louisiana, Maine, Maryland, Michigan, Minnesota, Nebraska, Nevada, New York, North Carolina, North Dakota, Pennsylvania, Rhode Island, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, West Virginia, Wisconsin and Wyoming. Our subsidiaries are currently cooperating with this investigation. We understand that these recent CIDs superseded prior subpoenas and/or CIDs issued by certain of the foregoing states. Other states are conducting their own investigations outside of the multistate group. For example, in August 2015, our subsidiary EPI received a subpoena from the New Hampshire Attorney General’s office seeking documents and information regarding sales and marketing of opioids, including OPANA ® ER. We were cooperating with the investigation until we learned that the Attorney General was being assisted by outside counsel hired on a contingency fee basis. The Attorney General initiated an action in New Hampshire Superior Court to enforce the subpoena despite this contingency fee arrangement, and we (along with other companies that had received similar subpoenas) responded by filing a motion for protective order to preclude the use of contingency fee counsel. In addition, we filed a separate motion seeking declaratory relief. In March 2016, the Superior Court granted the motion for protective order on the grounds that the contingency fee agreement was invalid as ultra vires and that the Attorney General’s office had acted outside of its statutory authority in entering into the agreement with the contingency fee counsel. In April 2016, both the Attorney General and the companies that had received subpoenas, including EPI, appealed, in part, the March 2016 Superior Court order to the New Hampshire Supreme Court. In June 2017, the New Hampshire Supreme Court reversed the Superior Court’s protective order ruling and remanded the case to the Superior Court. We resumed cooperation with the investigation and in December 2017, the Attorney General issued a second subpoena to EPI seeking additional documents and information regarding sales and marketing of opioids. In October 2017, we filed a petition for certiorari seeking U.S. Supreme Court review of the New Hampshire Supreme Court’s decision. Other states investigating outside of the multistate group include New Jersey (subpoena received by EPI in March 2017); Washington (CID received by the Company, EHSI and EPI in August 2017); Indiana (CID received by EHSI and EPI in November 2017); Montana (CID received by EHSI and EPI in January 2018); Alaska (CID received by EPI in February 2018); and South Carolina (CID received by EHSI and EPI in February 2018). We are cooperating with these investigations. In January 2018, our subsidiary EPI received a federal grand jury subpoena from the U.S. District Court for the Southern District of Florida in connection with an investigation being conducted by the U.S. Attorney’s Office for the Southern District of Florida in conjunction with the U.S. Food and Drug Administration. The subpoena seeks information related to OPANA ® ER and other oxymorphone products. EPI is cooperating with the investigation. Similar investigations may be brought by others or the foregoing matters may be expanded or result in litigation. We are unable to predict the outcome of these matters or to estimate the possible range of any losses that could be incurred. Generic Drug Pricing Matters In December 2014, our subsidiary Par received a grand jury subpoena from the Antitrust Division of the DOJ issued by the U.S. District Court for the Eastern District of Pennsylvania. The subpoena requested documents and information focused primarily on product and pricing information relating to Par’s authorized generic version of Lanoxin (digoxin) oral tablets and Par’s generic doxycycline products, and on communications with competitors and others regarding those products. Par is cooperating with the investigation. In December 2015, EPI received interrogatories and a subpoena from the Connecticut Attorney General’s Office requesting documents and information regarding pricing of certain of generic products, including doxycycline hyclate, amitriptyline hydrochloride, doxazosin mesylate, methotrexate sodium and oxybutynin chloride. EPI is cooperating with this investigation. We are unable to predict the outcome of the foregoing investigations, which may involve additional requests for information or result in litigation. In addition, investigations or litigations similar to these matters described above may be brought by others or the foregoing matters may be expanded. We are also unable to predict the ultimate legal and financial liability, if any, and at this time cannot reasonably estimate the possible loss or range of loss, if any, for these matters but will explore all options as appropriate in our best interests. Since April 2017, certain private plaintiff cases alleging price-fixing and other anticompetitive conduct with respect to |
Other Comprehensive Loss
Other Comprehensive Loss | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
OTHER COMPREHENSIVE INCOME (LOSS) | NOTE 15. OTHER COMPREHENSIVE LOSS The following table presents the tax effects allocated to each component of Other comprehensive income (loss) for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 Before-Tax Amount Tax Benefit (Expense) Net-of-Tax Amount Before-Tax Amount Tax Benefit (Expense) Net-of-Tax Amount Before-Tax Amount Tax (Expense) Benefit Net-of-Tax Amount Net unrealized (loss) gain on securities: Unrealized (loss) gain arising during the period $ (811 ) $ 296 $ (515 ) $ (1,588 ) $ 674 $ (914 ) $ 2,349 $ (50 ) $ 2,299 Less: reclassification adjustments for gain realized in net loss — — — (6 ) — (6 ) — — — Net unrealized (losses) gains $ (811 ) $ 296 $ (515 ) $ (1,594 ) $ 674 $ (920 ) $ 2,349 $ (50 ) $ 2,299 Net unrealized gain (loss) on foreign currency: Foreign currency translation gain (loss) arising during the period 31,202 — 31,202 18,267 13,462 31,729 (263,425 ) (21,297 ) (284,722 ) Less: reclassification adjustments for loss realized in net loss 112,926 — 112,926 — — — 25,557 158 25,715 Foreign currency translation gain (loss) $ 144,128 $ — $ 144,128 $ 18,267 $ 13,462 $ 31,729 $ (237,868 ) $ (21,139 ) $ (259,007 ) Other comprehensive income (loss) $ 143,317 $ 296 $ 143,613 $ 16,673 $ 14,136 $ 30,809 $ (235,519 ) $ (21,189 ) $ (256,708 ) Reclassification adjustments out of Other comprehensive income (loss) related to foreign currency translation were recorded upon the liquidation of Litha and Somar during 2017 and the AMS Men’s Health and Prostate Health businesses during 2015. The following is a summary of the accumulated balances related to each component of Other comprehensive income (loss) , net of taxes, at December 31, 2017 and December 31, 2016 (in thousands): December 31, 2017 December 31, 2016 Net unrealized gains $ 380 $ 895 Foreign currency translation loss (210,201 ) (354,329 ) Accumulated other comprehensive loss $ (209,821 ) $ (353,434 ) |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
SHAREHOLDERS' EQUITY | NOTE 16. SHAREHOLDERS' EQUITY On February 11, 2014, the Company issued 4,000,000 euro deferred shares of $0.01 each at par. The euro deferred shares are held by nominees in order to satisfy an Irish legislative requirement to maintain a minimum level of issued share capital denominated in euro and to have at least seven registered shareholders. The euro deferred shares carry no voting rights and are not entitled to receive any dividend or distribution. On January 29, 2015, the Company acquired Auxilium for total consideration of $2.6 billion . The consideration included 18,609,835 ordinary shares valued at $1.52 billion . The acquisition is described in more detail in Note 5. Acquisitions . On June 10, 2015, we completed the sale of 27,627,628 ordinary shares, including 3,603,603 ordinary shares sold upon the exercise in full by the underwriters of their option to purchase additional ordinary shares from us, at a price of $83.25 per share, for aggregate gross proceeds to us of $2.30 billion , before fees, in order to finance a portion of the Par acquisition, which is described in more detail in Note 5. Acquisitions . On September 25, 2015, the Company acquired Par for total consideration of $8.14 billion . The consideration included 18,069,899 ordinary shares valued at $1.33 billion . During the year ended December 31, 2015, the Company completed a buy-out of the noncontrolling interest associated with its Litha subsidiary. The following table reflects the effect on the Company’s equity for the year ended December 31, 2015 (in thousands): 2015 Adjustment to Accumulated other comprehensive loss related to the reallocation (from noncontrolling to controlling interests) of foreign currency translation loss attributable to our noncontrolling interest in Litha $ (3,904 ) Decrease in noncontrolling interests for buy-out of Litha (32,732 ) Decrease in additional paid-in capital for buy-out of Litha (2,972 ) Total cash consideration paid related to buy-out of Litha $ (39,608 ) Share Repurchase Program The Company has broad shareholder authority pursuant to Article 11 of the Company’s Articles of Association to conduct repurchase by way of redemptions of its ordinary shares. Pursuant to the 2014 Share Buyback Authority, in April 2015, our Board of Directors approved a share buyback program (the 2015 Share Buyback Program). The 2015 Share Buyback Program authorized the Company to redeem in the aggregate $2.5 billion of its outstanding ordinary shares. As permitted by Irish Law and the Company’s Articles of Association, all ordinary shares redeemed under the 2015 Share Buyback Program shall be cancelled upon redemption. In November 2015, the Company entered into a program to repurchase by way of redemption up to $250.0 million of its ordinary shares under the 2015 Share Buyback Program. The Company redeemed and cancelled approximately 4.4 million of its ordinary shares during November 2015 totaling $250.0 million , not including related fees. |
Shared-based Compensation
Shared-based Compensation | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Shared-based Compensation | NOTE 17. SHARE-BASED COMPENSATION As discussed in Note 3. Discontinued Operations and Assets and Liabilities Held for Sale , the operating results of the Company’s AMS businesses are reported as Discontinued operations, net of tax in the Consolidated Statements of Operations for all periods presented. However, as share-based compensation is not material for these businesses, amounts in this Note 17. Share-based Compensation have not been adjusted to exclude the impact of these businesses. Stock Incentive Plans In June 2015, the Company’s shareholders approved the 2015 Stock Incentive Plan (the 2015 Plan). As of the effective date of the 2015 Plan, 10.0 million ordinary shares, including the transfer of 5.0 million ordinary shares available to be granted under the previous 2010 Stock Incentive Plan, were reserved for the granting of stock options (including incentive stock options), stock appreciation rights, restricted stock awards, performance awards and other share-based awards, which may be issued at the discretion of the Company’s board of directors from time to time. Upon the approval of the 2015 Plan, no additional ordinary shares were to be granted under the previously approved plans, including the Company’s 2000, 2004, 2007, 2010 and Assumed Stock Incentive Plans. All awards previously granted and outstanding under the prior plans remain subject to the terms of those prior plans. During the second quarter of 2017, the Company’s shareholders approved an amendment to the 2015 Plan. The plan was amended and restated to increase the number of the Company’s ordinary shares that may be issued with respect to awards under the Plan by 10.0 million ordinary shares and to make certain other changes to the Plan’s terms. The shares were registered in August 2017. During the third quarter of 2017, the Company issued approximately 1.0 million stock options and 0.1 million restricted stock units for which a grant date has not been established as the awards are subject to shareholder approval at the Company’s 2018 Annual General Meeting of Shareholders. If approved, the options will have an exercise price equal to the closing share price on their issuance date in August 2017. Additionally, at December 31, 2017 , there are 0.3 million performance share units, representing target amounts, for which a grant date has not yet been established. At December 31, 2017 , approximately 8.8 million ordinary shares were reserved for future grants under the 2015 Plan. Options and awards which have been issued but for which a grant date has not yet been established are excluded from this amount. As of December 31, 2017 , stock options, restricted stock awards, performance stock units and restricted stock units have been granted under the stock incentive plans. Generally, the grant-date fair value of each award is recognized as expense over the requisite service period. However, expense recognition differs in the case of certain performance share units where the ultimate payout is performance-based. For these awards, at each reporting period, the Company estimates the ultimate payout and adjusts the cumulative expense based on its estimate and the percent of the requisite service period that has elapsed. The Company recognized share-based compensation expense of $50.1 million , $59.8 million and $98.8 million during the years ended December 31, 2017 , 2016 and 2015 , respectively. The share-based compensation expense recognized during the year ended December 31, 2015 includes a charge related to the acceleration of Auxilium employee equity awards at closing of $37.6 million and $11.4 million of expense related to certain AMS equity awards modified in conjunction with the anticipated sale of the business. The AMS amounts are recorded in Discontinued Operations, net of tax. As of December 31, 2017 , the total remaining unrecognized compensation cost related to all non-vested share-based compensation awards for which a grant date has been established as of December 31, 2017 amounted to $58.2 million . Presented below is the allocation of share-based compensation as recorded in our Consolidated Statements of Operations for the years ended December 31, 2017, 2016 and 2015 (in thousands). 2017 2016 2015 Selling, general and administrative expenses $ 38,292 $ 54,176 $ 79,928 Research and development expenses 4,197 2,440 2,388 Cost of revenues 7,660 2,040 2,241 Discontinued operations (Note 3) — 1,113 14,231 Total share-based compensation expense $ 50,149 $ 59,769 $ 98,788 Stock Options During the years ended December 31, 2017 , 2016 and 2015 , the Company granted stock options to employees of the Company as part of their annual share compensation award and, in certain circumstances, on an ad hoc basis or upon their commencement of service with the Company. For options for which a grant date has not yet occurred, no fair value has been established and these options are not reflected in any of the amounts in this “Stock Options” section. Employee stock options generally vest ratably, in equal amounts, over a three or four -year service period and expire ten years from the grant date. The fair value of option grants is estimated at the date of grant using the Black-Scholes option-pricing model. This model utilizes assumptions related to volatility, the risk-free interest rate, the dividend yield (which is assumed to be zero as the Company has not paid cash dividends to date and does not currently expect to pay cash dividends) and the expected term of the option. Expected volatilities utilized in the model are based mainly on the historical volatility of the Company’s share price over a period commensurate with the expected life of the share option as well as other factors. The risk-free interest rate is derived from the U.S. Treasury yield curve in effect at the time of grant. We estimate the expected term of options granted based on our historical experience with our employees’ exercise of stock options and other factors. A summary of the activity for each of the years ended December 31, 2017, 2016 and 2015 is presented below: Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term Aggregate Intrinsic Value (1) Outstanding as of January 1, 2015 3,063,352 $ 40.15 Granted 794,757 $ 77.27 Exercised (880,885 ) $ 30.93 Forfeited (201,397 ) $ 72.24 Expired (7,260 ) $ 45.20 Outstanding as of December 31, 2015 2,768,567 $ 51.56 Granted 2,578,105 $ 35.45 Exercised (62,589 ) $ 31.19 Forfeited (858,556 ) $ 52.27 Expired (100,318 ) $ 60.71 Outstanding as of December 31, 2016 4,325,209 $ 41.70 Granted 5,288,675 $ 10.42 Forfeited (623,987 ) $ 28.32 Expired (741,767 ) $ 40.29 Outstanding as of December 31, 2017 8,248,130 $ 22.79 7.87 $ 493,979 Vested and expected to vest as of December 31, 2017 7,633,410 $ 23.46 7.76 $ 435,456 Exercisable as of December 31, 2017 1,826,250 $ 42.39 3.99 $ — __________ (1) The intrinsic value of a stock option is the excess, if any, of the closing price of the Company’s ordinary shares on the last trading day of the fiscal year over the exercise price. The aggregate intrinsic values presented in the table above represent sum of the intrinsic values of all corresponding stock options that are “in-the-money.” The range of exercise prices for the above stock options outstanding at December 31, 2017 is from $7.55 to $89.68 . No options were exercised during the year ended December 31, 2017. The total intrinsic value of options exercised during the years ended December 31, 2016 and 2015 was $1.3 million and $27.2 million , respectively. No tax benefits from stock option exercises were realized during the years ended December 31, 2017 and 2016. Tax benefits from stock option exercises during the year ended December 31, 2015 were $11.7 million . The weighted average grant date fair value of the stock options granted in the years ended December 31, 2017, 2016 and 2015 was $4.73 , $11.46 and $21.09 per option, respectively, determined using the following average assumptions: 2017 2016 2015 Expected term (years) 4.0 4.0 4.0 Risk-free interest rate 1.7 % 1.1 % 1.3 % Dividend yield — — — Expected volatility 58 % 43 % 32 % As of December 31, 2017 , the weighted average remaining requisite service period of the non-vested stock options was 2.5 years and the total remaining unrecognized compensation cost related to non-vested stock options amounted to $21.1 million . Restricted Stock Units and Performance Share Units During the years ended December 31, 2017 , 2016 and 2015 , the Company granted restricted stock units (RSUs) and performance share units (PSUs) to employees of the Company as part of their annual share compensation award and, in certain circumstances, on an ad hoc basis or upon their commencement of service with the Company. For RSUs and PSUs for which a grant date has not yet occurred, no fair value has been established and these awards are not reflected in any of the amounts in this “Restricted Stock Units and Performance Share Units” section. RSUs vest ratably, in equal amounts, over a three or four -year service period. PSUs vest in full after a three -year service period and are conditional upon the achievement of performance or market conditions established by the compensation committee of the Board of Directors. PSUs granted in 2017 were based upon two discrete measures: relative total shareholder return (TSR) and a free cash flow performance metric. The free cash flow performance metric, which accounts for 50% of the PSU award at grant, will be measured annually over a 3 -year performance cycle. The remaining 50% of the PSU award is tied exclusively to relative TSR performance, which will be measured against the 3 -year TSR of a custom index of companies. The actual number of shares awarded is adjusted to between zero and 200% of the target award amount based upon achievement of certain goals. In addition to meeting the conditions required by both the TSR and free cash flow portions of the awards, grant recipients are also subject to being employed by the Company following the completion of the 3 -year period in order to receive the awards. TSR relative to peers is considered a market condition under applicable authoritative guidance, while the free cash flow measure is considered performance condition. In 2016, PSU grants are tied to relative TSR performance, which will be measured against the 3 -year TSR of a custom index of companies, with maximum payout levels also based on absolute compounded annual growth rate (CAGR) stock price objectives. Each award covered a 3 -year performance cycle. The actual number of shares awarded is adjusted to between zero and 300% of the target award amount based upon achievement of pre-determined relative TSR and CAGR stock price goals. TSR relative to peers is considered a market condition under applicable authoritative guidance. Starting in 2014 and continuing in 2015, PSU grants are tied to the attainment of absolute CAGR for the Company’s ordinary share price, which is considered a market condition under applicable authoritative guidance. Each award covers a 3 -year performance cycle. The actual number of shares awarded is adjusted to between zero and 300% of the target award amount based upon achievement of pre-determined CAGR goals. RSUs are valued based on the closing price of Endo’s ordinary shares on the date of grant. PSUs with TSR conditions are valued using a Monte-Carlo variant valuation model, while those with adjusted free cash flow conditions are valued taking into consideration the probability of achieving the specified performance goal. The Monte-Carlo variant valuation model considered a variety of potential future share prices for Endo as well as our peer companies in a selected market index. A summary of our nonvested RSUs and PSUs for the years ended December 31, 2017, 2016 and 2015 is presented below: Number of Shares Aggregate Intrinsic Value (1) Nonvested as of January 1, 2015 1,654,753 Granted 927,214 Forfeited (251,351 ) Vested (523,763 ) Nonvested as of December 31, 2015 1,806,853 Granted 1,582,429 Forfeited (975,994 ) Vested (728,228 ) Nonvested as of December 31, 2016 1,685,060 Granted 4,168,477 Forfeited (552,981 ) Vested (575,883 ) Nonvested as of December 31, 2017 4,724,673 $ 36,616,216 Vested and expected to vest as of December 31, 2017 4,337,839 $ 33,618,256 __________ (1) The aggregate intrinsic values of RSUs and PSUs presented in the table above are calculated by multiplying the closing price of the Company’s ordinary shares on the last trading day of the fiscal year by the corresponding number of RSUs and PSUs. As of December 31, 2017 , the weighted average remaining requisite service period of these units was 2.1 years. The weighted average grant date fair value of the units granted during the years ended December 31, 2017 , 2016 and 2015 was $11.42 , $43.52 and $72.34 per unit, respectively. As of December 31, 2017 , the total remaining unrecognized compensation cost related to non-vested RSUs and PSUs amounted to $30.8 million and $6.3 million , respectively. |
Other Expense (Income), Net
Other Expense (Income), Net | 12 Months Ended |
Dec. 31, 2017 | |
Component of Operating Income [Abstract] | |
OTHER EXPENSE (INCOME), NET | NOTE 18. OTHER EXPENSE (INCOME), NET The components of Other (income) expense, net for the for the years ended December 31, 2017, 2016 and 2015 are as follows (in thousands): 2017 2016 2015 Foreign currency (gain) loss, net $ (2,801 ) $ 2,991 (23,058 ) Equity loss (earnings) from investments accounted for under the equity method, net 898 (1,190 ) 3,217 Other-than-temporary impairment of equity investment — — 18,869 Legal settlement — — (12,500 ) Costs associated with unused financing commitments — — 78,352 Other miscellaneous, net (15,120 ) (2,139 ) (1,189 ) Other (income) expense, net $ (17,023 ) $ (338 ) $ 63,691 Foreign currency (gain) loss, net results from the remeasurement of the Company’s foreign currency denominated assets and liabilities. In 2017, other miscellaneous, net includes a $10.1 million gain resulting from the sale of Litha, as further described in Note 3. Discontinued Operations and Assets and Liabilities Held for Sale . During 2015, the Company recognized an other-than-temporary impairment of its Litha joint venture investment, totaling $18.9 million , reflecting the excess carrying amount of this investment over its estimated fair value. In addition, the Company incurred $78.4 million during 2015 related to unused commitment fees primarily associated with financing for the Par acquisition. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | NOTE 19. INCOME TAXES Tax Reform The TCJA, which was signed into law on December 22, 2017, has resulted in significant changes to the U.S. corporate income tax system. In addition to the reduction of the U.S. statutory federal corporate income tax rate from 35% to 21% effective January 1, 2018, the TCJA contains a broad range of provisions, many of which differ significantly from those contained in previous U.S. tax law. Key provisions of the TCJA, which generally became effective January 1, 2018, include expanded limitations on the deductibility of interest, immediate expensing of capital expenditures, the creation of a new anti-base erosion minimum tax system that among other things limits the deductibility of certain payments made to related foreign entities, the introduction of a territorial tax system beginning in 2018, a one-time deemed repatriation of foreign earnings subject to a transition tax and the modification or repeal of many business deductions and credits. Although the rate of U.S. federal income tax will be reduced in the future, changes in tax rates and laws are accounted for in the period of enactment. Therefore, during the year ended December 31, 2017, we recorded a benefit of $36.2 million as our current estimate of the provisions of the TCJA. This benefit, which is primarily related to remeasurement of deferred tax liabilities related to tax deductible goodwill, has been recorded in our Consolidated Statements of Operations as Income tax benefit. We have recorded the aforementioned net benefit based on currently available information and interpretations of the TCJA. In accordance with authoritative guidance issued by the SEC, the income tax effect for certain aspects of the TCJA may represent provisional amounts for which our accounting is incomplete but a reasonable estimate could be determined and recorded during the fourth quarter of 2017. We consider amounts related to the various transition rules and interpretations of the TCJA to be provisional. Accordingly, we will continue to evaluate the impacts of the TCJA, including administrative and regulatory guidance as it becomes available. The measurement and existence of current and non-current income tax payables and/or the remeasurement of deferred tax assets and liabilities may change upon finalization of our analysis, which is expected to occur no later than one year from the date of the TCJA’s enactment. Any adjustment to a provisional amount identified during the one-year measurement period will be recorded as an income tax expense or benefit in the period the adjustment is determined. Income (Loss) Before Income Taxes Our operations are conducted through our various subsidiaries in numerous jurisdictions throughout the world. We have provided for income taxes based upon the tax laws and rates in the countries in which our operations are conducted. The components of our Loss from continuing operations before income tax by geography for the years ended December 31, 2017, 2016 and 2015 are as follows (in thousands): 2017 2016 2015 United States $ (1,866,222 ) $ (4,309,211 ) $ (626,740 ) International 383,218 385,355 (811,124 ) Total (loss) income from continuing operations before income tax $ (1,483,004 ) $ (3,923,856 ) $ (1,437,864 ) Income tax from continuing operations consists of the following for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 Current: U.S. Federal $ (86,478 ) $ 18,369 $ (308,909 ) U.S. State (6,462 ) 9,501 (5,600 ) International (1,224 ) 22,851 16,722 Total current income tax $ (94,164 ) $ 50,721 $ (297,787 ) Deferred: U.S. Federal $ (124,682 ) $ (661,484 ) $ (779,757 ) U.S. State (3,225 ) (239 ) (70,221 ) International (28,222 ) (83,619 ) (9,376 ) Total deferred income tax $ (156,129 ) $ (745,342 ) $ (859,354 ) Excess tax benefits of stock compensation exercised $ — $ (5,463 ) $ 19,676 Valuation allowance — — — Total income tax $ (250,293 ) $ (700,084 ) $ (1,137,465 ) Tax Rate A reconciliation of income tax from continuing operations at the U.S. federal statutory income tax rate to the total income tax provision from continuing operations for the years ended December 31, 2017, 2016 and 2015 is as follows (in thousands): 2017 2016 2015 Notional U.S. federal income tax provision at the statutory rate $ (519,051 ) $ (1,373,350 ) $ (503,271 ) State income tax, net of federal benefit (11,473 ) 5,182 (45,823 ) U.S. tax reform impact (36,216 ) — — Uncertain tax positions 58,120 (18,111 ) 30,974 Residual tax on non-U.S. net earnings (1,350,811 ) (301,666 ) (359,831 ) Effects of outside basis differences — (636,134 ) (786,130 ) Non-deductible goodwill impairment 60,808 926,881 248,403 Change in valuation allowance 1,648,836 762,604 278,339 Intra-entity transfers of assets (53,509 ) (92,859 ) — International Pharmaceuticals segment divestitures (56,092 ) — — Other 9,095 27,369 (126 ) Income tax $ (250,293 ) $ (700,084 ) $ (1,137,465 ) During the year ended December 31, 2017, the tax benefit primarily related to pre-tax losses incurred by certain U.S. subsidiaries. During the year ended December 31, 2016, the Company recorded a $636.1 million net tax benefit related to worthless stock deductions that are reflected as a component of benefits from outside basis differences. During the year ended December 31, 2015, the Company recorded a $674.2 million net tax benefit predominately related to a worthless stock deduction directly attributable to mesh product liability losses that is reflected as a component of benefits from outside basis differences. The Company claimed the worthless stock deduction on its 2015 U.S. Federal and State income tax returns. Deferred Tax Assets and Liabilities Deferred income taxes result from temporary differences between the amount of assets and liabilities recognized for financial reporting and tax purposes. Excluding assets and liabilities held for sale, the significant components of the net deferred income tax liability shown on the balance sheets as of December 31, 2017 and 2016 are as follows (in thousands): 2017 2016 Deferred tax assets: Accrued expenses and customer allowances $ 299,142 $ 232,101 Compensation related to stock options 20,108 24,246 Deferred interest expense 46,230 57,440 Fixed assets and intangible assets 484,313 55,473 Loss on capital assets 49,585 9,904 Net operating loss carryforward 7,183,651 4,410,386 Other 32,356 30,262 Research and development credit carryforward 4,838 4,244 Tax credit carryforwards 1,516 4,520 Uncertain tax positions 4,364 10,562 Total gross deferred income tax assets $ 8,126,103 $ 4,839,138 Deferred tax liabilities: Other $ (2,042 ) $ — Outside basis difference (92,635 ) (182,409 ) Total gross deferred income tax liabilities $ (94,677 ) $ (182,409 ) Valuation allowance (8,062,975 ) (4,841,209 ) Net deferred income tax liability $ (31,549 ) $ (184,480 ) At December 31, 2017 , the Company had the following significant deferred tax assets for net operating and capital loss carryforwards, net of unrecognized tax benefits (in thousands): Jurisdiction 2017 Begin to Expire Ireland $ 43,965 indefinite Luxembourg $ 6,847,805 2034 United States: Federal-ordinary losses $ 115,518 2020 Federal-capital losses $ 27,114 2022 State-ordinary losses $ 172,439 2018 State-capital losses $ 20,920 2026 A valuation allowance is required when it is more likely than not that all or a portion of a deferred tax asset will not be realized. The Company assesses the available positive and negative evidence to estimate if sufficient future taxable income will be generated to use the existing deferred tax assets. The amount of the deferred tax asset considered realizable, however, could be adjusted if estimates of future taxable income during the carryforward period are reduced or increased, or if objective negative evidence, in the form of cumulative losses, is no longer present and additional weight may be given to subjective evidence, such as projections for growth. The Company has recorded a valuation allowance against certain jurisdictional net operating loss carryforwards and other tax attributes. As of December 31, 2017 and 2016 , the total valuation allowance, including amounts classified as held for sale, was $8,063.0 million and $4,841.2 million , respectively. During the years ended December 31, 2017 and 2016 , the Company increased its valuation allowance in the amount of $3,221.8 million and $4,414.2 million , respectively. The net increase in the Company’s valuation allowance in 2017 was primarily driven by: (i) $3,310.8 million related to losses within jurisdictions unable to support recognition of a deferred tax asset, of which the largest jurisdiction was Luxembourg, where the Company recognized a significant loss on its investment in the equity of consolidated subsidiaries, (ii) the establishment of a $479.7 million valuation allowance offsetting net deferred tax assets created in connection with the adoption of ASU 2016-16 that primarily related to certain intangibles and tax deductible goodwill, which is further described in Note 2. Summary of Significant Accounting Policies and (iii) $21.5 million relating to state tax benefits. This increase was partially offset by a $590.2 million reduction related to remeasurement of certain deferred tax assets resulting from the TCJA. The net increase in the Company’s valuation allowance in 2016 was primarily split into three main components: (i) $3,950.1 million related to losses within jurisdictions unable to support recognition of a deferred tax asset, the largest jurisdiction of which was Luxembourg, where the Company recognized a material loss on its investment in the equity of consolidated subsidiaries, (ii) $67.1 million relating to state tax benefits and (iii) $400.8 million related to recording a valuation allowance on U.S. deferred tax assets. At December 31, 2017 , the Company had the following significant valuation allowances (in thousands): Jurisdiction 2017 Canada $ 2,228 Ireland $ 99,194 Luxembourg $ 6,847,805 United States $ 1,110,172 We have provided income taxes for earnings that are currently distributed as well as the taxes associated with certain earnings that are expected to be distributed in the future. No additional provision has been made for Irish and non-Irish income taxes on the undistributed earnings of subsidiaries or for unrecognized deferred tax liabilities for temporary differences related to basis differences in investments in subsidiaries as such earnings are expected to be indefinitely reinvested, the investments are essentially permanent in duration. As of December 31, 2017 , certain subsidiaries had approximately $169.8 million of cumulative undistributed earnings that have been permanently reinvested because our plans do not demonstrate a need to repatriate such earnings. A liability could arise if our intention to indefinitely reinvest such earnings were to change and amounts are distributed by such subsidiaries or if such subsidiaries are ultimately disposed. It is not practicable to estimate the additional income taxes related to indefinitely reinvested earnings or the basis differences related to investments in subsidiaries. Uncertain Tax Positions The Company and its subsidiaries are subject to income taxes in the U.S., various states and numerous foreign jurisdictions with varying statutes as to which tax years are subject to examination by the tax authorities. The Company has taken positions on its tax returns that may be challenged by various tax authorities for which reserves have been established for tax-related uncertainties. These accruals for tax-related uncertainties are based on the Company’s best estimate of the potential tax exposures. When particular matters arise, a number of years may elapse before such matters are audited and finally resolved. Favorable resolution of such matters could be recognized as a reduction of the Company’s effective tax rate in the year of resolution. Resolution of any particular issue could increase the effective tax rate and may require the use of cash in the year of resolution. As of December 31, 2017 , the Company had total unrecognized income tax benefits of $435.1 million . If recognized in future years, $289.9 million of these currently unrecognized income tax benefits would impact the income tax provision and effective tax rate. As of December 31, 2016 , the Company had total unrecognized tax benefits of $443.6 million . If recognized in future years, $435.4 million of these unrecognized income tax benefits would have impacted the income tax provision and effective tax rate. The following table summarizes the activity related to unrecognized income tax benefits (in thousands): Unrecognized UTB Balance at January 1, 2015 $ 105,330 Gross additions for current year positions 65,439 Gross reductions for prior period positions (234 ) Gross additions for prior period positions 3,460 Decrease due to lapse of statute of limitations (75 ) Additions related to acquisitions 150,152 Currency translation adjustment (7,825 ) UTB Balance at December 31, 2015 $ 316,247 Gross additions for current year positions 142,778 Gross reductions for prior period positions (35,888 ) Gross additions for prior period positions 2,111 Decrease due to lapse of statute of limitations (3,085 ) Additions related to acquisitions 2,350 Currency translation adjustment 88 UTB Balance at December 31, 2016 $ 424,601 Gross additions for current year positions 44,293 Gross reductions for prior period positions (64,887 ) Gross additions for prior period positions 22,765 Decrease due to lapse of statute of limitations (13,151 ) Additions related to acquisitions — Currency translation adjustment 2,330 UTB Balance at December 31, 2017 $ 415,951 Accrued interest and penalties 19,185 Total UTB balance including accrued interest and penalties $ 435,136 Current portion $ 17,100 Non-current portion $ 418,036 The Company records accrued interest as well as penalties related to uncertain tax positions as part of the provision for income taxes. As of December 31, 2017 , we had recorded $19.2 million of accrued interest and penalties related to uncertain tax positions on the Consolidated Balance Sheet, all of which was recorded in income taxes. As of December 31, 2016 , the balance of accrued interest and penalties was $19.0 million , all of which was recorded in income taxes. During the years ended December 31, 2017 , 2016 , and 2015 , we recognized expense of $1.4 million , $5.1 million and $1.6 million , respectively, related to interest and penalties. The current and non-current portions of our UTB balance are included in our Consolidated Balance Sheet as Accounts payable and accrued expenses, Other liabilities or, if appropriate, as a reduction to Deferred tax assets. Our subsidiaries file income tax returns in the countries in which they have operations. Generally, these countries have statutes of limitations ranging from 3 to 10 years . Certain subsidiary tax returns are currently under examination by taxing authorities, including U.S. tax returns for the 2011 through 2015 tax years by the Internal Revenue Service. It is expected that the amount of unrecognized tax benefits will change during the next twelve months; however, the Company does not anticipate any adjustments that would lead to a material impact on our results of operations or our financial position. As of December 31, 2017 , we may be subject to examination in the major tax jurisdictions: Jurisdiction Open Years Canada 2013 through 2017 India 2012 through 2017 Ireland 2014 through 2017 Luxembourg 2013 through 2017 United States - federal, state and local 2006 through 2017 |
Net Loss Per Share
Net Loss Per Share | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
NET LOSS PER SHARE | NOTE 20. NET LOSS PER SHARE The following is a reconciliation of the numerator and denominator of basic and diluted net loss per share for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 Numerator: Loss from continuing operations $ (1,232,711 ) $ (3,223,772 ) $ (300,399 ) Less: Net income (loss) from continuing operations attributable to noncontrolling interests — 16 (283 ) Loss from continuing operations attributable to Endo International plc ordinary shareholders $ (1,232,711 ) $ (3,223,788 ) $ (300,116 ) Loss from discontinued operations attributable to Endo International plc ordinary shareholders, net of tax (802,722 ) (123,278 ) (1,194,926 ) Net loss attributable to Endo International plc ordinary shareholders $ (2,035,433 ) $ (3,347,066 ) $ (1,495,042 ) Denominator: For basic per share data—weighted average shares 223,198 222,651 197,100 Dilutive effect of ordinary share equivalents — — — Dilutive effect of various convertible notes and warrants — — — For diluted per share data—weighted average shares 223,198 222,651 197,100 Basic net loss per share data is computed based on the weighted average number of ordinary shares outstanding during the period. Diluted loss per share data is computed based on the weighted average number of ordinary shares outstanding and, if there is net income from continuing operations attributable to Endo ordinary shareholders during the period, the dilutive impact of ordinary share equivalents outstanding during the period. The dilutive effect of ordinary share equivalents are measured under the treasury stock method. Due to the Company’s adoption of ASU 2016-09, effective January 1, 2017, the Company no longer considers excess tax benefits resulting from share-based compensation awards when applying the treasury stock method to calculate diluted weighted average shares outstanding. Therefore, the adoption of this ASU will have the effect of increasing dilution in periods where there is net income from continuing operations attributable to Endo ordinary shareholders and there are weighted average dilutive awards outstanding. Stock options and awards that have been issued but for which a grant date has not yet been established, such as those discussed in Note 17. Share-based Compensation , are not considered in the calculation of basic of diluted weighted average shares. All potentially dilutive items were excluded from the diluted share calculation for the years ended December 31, 2017, 2016 and 2015 because their effect would have been anti-dilutive, as the Company was in a loss position. |
Savings And Investment Plan And
Savings And Investment Plan And Deferred Compensation Plans | 12 Months Ended |
Dec. 31, 2017 | |
Savings And Investment Plan And Deferred Compensation Plans [Abstract] | |
Savings And Investment Plan And Deferred Compensation Plans | NOTE 21. SAVINGS AND INVESTMENT PLAN AND DEFERRED COMPENSATION PLANS Savings and Investment Plan The Company maintains a defined contribution Savings and Investment Plan (the Endo 401(k) Plan) covering all U.S.-based eligible employees. The Company matches 100% of the first 3% of eligible cash compensation that a participant contributes to the Endo 401(k) Plan plus 50% of the next 2% for a total of up to 4% , subject to statutory limitations. Participants are immediately vested with respect to their own contributions and the Company’s matching contributions. Costs incurred for contributions made by the Company to the Endo 401(k) Plan amounted to $9.4 million , $11.5 million and $8.6 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. Directors Stock Election Plan The Company maintains a directors stock election plan. The purpose of this plan is to provide non-employee directors the opportunity to have their retainer fees, or a portion thereof, delivered in the form of Endo ordinary shares. The amount of shares will be determined by dividing the portion of cash fees elected to be received as shares by the closing price of the shares on the day the payment would have otherwise been paid in cash. |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Data [Abstract] | |
Quarterly Financial Data (Unaudited) | NOTE 22. QUARTERLY FINANCIAL DATA (UNAUDITED) The following table presents select unaudited financial data for each of the three-month periods ending March 31, 2017 , June 30, 2017 , September 30, 2017 and December 31, 2017 , as well as the comparable 2016 periods (in thousands, except per share data): Quarter Ended March 31, June 30, September 30, December 31, 2017 (1) Total revenues $ 1,037,600 $ 875,731 $ 786,887 $ 768,640 Gross profit $ 368,638 $ 336,330 $ 272,365 $ 262,995 Loss from continuing operations $ (165,423 ) $ (696,020 ) $ (99,687 ) $ (271,581 ) Discontinued operations, net of tax $ (8,405 ) $ (700,498 ) $ 3,017 $ (96,836 ) Net loss attributable to Endo International plc $ (173,828 ) $ (1,396,518 ) $ (96,670 ) $ (368,417 ) Net loss per share attributable to Endo International plc ordinary shareholders—Basic: Continuing operations $ (0.74 ) $ (3.12 ) $ (0.45 ) $ (1.22 ) Discontinued operations (0.04 ) (3.14 ) 0.02 (0.43 ) Basic $ (0.78 ) $ (6.26 ) $ (0.43 ) $ (1.65 ) Net loss per share attributable to Endo International plc ordinary shareholders—Diluted: Continuing operations $ (0.74 ) $ (3.12 ) $ (0.45 ) $ (1.22 ) Discontinued operations (0.04 ) (3.14 ) 0.02 (0.43 ) Diluted $ (0.78 ) $ (6.26 ) $ (0.43 ) $ (1.65 ) Weighted average shares—Basic 223,014 223,158 223,299 223,322 Weighted average shares—Diluted 223,014 223,158 223,299 223,322 2016 (2) Total revenues $ 963,539 $ 920,887 $ 884,335 $ 1,241,513 Gross profit $ 274,834 $ 288,669 $ 326,863 $ 484,935 (Loss) income from continuing operations $ (88,763 ) $ 389,812 $ (191,496 ) $ (3,333,325 ) Discontinued operations, net of tax $ (45,108 ) $ (46,216 ) $ (27,423 ) $ (4,531 ) Net (loss) income attributable to Endo International plc $ (133,869 ) $ 343,578 $ (218,919 ) $ (3,337,856 ) Net (loss) income per share attributable to Endo International plc ordinary shareholders—Basic: Continuing operations $ (0.40 ) $ 1.75 $ (0.86 ) $ (14.96 ) Discontinued operations (0.20 ) (0.21 ) (0.12 ) (0.02 ) Basic $ (0.60 ) $ 1.54 $ (0.98 ) $ (14.98 ) Net (loss) income per share attributable to Endo International plc ordinary shareholders—Diluted: Continuing operations $ (0.40 ) $ 1.75 $ (0.86 ) $ (14.96 ) Discontinued operations (0.20 ) (0.21 ) (0.12 ) (0.02 ) Diluted $ (0.60 ) $ 1.54 $ (0.98 ) $ (14.98 ) Weighted average shares—Basic 222,302 222,667 222,767 222,870 Weighted average shares—Diluted 222,302 222,863 222,767 222,870 __________ (1) Loss from continuing operations for the year ended December 31, 2017 was impacted by (1) acquisition-related and integration items of $10.9 million , $4.2 million , $16.6 million and $26.4 million during the first, second, third and fourth quarters, respectively, including charges due to changes in the fair value of contingent consideration of $6.2 million , $2.0 million , $15.4 million and $26.4 million , respectively; (2) asset impairment charges of $204.0 million , $725.0 million , $94.9 million and $130.4 million during the first, second, third and fourth quarters, respectively; (3) certain cost reductions and separation benefits incurred in connection with continued efforts to enhance the Company’s operations and other miscellaneous costs of $22.7 million , $24.6 million , $80.7 million and $84.5 million during the first, second, third and fourth quarters, respectively; (4) charges/(benefits) related to litigation-related and other contingent matters totaling $0.9 million , $(2.6) million , $(12.4) million and $200.0 million during the first, second, third and fourth quarters, respectively, and (5) loss on extinguishment of debt of $51.7 million during the second quarter. As previously reported in our Quarterly Report on Form 10-Q for the quarter ended September 30, 2017, the third quarter numbers above reflect a $14.2 million correcting entry to increase asset impairment charges resulting from certain assets that should have been impaired during the second quarter. (2) (Loss) income from continuing operations for the year ended December 31, 2016 was impacted by (1) acquisition-related and integration items of $12.6 million , $48.2 million , $19.5 million and $7.4 million during the first, second, third and fourth quarters, respectively, including charges/(benefits) of $(10.7) million , $23.9 million , $11.6 million and $(1.0) million during the first, second, third and fourth quarters, respectively; (2) asset impairment charges of $129.6 million , $40.0 million , $93.5 million and $3,518.1 million during the first, second, third and fourth quarters, respectively; (3) inventory step-up and certain manufacturing costs that will be eliminated pursuant to integration plans of $68.5 million , $29.1 million , $14.2 million and $13.9 million during the first, second, third and fourth quarters, respectively; (4) certain cost reductions and separation benefits incurred in connection with continued efforts to enhance the Company’s operations and other miscellaneous costs of $38.5 million , $22.2 million , $9.8 million and $37.1 million during the first, second, third and fourth quarters, respectively, and (5) charges/(benefits) related to litigation-related and other contingent matters totaling $5.2 million , $5.3 million , $18.3 million and $(4.8) million during the first, second, third and fourth quarters, respectively. Quarterly and year-to-date computations of per share amounts are made independently, therefore, the sum of the per share amounts for the quarters may not equal the per share amounts for the year. As further described in Note 3. Discontinued Operations and Assets and Liabilities Held for Sale , we sold our Litha business on July 3, 2017 and our Somar business on October 25, 2017. Both of these businesses were part of our International Pharmaceuticals segment. Neither business met the requirements for presentation as discontinued operations. The operating results of the AMS business are reported as Discontinued operations, net of tax in the Consolidated Statements of Operations for all periods presented. For additional information, see Note 3. Discontinued Operations and Assets and Liabilities Held for Sale . |
SCHEDULE II--Valuation and Qual
SCHEDULE II--Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2017 | |
Valuation and Qualifying Accounts [Abstract] | |
SCHEDULE II--Valuation and Qualifying Accounts | SCHEDULE II—VALUATION AND QUALIFYING ACCOUNTS (in thousands) Balance at Beginning of Period Additions, Costs and Expenses Deductions, Write-offs Other (1) Balance at End of Period Valuation Allowance For Deferred Tax Assets: Year Ended December 31, 2015 $ 40,646 $ 386,087 $ (17,106 ) $ 17,364 $ 426,991 Year Ended December 31, 2016 $ 426,991 $ 4,416,478 $ (2,039 ) $ (221 ) $ 4,841,209 Year Ended December 31, 2017 $ 4,841,209 $ 3,811,982 $ — $ (590,216 ) $ 8,062,975 __________ (1) Represents opening balances of businesses acquired in the period and, for the year ended December 31, 2017, changes in the statutory U.S. Federal corporate income tax rate. All other financial statement schedules have been omitted because they are not applicable or the required information is included in the Consolidated Financial Statements or notes thereto. 3. Exhibits: |
Summary of Significant Accoun31
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Consolidation and Basis of Presentation | Consolidation and Basis of Presentation. The Consolidated Financial Statements include the accounts of wholly owned subsidiaries after the elimination of intercompany accounts and transactions. |
Reclassifications | Reclassifications . Certain prior period amounts have been reclassified to conform to the current period presentation. |
Use of Estimates | Use of Estimates. The preparation of our Consolidated Financial Statements in conformity with GAAP requires us to make estimates and assumptions that affect the amounts and disclosures in our Consolidated Financial Statements , including the notes thereto, and elsewhere in this report. For example, we are required to make significant estimates and assumptions related to revenue recognition, including sales deductions, financial instruments, long-lived assets, goodwill, other intangibles, income taxes, contingencies and share-based compensation, among others. Some of these estimates can be subjective and complex. Although we believe that our estimates and assumptions are reasonable, there may be other reasonable estimates or assumptions that differ significantly from ours. Further, our estimates and assumptions are based upon information available at the time they were made. Actual results may differ significantly from our estimates. We regularly evaluate our estimates and assumptions using historical experience and other factors, including the economic environment. As future events and their effects cannot be determined with precision, our estimates and assumptions may prove to be incomplete or inaccurate, or unanticipated events and circumstances may occur that might cause us to change those estimates and assumptions. Market conditions, such as illiquid credit markets, volatile equity markets, dramatic fluctuations in foreign currency rates and economic downturn, can increase the uncertainty already inherent in our estimates and assumptions. We also are subject to other risks and uncertainties that may cause actual results to differ from estimated amounts, such as changes in the healthcare environment, competition, litigation, legislation and regulations. |
Customer, Product And Supplier Concentration | Customer, Product and Supplier Concentration. We primarily sell our generic and branded pharmaceuticals to wholesalers, retail drug store chains, supermarket chains, mass merchandisers, distributors, mail order accounts, hospitals and government agencies. Our wholesalers and distributors purchase products from us and, in turn, supply products to retail drug store chains, independent pharmacies and managed health care organizations. Customers in the managed health care market include health maintenance organizations, nursing homes, hospitals, clinics, pharmacy benefit management companies and mail order customers. |
Revenue Recognition | Revenue Recognition. Our revenue consists almost entirely of sales of our pharmaceutical products to customers, whereby we ship product to a customer pursuant to a purchase order, which typically corresponds and/or makes reference to a master agreement with that customer, and invoice the customer upon shipment. For sales such as these, we recognize revenue when title and risk of loss has passed to the customer, which is typically upon delivery to the customer, when estimated provisions for revenue reserves are reasonably determinable and when collectability is reasonably confirmed. The amount of revenue we recognize is equal to the selling price, adjusted for our estimates of a number of significant sales deductions, which are further described below. Revenue from the launch of a new or significantly unique product may be deferred until such time that the product has achieved market acceptance. For these products, revenue is typically recognized based on dispensed prescription data and other information obtained prior to and during the period following launch. |
Sales Deductions | Sales Deductions. When we recognize revenue from the sale of our products, we simultaneously record an adjustment to revenue for estimated chargebacks, rebates, sales incentives and allowances, DSA and other fees for services, returns and allowances. These sales deductions are estimated based on historical experience, estimated future trends, estimated customer inventory levels, current contract sales terms with our direct and indirect customers and other competitive factors. We subsequently review our provisions for our various sales deductions based on new or revised information that becomes available to us and make revisions to our estimates if and when appropriate. If the assumptions we used to calculate our provisions for sales deductions do not appropriately reflect future activity, our financial position, results of operations and cash flows could be materially impacted. |
Research and Development (R&D) | Research and Development (R&D). Expenditures for research and development are expensed as incurred. Total R&D expenses include the costs of discovery research, preclinical development, early- and late-clinical development and drug formulation, clinical trials, medical support of marketed products, upfront, milestone and other payments under third-party collaborations and contracts and other costs. R&D spending also includes enterprise-wide costs which support our overall R&D infrastructure. Property, plant and equipment that are acquired or constructed for research and development activities and that have alternate future uses are capitalized and depreciated over their estimated useful lives on a straight-line basis. Contractual upfront and milestone payments made to third parties are generally: (i) expensed as incurred up to the point of regulatory approval and (ii) capitalized and amortized over the related product’s remaining useful life subsequent to regulatory approval. Amounts capitalized for such payments are included in Other intangibles, net in the Consolidated Balance Sheets . |
Cash and Cash Equivalents | Cash and Cash Equivalents. The Company considers all highly liquid money market instruments with an original maturity of three months or less when purchased to be cash equivalents. At December 31, 2017 , cash equivalents were deposited in financial institutions and consisted of immediately available fund balances and time deposits. The Company maintains its cash deposits and cash equivalents with financial institutions it believes to be well-known and stable. |
Restricted Cash and Cash Equivalents | Restricted Cash and Cash Equivalents. Cash and cash equivalents that are restricted as to withdrawal or use under the terms of certain contractual agreements are excluded from Cash and cash equivalents in the Consolidated Balance Sheets . |
Marketable Securities | Marketable Securities. The Company has equity securities, which consist of investments in the stock of publicly traded companies. |
Accounts Receivable | Accounts Receivable. Accounts receivable are stated at their net realizable value. The allowance for doubtful accounts against gross accounts receivable reflects the best estimate of probable losses inherent in the receivables portfolio determined on the basis of historical experience, specific allowances for known troubled accounts and other currently available information. In addition, accounts receivable is reduced by certain sales deduction reserves where we have the right of offset with the customer. |
Concentrations Of Credit Risk | Concentrations of Credit Risk. Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash equivalents, restricted cash equivalents, marketable debt securities and accounts receivable. We invest our excess cash in high-quality, liquid money market instruments and time deposits maintained by major banks and financial institutions. We have not experienced any losses on our cash equivalents. |
Inventories | Inventories. Inventories consist of raw materials, work-in-process and finished goods. Inventory that is in excess of the amount expected to be sold within one year is classified as long-term inventory and is recorded in Other assets in the Consolidated Balance Sheets . The Company capitalizes inventory costs associated with certain generic products prior to regulatory approval and product launch when it is reasonably certain, based on management’s judgment of future commercial use and net realizable value, that the pre-launch inventories will be saleable. The determination to capitalize is made on a product-by-product basis once: (i) the Company (or its third party development partners) has filed an ANDA that has been acknowledged by the FDA as containing sufficient information to allow the FDA to conduct its review in an efficient and timely manner and (ii) management is reasonably certain that all regulatory and legal requirements will be cleared. The Company could be required to write down previously capitalized costs related to pre-launch inventories upon a change in such judgment, a denial or delay of approval by regulatory bodies, a delay in commercialization or other potential factors. Our inventories are stated at the lower of cost or net realizable value. Cost is determined by the first-in, first-out method and includes materials, direct labor and an allocation of overhead. Net realizable value is determined by the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. When necessary, we write-down inventories to net realizable value based on forecasted demand and market and regulatory conditions, which may differ from actual results. |
Property, Plant and Equipment | Property, Plant and Equipment. Property, plant and equipment is generally stated at cost less accumulated depreciation. Major improvements are capitalized, while routine maintenance and repairs are expensed as incurred. Costs incurred during the construction or development of property plant and equipment are capitalized as assets under construction. Once an asset has been put into service, depreciation expense is taken over the estimated useful life of the related assets or, in the case of leasehold improvements and capital lease assets, over the shorter of the estimated useful life or the lease term. Depreciation expense is recorded on a straight-line basis. Depreciation expense is not recorded on Assets held for sale. Gains and losses on disposals are included in Other (income) expense, net in the Consolidated Statements of Operations . |
Computer Software | Computer Software. The Company capitalizes certain costs incurred in connection with obtaining or developing internal-use software, including external direct costs of material and services, and payroll costs for employees directly involved with the software development. Capitalized software costs are included in Property, plant and equipment, net in the Consolidated Balance Sheets and depreciated beginning when the software project is substantially complete and the asset is ready for its intended use. Costs incurred during the preliminary project stage and post-implementation stage, as well as maintenance and training costs, are expensed as incurred. Developed Technology. Our developed technology assets have useful lives ranging from 1 year to 20 years , with a weighted average useful life of approximately 11 years . We determine amortization periods and method of amortization for developed technology assets based on our assessment of various factors impacting estimated useful lives and timing and extent of estimated cash flows of the acquired assets including the strength of the intellectual property protection of the product, contractual terms and various other competitive and regulatory issues. |
Lease Accounting | Lease Accounting. The Company accounts for operating lease transactions by recording rent expense on a straight-line basis over the expected life of the lease, commencing on the date it gains possession of leased property. The Company includes tenant improvement allowances and rent holidays received from landlords and the effect of any rent escalation clauses as adjustments to straight-line rent expense over the expected life of the lease. Capital lease transactions are reflected as a liability at the inception of the lease based on the present value of the minimum lease payments or, if lower, the fair value of the property. Assets under capital leases are recorded in Property, plant and equipment, net in the Consolidated Balance Sheets and depreciated in a manner similar to other Property, plant and equipment. Certain construction projects may be accounted for as direct financing arrangements, whereby the Company records, over the construction period, the full cost of the asset in Property, plant and equipment, net in the Consolidated Balance Sheets . A corresponding liability is also recorded, net of leasehold improvements paid for by the Company, and is amortized over the expected lease term through monthly rental payments using an effective interest method. Assets recorded under direct financing arrangements are depreciated over the lease term. |
Finite-Lived Intangible Assets | Finite-Lived Intangible Assets. Our finite-lived intangible assets, which consist of license rights and developed technology, are initially recorded at fair value upon acquisition. There are several methods that can be used to determine fair value. For intangible assets, we typically use the income method. This method starts with our forecast of all of the expected future net cash flows. Revenues are estimated based on relevant market size and growth factors, expected industry trends, individual project life cycles and, if applicable, the life of any estimated period of marketing exclusivity, such as that granted by a patent. The pricing, margins and expense levels of similar products are considered if available. These cash flows are then adjusted to present value by applying an appropriate discount rate that reflects the risk factors associated with the cash flow streams. To the extent an intangible asset is deemed to have a finite life, it is then amortized over its estimated useful life using either the straight-line method or, in the case of certain developed technology assets, the economic benefit model. The values of these various assets are subject to continuing scientific, medical and marketplace uncertainty. Factors giving rise to our initial estimate of useful lives are subject to change. Significant changes to any of these factors may result in a reduction in the useful life of the asset and an acceleration of related amortization expense, which could cause our operating income, net income and net income per share to decrease. Amortization expense is not recorded on assets held for sale. |
License Rights | License Rights. Our license rights have useful lives ranging from 3 years to 15 years , with a weighted average useful life of approximately 12 years . We determine amortization periods for licenses based on our assessment of various factors including the expected launch date of the product, the strength of the intellectual property protection of the product, contractual terms and various other competitive, developmental and regulatory issues. |
Long-Lived Asset Impairment Testing | Long-Lived Asset Impairment Testing. Long-lived assets, including property, plant and equipment and finite-lived intangible assets, are assessed for impairment whenever events or changes in circumstances indicate the carrying amounts of the assets may not be recoverable. Recoverability of an asset that will continue to be used in our operations is measured by comparing the carrying amount of the asset to the forecasted undiscounted future cash flows related to the asset. In the event the carrying amount of the asset exceeds its undiscounted future cash flows and the carrying amount is not considered recoverable, impairment may exist. An impairment loss, if any, is measured as the excess of the asset’s carrying amount over its fair value, generally based on a discounted future cash flow method, independent appraisals or preliminary offers from prospective buyers. An impairment loss would be recognized in the Consolidated Statements of Operations in the period that the impairment occurs. |
In-Process Research and Development Assets (IPR&D) | In-Process Research and Development Assets (IPR&D). IPR&D assets are considered indefinite-lived intangible assets. Similar to finite-lived intangible assets, IPR&D assets are initially recorded at fair value. While amortization expense is not initially recorded for IPR&D assets, these assets are subject to impairment reviews. Impairment tests for an IPR&D asset occur at least annually on October 1 st of each year, but also whenever events or changes in circumstances indicate that the asset might be impaired. If the fair value of the intangible assets is less than its carrying amount, an impairment loss is recognized for the difference. For those assets that reach commercialization, the assets are reclassified as finite-lived intangible assets and amortized over the expected useful lives. |
Goodwill | Goodwill. Acquisitions meeting the definition of business combinations are accounted for using the acquisition method of accounting, which requires that the purchase price be allocated to the net assets acquired at their respective fair values. Any excess of the purchase price over the estimated fair values of the net assets acquired is recorded as goodwill. While amortization expense is not recorded on goodwill, goodwill is subject to impairment reviews. Impairment tests for goodwill occur at least annually on October 1 st of each year, but also whenever events or changes in circumstances indicate that the asset might be impaired. As further described below under the heading “ Recent Accounting Pronouncements Adopted or Otherwise Effective as of December 31, 2017 ,” effective January 1, 2017, we early adopted Accounting Standards Update (ASU) No. 2017-04 “Intangibles - Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment” (ASU 2017-04). Subsequent to adoption, we perform our goodwill impairment tests by comparing the fair value of each of our reporting units with the carrying amount. Any goodwill impairment charge we recognize for a reporting unit is equal to the lesser of (i) the total goodwill allocated to that reporting unit and (ii) the amount by which that reporting unit’s carrying amount exceeds its fair value. |
Contingencies | Contingencies. The Company is subject to various patent challenges, product liability claims, government investigations and other legal proceedings in the ordinary course of business. Legal fees and other expenses related to litigation are expensed as incurred and included in Selling, general and administrative expenses or Discontinued operations, net of tax in the Consolidated Statements of Operations . Contingent accruals and legal settlements are recorded in the Consolidated Statements of Operations as Litigation-related and other contingencies, net (or Discontinued operations, net in the case of vaginal mesh matters) when the Company determines that a loss is both probable and reasonably estimable. Due to the fact that legal proceedings and other contingencies are inherently unpredictable, our estimates of the probability and amount of any such liabilities involve significant judgment regarding future events. The Company records a receivable from its product liability insurance carriers only when the resolution of any dispute has been reached and realization of the potential claim for recovery is considered probable. |
Contingent Consideration | Contingent Consideration. Certain of the Company’s business acquisitions involve the potential for future payment of consideration that is contingent upon the achievement of operational and commercial milestones and royalty payments on future product sales. The fair value of contingent consideration liabilities is determined at the acquisition date using unobservable inputs. These inputs include the estimated amount and timing of projected cash flows, the probability of success (achievement of the contingent event) and the risk-adjusted discount rate used to present value the probability-weighted cash flows. Subsequent to the acquisition date, at each reporting period, the Company remeasures its contingent consideration liability to its current fair value, with changes recorded in earnings. Changes to any of the inputs used in determining fair value may result in a significantly different fair value adjustment. |
Share Repurchases | Share Repurchases. The Company accounts for the repurchase of ordinary shares at par value. Under applicable Irish law, ordinary shares repurchased are retired and not displayed separately as treasury stock. Upon retirement of the ordinary shares, the Company records the difference between the weighted average cost of such ordinary shares and the par value of the ordinary shares as an adjustment to Accumulated deficit in the Consolidated Balance Sheets . |
Advertising Costs | Advertising Costs. Advertising costs are expensed as incurred and included in Selling, general and administrative expenses in the Consolidated Statements of Operations . |
Cost of Revenues | Cost of Revenues. Cost of revenues includes all costs directly related to bringing both purchased and manufactured products to their final selling destination. Amounts include purchasing and receiving costs, direct and indirect costs to manufacture products including direct materials, direct labor and direct overhead expenses necessary to acquire and convert purchased materials and supplies into finished goods, royalties paid or owed by Endo on certain in-licensed products, inspection costs, depreciation of certain property, plant and equipment, amortization of intangible assets, warehousing costs, freight charges, costs to operate our equipment and other shipping and handling costs, among others. |
Share-Based Compensation | Share-Based Compensation. The Company grants share-based compensation awards to certain employees and non-employee directors. Generally, the grant-date fair value of each award is recognized as expense over the requisite service period. However, expense recognition differs in the case of certain performance share units where the ultimate payout is performance-based. For these awards, at each reporting period, the Company estimates the ultimate payout and adjusts the cumulative expense based on its estimate and the percent of the requisite service period that has elapsed. Share-based compensation expense is reduced for estimated future forfeitures. These estimates are revised in future periods if actual forfeitures differ from the estimates. Changes in forfeiture estimates impact compensation expense in the period in which the change in estimate occurs. New ordinary shares are generally issued upon the exercise of stock options or vesting of stock awards by employees and non-employee directors. |
Foreign Currency Translation | Foreign Currency. The Company operates in various jurisdictions both inside and outside of the U.S. While the Company’s reporting currency is the U.S. dollar (USD), the Company has concluded that certain of its distinct and separable operations have functional currencies other than the USD. Further, certain of the Company’s operations hold assets and liabilities and recognize income and expenses denominated in various local currencies, which may differ from their functional currencies. Assets and liabilities are first remeasured from local currency to functional currency, generally using end-of-period exchange rates. Foreign currency income and expenses are generally remeasured using average exchange rates in effect during the year. In the case of nonmonetary assets and liabilities such as inventories, prepaid expenses, property, plant and equipment, goodwill and other intangible assets, and related income statement amounts, such as depreciation expense, historical exchange rates are used for remeasurement. The net effect of remeasurement is included in Other (income) expense, net in the Consolidated Statements of Operations . As part of the Company’s consolidation process, assets and liabilities of entities with functional currencies other than the USD are translated into USD at end-of-period exchange rates. Income and expenses are translated using average exchange rates in effect during the year. The net effect of translation is included as foreign currency translation, a component of Other comprehensive income (loss). Upon the sale or liquidation of an investment in a foreign operation, the Company records a reclassification adjustment out of Other comprehensive income (loss) for the accumulated amount of currency translation. |
Income Taxes | Income Taxes. The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial statements and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. The Company records net deferred tax assets to the extent it believes these assets will more likely than not be realized. In making such a determination, the Company considers all available positive and negative evidence, including projected future taxable income, tax-planning strategies and results of recent operations. In the event that the Company were to determine that it would be able to realize its deferred tax assets in the future in excess of their net recorded amount, the Company would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income tax. The Company records uncertain tax positions on the basis of a two-step process whereby the Company first determines whether it is more likely than not that the tax positions will be sustained based on the technical merits of the position and then measures those tax positions that meet the more-likely-than-not recognition threshold. The Company recognizes the largest amount of tax benefit that is greater than 50% likely to be realized upon ultimate settlement with the tax authority. The Company recognizes interest and penalties related to unrecognized tax benefits within the Income tax expense (benefit) line in the Consolidated Statements of Operations . Accrued interest and penalties are included within the related tax liability line in the Consolidated Balance Sheets . |
Comprehensive Income | Comprehensive Income. Comprehensive income or loss includes all changes in equity during a period except those that resulted from investments by or distributions to a company’s shareholders. Other comprehensive income or loss refers to revenues, expenses, gains and losses that are included in comprehensive income, but excluded from net income as these amounts are recorded directly as an adjustment to shareholders’ equity. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recently Issued Accounting Pronouncements Not Yet Adopted at December 31, 2017 In May 2014, the Financial Accounting Standards Board (FASB) issued ASU No. 2014-09, “Revenue from Contracts with Customers” (ASU 2014-09). ASU 2014-09 represents a comprehensive new revenue recognition model that requires a company to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which a company expects to be entitled to receive in exchange for those goods or services. This ASU sets forth a new five-step revenue recognition model which replaces the prior revenue recognition guidance in its entirety and is intended to eliminate numerous industry-specific pieces of revenue recognition guidance that have historically existed. In August 2015, the FASB issued ASU No. 2015-14, “ Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date,” which defers the effective date of ASU 2014-09 by one year, but permits companies to adopt one year earlier if they choose (i.e., the original effective date). As such, ASU 2014-09 will be effective for annual and interim reporting periods beginning after December 15, 2017. In March and April 2016, the FASB issued ASU No. 2016-08 “Revenue from Contracts with Customers (Topic 606): Principal versus Agent Consideration (Reporting Revenue Gross versus Net)” and ASU No. 2016-10 “Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing,” respectively , which clarifies the guidance on reporting revenue as a principal versus agent, identifying performance obligations and accounting for intellectual property licenses. In addition, in May 2016, the FASB issued ASU No. 2016-12 “Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients,” which amends certain narrow aspects of Topic 606, and in December 2016, the FASB issued ASU No. 2016-20 “Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers,” which amends certain narrow aspects of Topic 606. The new revenue recognition standard is effective for the Company on January 1, 2018. The Company is currently finalizing its analysis of the impact of ASU 2014-09 on its consolidated results of operations and financial position. The Company established a cross-functional implementation team consisting of representatives from across its business segments, which has substantially completed a diagnostic assessment of the impact of the standard on its contract portfolio, including review of customer contracts, as well as the Company’s current accounting policies and practices to identify potential differences that would result from applying the requirements of the new standard to its revenue contracts. Based on this assessment, the Company does not expect the impact to be material to its consolidated financial statements. The Company is also finalizing its evaluation of the internal control implications associated with the adoption of the new standard, including the identification and implementation, if necessary, of changes to its business processes, systems and controls to support recognition and disclosure under the new standard. The majority of the Company’s revenue is generated from product sales and the Company currently does not anticipate a significant impact to revenue related to these arrangements. In certain limited situations, under current GAAP, the Company has deferred revenue for certain product sales because the sales price was not deemed to be fixed or determinable. Under the new standard, the Company will be required to estimate the variable consideration associated with these transactions and record revenue at the point of sale. The Company also generates revenue from certain less significant transactions, including certain licensing arrangements. The Company has substantially completed its preliminary evaluation of the impact of the new standard on these other transactions and does not anticipate a significant impact on revenue related to these arrangements; however, this analysis is preliminary and remains subject to change. The two permitted transition methods under the new standard are the full retrospective method, in which case the standard would be applied to each prior reporting period presented and the cumulative effect of applying the standard would be recognized at the earliest period shown, or the modified retrospective method, in which case the cumulative effect of applying the standard would be recognized at the date of initial application. The Company will utilize the modified retrospective method of adoption. In February 2016, the FASB issued ASU No. 2016-02, “ Leases (Topic 842) ” (ASU 2016-02). ASU 2016-02 establishes the principles to report transparent and economically neutral information about the assets and liabilities that arise from leases. This guidance requires lessees to recognize the lease assets and lease liabilities that arise from leases in the statement of financial position and to disclose qualitative and quantitative information about lease transactions, such as information about variable lease payments and options to renew and terminate leases. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company is currently evaluating the impact of ASU 2016-02 on the Company’s consolidated results of operations and financial position. In May 2017, the FASB issued ASU No. 2017-09 “Compensation - Stock Compensation” (ASU 2017-09). ASU 2017-09 provides guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting. It is intended to reduce both (1) diversity in practice and (2) cost and complexity when accounting for changes to the terms or conditions of share-based payment awards. ASU 2017-09 is effective for annual periods, and interim periods within those annual periods, beginning after December 15, 2017. Early adoption is permitted. The Company adopted the new standard on January 1, 2018 and the amendments in this update will be applied prospectively to any award modified on or after the adoption date. In February 2018, the FASB issued ASU No. 2018-02 “Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income” (ASU 2018-02). ASU 2018-02 allows for a reclassification from accumulated other comprehensive income or loss to retained earnings or accumulated deficit for stranded tax effects resulting from the Tax Cuts and Jobs Act of 2017 (TCJA). ASU 2018-02 also requires certain related disclosures. ASU 2018-02 is effective for annual periods, and interim periods within those annual periods, beginning after December 15, 2018 and should be applied either in the period of adoption or retrospectively to each period in which the effect of the change in the U.S. federal corporate income tax rate in the TCJA is recognized. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2018-02. Recent Accounting Pronouncements Adopted or Otherwise Effective as of December 31, 2017 In July 2015, the FASB issued ASU No. 2015-11, “ Simplifying the Measurement of Inventory ” (ASU 2015-11). ASU 2015-11 states that an entity should measure inventory at the lower of cost or net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. For public entities, ASU 2015-11 is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. The Company adopted ASU 2015-11 on January 1, 2017 and the adoption did not impact the Company’s consolidated results of operations and financial position. As discussed above under the heading “ Reclassifications ,” in March 2016, the FASB issued ASU 2016-09. ASU 2016-09 changes how companies account for certain aspects of share-based payments to employees including: (i) requiring all income tax effects of awards to be recognized in the income statement, rather than in additional paid in capital, when the awards vest or are settled, (ii) eliminating the requirement that excess tax benefits be realized before companies can recognize them, (iii) requiring companies to present excess tax benefits as an operating activity on the statement of cash flows rather than as a financing activity, (iv) increasing the amount an employer can withhold to cover income taxes on awards and still qualify for the exception to liability classification for shares used to satisfy the employer’s statutory income tax withholding obligation, (v) requiring an employer to classify the cash paid to a tax authority when shares are withheld to satisfy its statutory income tax withholding obligation as a financing activity on its statement of cash flows and (vi) electing whether to account for forfeitures of share-based payments by (a) recognizing forfeitures of awards as they occur or (b) estimating the number of awards expected to be forfeited and adjusting the estimate when it is likely to change, as is currently required. ASU 2016-09 is effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. The Company adopted the new guidance on January 1, 2017 on a prospective basis, except for the provision requiring companies to present excess tax benefits as an operating activity on the statement of cash flows rather than as a financing activity, which was adopted retrospectively. As a result of the adoption, during the year ended December 31, 2017 , the Company did not recognize any tax expense in its Consolidated Statement of Operations that would have been recorded as additional paid-in capital prior to adoption. The table above under the heading “ Reclassifications ” presents the retrospective effects of the adoption of ASU 2016-09 on the Company’s Consolidated Statements of Cash Flows, which related to the reclassification of excess tax benefits. The adoption of ASU 2016-09 did not impact beginning retained earnings and the Company will continue to estimate forfeitures to determine the amount of compensation cost to be recognized in each period. None of the other provisions in this amended guidance had a significant impact on the Company’s consolidated financial statements. As discussed above under the heading “ Reclassifications ,” in August 2016, the FASB issued ASU 2016-15. ASU 2016-15 addresses eight specific cash flow issues with the objective of reducing diversity in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. One of the provisions of ASU 2016-15 is that cash outflows for debt prepayment or debt extinguishment costs should be classified as cash outflows for financing activities, rather than operating activities. ASU 2016-15 is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted in any interim or annual period, but all of ASU 2016-15 must be adopted in the same period. All updates should be applied using a retrospective transition method. The Company early adopted ASU 2016-15 on December 31, 2017. The table above under the heading “ Reclassifications ” presents the retrospective effects of the adoption of ASU 2016-15 on the Company’s Consolidated Statements of Cash Flows, which related to the reclassification of cash outflows for debt prepayment costs. In October 2016, the FASB issued ASU No. 2016-16 “ Intra-Entity Transfers of Assets Other Than Inventory ” (ASU 2016-16). ASU 2016-16 states that an entity should recognize the income tax consequences when an intra-entity transfer of an asset other than inventory occurs. ASU 2016-16 is effective for fiscal years beginning after December 15, 2017 and interim periods within those fiscal years. Early adoption is permitted as long as it is adopted in the first interim period of a fiscal year beginning after December 15, 2016. The Company early adopted ASU 2016-16 on January 1, 2017, resulting in the elimination of previously recorded deferred charges that were established in 2016. Specifically, the Company eliminated a $24.1 million current deferred charge and a $348.8 million non-current deferred charge that were reflected in our Consolidated Balance Sheet at December 31, 2016 as Prepaid expenses and other current assets and Other assets, respectively. The eliminations of these deferred charges were recorded as adjustments to retained earnings as of January 1, 2017. On adoption, the Company also recorded net deferred tax assets, primarily related to certain intangible assets and tax deductible goodwill, of $479.7 million , fully offset by a corresponding valuation allowance. As discussed above under the heading “ Reclassifications ,” in November 2016, the FASB issued ASU 2016-18. ASU 2016-18 states that a statement of cash flows should explain the change during the period in the total of cash, cash equivalents and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. ASU 2016-18 is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period, and all updates should be applied using a retrospective transition method. The Company early adopted ASU 2016-18 on December 31, 2017. The table above under the heading “ Reclassifications ” presents the retrospective effects of the adoption of ASU 2016-18 on the Company’s Consolidated Statements of Cash Flows. In January 2017, the FASB issued ASU No. 2017-01 “Business Combinations (Topic 805) - Clarifying the Definition of a Business” (ASU 2017-01). ASU 2017-01 clarifies the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The amendments in this update provide a screen to determine when an integrated set of assets and activities (collectively referred to as a “set”), is not a business. The screen requires that when substantially all of the fair value of the gross assets acquired (or disposed of) is concentrated in a single identifiable asset or a group of similar identifiable assets, the set is not a business. This screen reduces the number of transactions that need to be further evaluated. ASU 2017-01 is effective for annual periods beginning after December 15, 2017, including interim periods within those periods. The amendments in this update should be applied prospectively on or after the effective date. Early application of the amendments in this update is allowed. The Company early adopted this new standard on January 1, 2017. In January 2017, the FASB issued ASU 2017-04. ASU 2017-04 simplifies the subsequent measurement of goodwill by eliminating Step 2 from the goodwill impairment test. In computing the implied fair value of goodwill under Step 2, an entity had to perform procedures to determine the fair value at the impairment testing date of its assets and liabilities (including unrecognized assets and liabilities) following the procedure that would be required in determining the fair value of assets acquired and liabilities assumed in a business combination. Instead, under ASU 2017-04, an entity should perform its annual or interim goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. Additionally, an entity should consider the income tax effects of any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. ASU 2017-04 is effective for annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019 and an entity should apply the amendments of ASU 2017-04 on a prospective basis. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company early adopted this standard on January 1, 2017. |
Summary of Significant Accoun32
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Schedule of new accounting pronouncements | The table below presents the effects of these ASUs on the Company’s Consolidated Statements of Cash Flows for each of the years ended December 31, 2016 and 2015 (in thousands): Prior to Adoption Impact of Adoption of: Subsequent to Adoption ASU 2016-09 ASU 2016-15 ASU 2016-18 For the year ended December 31, 2016: Net cash provided by operating activities $ 524,439 $ 3,204 $ — $ 500 $ 528,143 Net cash provided by (used in) investing activities 125,861 — — (303,413 ) (177,552 ) Net cash used in financing activities (393,982 ) (3,204 ) — — (397,186 ) Effect of foreign exchange rate 328 — — 108 436 Movement in cash held for sale (11,744 ) — — — (11,744 ) Net change (1) $ 244,902 $ — $ — $ (302,805 ) $ (57,903 ) Beginning-of-period balance (2) 272,348 — — 590,735 863,083 End-of-period balance (2) $ 517,250 $ — $ — $ 287,930 $ 805,180 For the year ended December 31, 2015: Net cash provided by operating activities $ 62,026 $ 21,979 $ 31,496 $ 3,000 $ 118,501 Net cash used in investing activities (6,244,770 ) — — 61,006 (6,183,764 ) Net cash provided by financing activities 6,055,467 (21,979 ) (31,496 ) — 6,001,992 Effect of foreign exchange rate (7,068 ) — — (4,201 ) (11,269 ) Movement in cash held for sale 997 — — — 997 Net change (1) $ (133,348 ) $ — $ — $ 59,805 $ (73,543 ) Beginning-of-period balance (2) 405,696 — — 530,930 936,626 End-of-period balance (2) $ 272,348 $ — $ — $ 590,735 $ 863,083 __________ (1) This line refers to the “Net increase (decrease) in cash and cash equivalents” prior to the adoption of ASU 2016-18 and the “Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents” after the adoption. (2) These lines refer to the beginning or end of period amounts of “Cash and cash equivalents” prior to the adoption of ASU 2016-18 and the beginning or end of periods amounts of “Cash, cash equivalents, restricted cash and restricted cash equivalents” after the adoption. |
Schedules of concentration of risk, by risk factor | Total revenues from direct customers that accounted for 10% or more of our total consolidated revenues during the years ended December 31, 2017, 2016 and 2015 are as follows: 2017 2016 2015 Cardinal Health, Inc. 25 % 26 % 21 % McKesson Corporation 25 % 27 % 31 % AmerisourceBergen Corporation 25 % 25 % 23 % |
Estimated useful lives | Depreciation is based on the following estimated useful lives, as of December 31, 2017 : Range of Useful Lives (1), from: Buildings 10 years to 30 years Machinery and equipment 2 years to 15 years Leasehold improvements 2 years to 10 years Computer equipment and software 1 year to 7 years Assets under capital lease Shorter of useful life or lease term Furniture and fixtures 3 years to 10 years __________ (1) The useful lives for certain fixed assets have been reduced in connection with our 2017 U.S. Generic Pharmaceuticals Restructuring Initiative , which is further described in Note 4. Restructuring . The ranges of useful lives above do not include such assets. This table excludes changes related to businesses classified as held for sale, to the extent such changes occurred after the business was classified as held for sale. Cost: Land and Buildings Machinery and Equipment Leasehold Improve- Computer Equipment and Software Assets under Capital Lease Furniture and Fixtures Assets under Construc- Total At January 1, 2017 $ 322,537 $ 227,833 $ 50,359 $ 118,928 $ 9,155 $ 21,086 $ 129,102 $ 879,000 Additions 19,871 49,088 11,067 21,626 — 684 26,043 128,379 Disposals, transfers, impairments and other (12,333 ) (9,939 ) (1,271 ) (9,459 ) (4,259 ) (8,770 ) (36,186 ) (82,217 ) Effect of currency translation 1,391 836 309 356 — 124 76 3,092 At December 31, 2017 $ 331,466 $ 267,818 $ 60,464 $ 131,451 $ 4,896 $ 13,124 $ 119,035 $ 928,254 Accumulated Depreciation: At January 1, 2017 $ (50,770 ) $ (64,319 ) $ (21,263 ) $ (62,836 ) $ (5,773 ) $ (4,443 ) $ — $ (209,404 ) Additions (93,633 ) (76,986 ) (6,607 ) (27,121 ) (2,645 ) (3,007 ) — (209,999 ) Disposals, transfers and other (4,656 ) 6,964 1,088 7,354 4,257 1,201 — 16,208 Effect of currency translation (343 ) (400 ) (85 ) (189 ) — (71 ) — (1,088 ) At December 31, 2017 $ (149,402 ) $ (134,741 ) $ (26,867 ) $ (82,792 ) $ (4,161 ) $ (6,320 ) $ — $ (404,283 ) Net Book Amount: At December 31, 2017 $ 182,064 $ 133,077 $ 33,597 $ 48,659 $ 735 $ 6,804 $ 119,035 $ 523,971 At December 31, 2016 $ 271,767 $ 163,514 $ 29,096 $ 56,092 $ 3,382 $ 16,643 $ 129,102 $ 669,596 |
Discontinued Operations and A33
Discontinued Operations and Assets and Liabilities Held For Sale (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Schedule of disposal groups, including discontinued operations, income statement, balance sheet and additional disclosures | The following table provides the operating results of AMS Discontinued operations, net of tax for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 Revenue $ 338 $ 30,101 $ 305,256 Litigation-related and other contingencies, net $ 775,474 $ 20,115 $ 1,107,752 Asset impairment charges $ — $ 21,328 $ 230,703 Gain on sale of business $ — $ — $ 13,550 Loss from discontinued operations before income taxes $ (816,426 ) $ (123,164 ) $ (1,352,344 ) Income tax benefit $ (13,704 ) $ — $ (157,418 ) Discontinued operations, net of tax $ (802,722 ) $ (123,164 ) $ (1,194,926 ) The following table provides the components of Assets and Liabilities held for sale of Litha as of and December 31, 2016 (in thousands): December 31, 2016 Current assets $ 50,167 Property, plant and equipment 3,527 Other intangibles, net 29,950 Other assets 11,343 Assets held for sale $ 94,987 Current liabilities 18,642 Other liabilities 5,696 Liabilities held for sale $ 24,338 |
Restructuring and related costs | A summary of expenses related to the Astora Restructuring Initiative is included below for the year ended December 31, 2016 (in thousands): 2016 Employee separation, retention and other benefit-related costs $ 20,476 Asset impairment charges 21,328 Contract termination-related items 8,074 Other wind down costs 10,972 Total $ 60,850 |
Schedule of restructuring reserve by type of cost | Changes to this liability during the years ended December 31, 2017 and 2016 were as follows (in thousands): Employee Separation and Other Benefit-Related Costs Contract Termination Charges Other Restructuring Costs Total Liability balance as of January 1, 2016 $ — $ — $ — $ — Expenses 20,476 8,074 5,798 34,348 Cash distributions (16,621 ) (6,413 ) (5,798 ) (28,832 ) Liability balance as of January 1, 2017 $ 3,855 $ 1,661 $ — $ 5,516 Cash distributions (3,855 ) (1,208 ) — (5,063 ) Liability balance as of December 31, 2017 $ — $ 453 $ — $ 453 Changes to this accrual during the years ended December 31, 2017 and 2016 were as follows (in thousands): Employee Separation and Other Benefit-Related Costs Other Restructuring Costs Total Liability balance as of January 1, 2016 $ 5,353 $ 6,910 $ 12,263 Cash distributions (5,353 ) (1,406 ) (6,759 ) Liability balance as of January 1, 2017 $ — $ 5,504 $ 5,504 Expenses — 1,058 1,058 Cash distributions — (1,937 ) (1,937 ) Liability balance as of December 31, 2017 $ — $ 4,625 $ 4,625 Changes to this liability during the year ended December 31, 2017 were as follows (in thousands): Employee Separation and Other Benefit-Related Costs Other Restructuring Costs Total Liability balance as of January 1, 2017 $ — $ — $ — Expenses 29,553 13,724 43,277 Cash distributions (6,578 ) (12,114 ) (18,692 ) Liability balance as of December 31, 2017 $ 22,975 $ 1,610 $ 24,585 Changes to this liability during the years ended December 31, 2017 and 2016 were as follows (in thousands): Total Liability balance as of January 1, 2016 $ — Expenses 16,983 Cash distributions (7,044 ) Liability balance as of January 1, 2017 $ 9,939 Expenses 984 Cash distributions (10,672 ) Liability balance as of December 31, 2017 $ 251 Changes to this accrual during the years ended December 31, 2017 and 2016 were as follows (in thousands): Total Liability balance as of January 1, 2016 $ 17,914 Expenses 5,010 Cash distributions (19,655 ) Liability balance as of January 1, 2017 $ 3,269 Expenses 63 Cash distributions (3,332 ) Liability balance as of December 31, 2017 $ — Changes to this liability during the years ended December 31, 2017 and 2016 were as follows (in thousands): Employee Separation and Other Benefit-Related Costs Contract Termination Charges Total Liability balance as of January 1, 2016 $ — $ — $ — Expenses 16,544 5,224 21,768 Cash distributions — — — Liability balance as of January 1, 2017 $ 16,544 $ 5,224 $ 21,768 Cash distributions (16,544 ) (5,224 ) (21,768 ) Liability balance as of December 31, 2017 $ — $ — $ — Changes to this liability during the year ended December 31, 2017 were as follows (in thousands): 2017 Liability balance as of January 1, 2017 $ — Expenses 15,072 Cash distributions (12,391 ) Liability balance as of December 31, 2017 $ 2,681 |
Restructuring (Tables)
Restructuring (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Restructuring and Related Activities [Abstract] | |
Schedule of restructuring reserve by type of cost | Changes to this liability during the years ended December 31, 2017 and 2016 were as follows (in thousands): Employee Separation and Other Benefit-Related Costs Contract Termination Charges Other Restructuring Costs Total Liability balance as of January 1, 2016 $ — $ — $ — $ — Expenses 20,476 8,074 5,798 34,348 Cash distributions (16,621 ) (6,413 ) (5,798 ) (28,832 ) Liability balance as of January 1, 2017 $ 3,855 $ 1,661 $ — $ 5,516 Cash distributions (3,855 ) (1,208 ) — (5,063 ) Liability balance as of December 31, 2017 $ — $ 453 $ — $ 453 Changes to this accrual during the years ended December 31, 2017 and 2016 were as follows (in thousands): Employee Separation and Other Benefit-Related Costs Other Restructuring Costs Total Liability balance as of January 1, 2016 $ 5,353 $ 6,910 $ 12,263 Cash distributions (5,353 ) (1,406 ) (6,759 ) Liability balance as of January 1, 2017 $ — $ 5,504 $ 5,504 Expenses — 1,058 1,058 Cash distributions — (1,937 ) (1,937 ) Liability balance as of December 31, 2017 $ — $ 4,625 $ 4,625 Changes to this liability during the year ended December 31, 2017 were as follows (in thousands): Employee Separation and Other Benefit-Related Costs Other Restructuring Costs Total Liability balance as of January 1, 2017 $ — $ — $ — Expenses 29,553 13,724 43,277 Cash distributions (6,578 ) (12,114 ) (18,692 ) Liability balance as of December 31, 2017 $ 22,975 $ 1,610 $ 24,585 Changes to this liability during the years ended December 31, 2017 and 2016 were as follows (in thousands): Total Liability balance as of January 1, 2016 $ — Expenses 16,983 Cash distributions (7,044 ) Liability balance as of January 1, 2017 $ 9,939 Expenses 984 Cash distributions (10,672 ) Liability balance as of December 31, 2017 $ 251 Changes to this accrual during the years ended December 31, 2017 and 2016 were as follows (in thousands): Total Liability balance as of January 1, 2016 $ 17,914 Expenses 5,010 Cash distributions (19,655 ) Liability balance as of January 1, 2017 $ 3,269 Expenses 63 Cash distributions (3,332 ) Liability balance as of December 31, 2017 $ — Changes to this liability during the years ended December 31, 2017 and 2016 were as follows (in thousands): Employee Separation and Other Benefit-Related Costs Contract Termination Charges Total Liability balance as of January 1, 2016 $ — $ — $ — Expenses 16,544 5,224 21,768 Cash distributions — — — Liability balance as of January 1, 2017 $ 16,544 $ 5,224 $ 21,768 Cash distributions (16,544 ) (5,224 ) (21,768 ) Liability balance as of December 31, 2017 $ — $ — $ — Changes to this liability during the year ended December 31, 2017 were as follows (in thousands): 2017 Liability balance as of January 1, 2017 $ — Expenses 15,072 Cash distributions (12,391 ) Liability balance as of December 31, 2017 $ 2,681 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Business Combinations [Abstract] | |
Schedule of revenue and net loss of acquired included in Condensed Consolidated Statements of Operations | The amounts of Par revenue and Net loss attributable to Endo International plc included in the Company’s Consolidated Statements of Operations for the year ended December 31, 2015 from and including September 25, 2015 to December 31, 2015 are as follows (in thousands, except per share data): Revenue $ 401,238 Net loss attributable to Endo International plc $ (4,348 ) Basic and diluted net loss per share $ (0.02 ) The amounts of Auxilium Revenue and Net loss included in the Company’s Consolidated Statements of Operations from and including January 29, 2015 to December 31, 2015 are as follows (in thousands, except per share data): Revenue $ 341,520 Net loss attributable to Endo International plc (1) $ (469,986 ) Basic and diluted net loss per share $ (2.38 ) __________ (1) Net loss attributable to Endo International plc does not include any portion of the goodwill impairment charges recorded during 2015 since it is not possible to distinguish the amount of the charges directly attributable to Auxilium. |
Schedule of pro forma consolidated results | This supplemental pro forma information has been prepared for comparative purposes and does not purport to be indicative of what would have occurred had the acquisition been made on January 1, 2015 , nor is it indicative of any future results. 2015 Unaudited pro forma consolidated results (in thousands, except per share data): Revenue $ 3,292,293 Net loss attributable to Endo International plc $ (1,513,625 ) Basic and diluted net loss per share $ (7.68 ) This supplemental pro forma information has been prepared for comparative purposes and does not purport to be indicative of what would have occurred had the acquisition been made on January 1, 2015 , nor is it indicative of any future results. 2015 Unaudited pro forma consolidated results (in thousands, except per share data): Revenue $ 4,268,110 Net loss attributable to Endo International plc $ (1,594,130 ) Basic and diluted net loss per share $ (8.09 ) |
Segment Results (Tables)
Segment Results (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Schedule of reportable segments information | The following represents selected information for the Company’s reportable segments for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 Net revenues to external customers: U.S. Branded - Specialty & Established Pharmaceuticals $ 957,525 $ 1,166,294 $ 1,284,607 U.S. Branded - Sterile Injectables 750,471 576,399 114,719 U.S. Generic Pharmaceuticals 1,530,530 1,988,214 1,557,697 International Pharmaceuticals (1) 230,332 279,367 311,695 Total net revenues to external customers $ 3,468,858 $ 4,010,274 $ 3,268,718 Adjusted income from continuing operations before income tax: U.S. Branded - Specialty & Established Pharmaceuticals $ 485,515 $ 553,806 $ 694,440 U.S. Branded - Sterile Injectables 563,103 426,170 76,627 U.S. Generic Pharmaceuticals 501,249 653,309 665,140 International Pharmaceuticals 58,308 84,337 81,789 Total segment adjusted income from continuing operations before income tax $ 1,608,175 $ 1,717,622 $ 1,517,996 __________ (1) Revenues generated by our International Pharmaceuticals segment are primarily attributable to external customers located in Canada and, prior to the sale of Litha on July 3, 2017 and Somar on October 25, 2017, South Africa and Latin America. |
Schedule of reconciliations of consolidated loss from continuing operations before income tax | The table below provides reconciliations of our consolidated Loss from continuing operations before income tax , which is determined in accordance with U.S. GAAP, to our total segment adjusted income from continuing operations before income tax for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 Total consolidated loss from continuing operations before income tax $ (1,483,004 ) $ (3,923,856 ) $ (1,437,864 ) Interest expense, net 488,228 452,679 373,214 Corporate unallocated costs (1) 165,298 189,043 171,242 Amortization of intangible assets 773,766 876,451 561,302 Inventory step-up and certain manufacturing costs that will be eliminated pursuant to integration plans 390 125,699 249,464 Upfront and milestone payments to partners 9,483 8,330 16,155 Separation benefits and other cost reduction initiatives (2) 212,448 107,491 125,407 Impact of VOLTAREN® Gel generic competition — (7,750 ) — Acceleration of Auxilium employee equity awards at closing — — 37,603 Certain litigation-related and other contingencies, net (3) 185,990 23,950 37,082 Asset impairment charges (4) 1,154,376 3,781,165 1,140,709 Acquisition-related and integration items (5) 58,086 87,601 105,250 Loss on extinguishment of debt 51,734 — 67,484 Costs associated with unused financing commitments — — 78,352 Other-than-temporary impairment of equity investment — — 18,869 Foreign currency impact related to the remeasurement of intercompany debt instruments (1,403 ) 366 (25,121 ) Other, net (7,217 ) (3,547 ) (1,152 ) Total segment adjusted income from continuing operations before income tax $ 1,608,175 $ 1,717,622 $ 1,517,996 __________ (1) Amounts include certain corporate overhead costs, such as headcount and facility expenses and certain other income and expenses. (2) Amounts primarily relate to employee separation costs of $53.0 million , $57.9 million and $60.2 million in 2017 , 2016 and 2015 , respectively. Other amounts in 2017 include accelerated depreciation of $123.7 million , charges to increase excess inventory reserves of $13.7 million and other charges of $22.0 million , each of which related primarily to the 2017 U.S. Generic Pharmaceuticals Restructuring Initiative . Other amounts in 2016 primarily consist of charges to increase excess inventory reserves of $24.5 million and other restructuring costs of $25.1 million , consisting primarily of contract termination fees and building costs. Other amounts in 2015 primarily consist of $41.2 million of inventory write-offs and $13.3 million of building costs, including a $7.9 million charge recorded upon the cease use date of our Auxilium subsidiary’s former corporate headquarters. See Note 4. Restructuring for discussion of our material restructuring initiatives. (3) Amounts include adjustments for Litigation-related and other contingencies, net as further described in Note 14. Commitments and Contingencies . (4) Amounts primarily relate to charges to impair goodwill and intangible assets as further described in Note 10. Goodwill and Other Intangibles as well as charges to write down certain property, plant and equipment as further described in Note 4. Restructuring , Note 7. Fair Value Measurements and Note 9. Property, Plant and Equipment . (5) Amounts in 2017 , 2016 and 2015 include costs directly associated with previous acquisitions of $8.1 million , $63.8 million and $170.9 million , respectively. In addition, in 2017 and 2016 , there were charges due to changes in the fair value of contingent consideration of $49.9 million and $23.8 million , respectively. In 2015 , there was a benefit due to changes in the fair value of contingent consideration of $65.6 million . |
Schedule Of Additional Selected Financial Information For Reportable Segments | The following represents depreciation expense for our reportable segments for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 U.S. Branded - Specialty & Established Pharmaceuticals $ 16,957 $ 16,294 $ 19,884 U.S. Branded - Sterile Injectables 8,411 9,023 2,333 U.S. Generic Pharmaceuticals 174,652 70,816 26,860 International Pharmaceuticals 3,332 2,557 3,147 Corporate unallocated 6,647 8,168 7,674 Total depreciation expense $ 209,999 $ 106,858 $ 59,898 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Financial assets and liabilities measured at fair value on recurring basis | The Company’s financial assets and liabilities measured at fair value on a recurring basis at December 31, 2017 and December 31, 2016 were as follows (in thousands): Fair Value Measurements at Reporting Date using: December 31, 2017 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Money market funds $ 439,831 $ — $ — $ 439,831 Time deposits — 303,410 — 303,410 Equity securities 1,456 — — 1,456 Total $ 441,287 $ 303,410 $ — $ 744,697 Liabilities: Acquisition-related contingent consideration—short-term $ — $ — $ 70,543 $ 70,543 Acquisition-related contingent consideration—long-term — — 119,899 119,899 Total $ — $ — $ 190,442 $ 190,442 Fair Value Measurements at Reporting Date using: December 31, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Money market funds $ 26,210 $ — $ — $ 26,210 Time deposits — 100,000 — 100,000 Equity securities 2,267 — — 2,267 Total $ 28,477 $ 100,000 $ — $ 128,477 Liabilities: Acquisition-related contingent consideration—short-term $ — $ — $ 109,373 $ 109,373 Acquisition-related contingent consideration—long-term — — 152,740 152,740 Total $ — $ — $ 262,113 $ 262,113 |
Changes to liability for acquisition-related contingent consideration | The following table presents changes to the Company’s liability for acquisition-related contingent consideration during the year ended December 31, 2017 by acquisition (in thousands): Balance as of December 31, 2016 Acquisitions Fair Value Adjustments and Accretion Payments and Other Balance as of December 31, 2017 Auxilium acquisition $ 21,097 $ — $ 467 $ (8,503 ) $ 13,061 Lehigh Valley Technologies, Inc. acquisitions 96,000 — 40,016 (73,015 ) 63,001 VOLTAREN ® Gel acquisition 118,395 — 18,586 (38,857 ) 98,124 Other 26,621 — (9,120 ) (1,245 ) 16,256 Total $ 262,113 $ — $ 49,949 $ (121,620 ) $ 190,442 The following table presents changes to the Company’s liability for acquisition-related contingent consideration, which was measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2017 and 2016 (in thousands): 2017 2016 Beginning of period $ 262,113 $ 143,502 Amounts acquired — 146,866 Amounts settled (122,559 ) (55,896 ) Measurement period adjustments — 3,700 Changes in fair value recorded in earnings 49,949 23,823 Effect of currency translation 939 118 End of period $ 190,442 $ 262,113 The following table presents changes to the Company’s liability for acquisition-related contingent consideration during the year ended December 31, 2016 by acquisition (in thousands): Balance as of December 31, 2015 Acquisitions Fair Value Adjustments and Accretion Payments and Other Balance as of December 31, 2016 Qualitest acquisition $ 1,137 $ — $ (1,137 ) $ — $ — Sumavel acquisition 631 — (631 ) — — Auxilium acquisition 26,435 — 8,952 (14,290 ) 21,097 Lehigh Valley Technologies, Inc. acquisitions 97,003 — 30,676 (31,679 ) 96,000 VOLTAREN ® Gel acquisition — 146,055 (18,807 ) (8,853 ) 118,395 Other 18,296 4,511 4,770 (956 ) 26,621 Total $ 143,502 $ 150,566 $ 23,823 $ (55,778 ) $ 262,113 |
Summary of nonrecurring fair value measurements | The Company’s financial assets and liabilities measured at fair value on a nonrecurring basis during the year ended December 31, 2017 were as follows (in thousands): Fair Value Measurements at Reporting Date using: Total Expense for the Year Ended December 31, 2017 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Certain U.S. Branded Pharmaceuticals intangible assets (Note 10) $ — $ — $ 34,326 $ (76,674 ) Certain U.S. Generic Pharmaceuticals intangible assets (Note 10) — — 367,160 (577,923 ) Certain International Pharmaceuticals intangible assets (Note 10) — — 21,772 (145,360 ) Certain property, plant and equipment (1) — — — (65,676 ) Total $ — $ — $ 423,258 $ (865,633 ) __________ (1) Amounts relate primarily to an aggregate charge of $47.2 million recorded in connection with the 2017 U.S. Generic Pharmaceuticals Restructuring Initiative , which is described further in Note 4. Restructuring , and $11.9 million recorded following the initiation of held-for-sale accounting resulting from the Company’s June 30, 2017 definitive agreement to sell Somar, which is described in Note 3. Discontinued Operations and Assets and Liabilities Held for Sale . The Company’s financial assets and liabilities measured at fair value on a nonrecurring basis during the year ended December 31, 2016 were as follows (in thousands): Fair Value Measurements at Measurement Date using: Total Expense for the Year Ended December 31, 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Certain Astora property, plant and equipment (Note 3) $ — $ — $ — $ (5,041 ) Certain U.S. Generic Pharmaceuticals property, plant and equipment — — 11,360 (13,679 ) Certain U.S. Branded Pharmaceuticals intangible assets (Note 10) — — 4,621 (110,430 ) Certain U.S. Generic Pharmaceuticals intangible assets (Note 10) — — 872,474 (676,776 ) Certain International Pharmaceuticals intangible assets (Note 10) — — 139,313 (301,698 ) Certain Astora intangible assets (Note 3) — — — (16,287 ) Generics reporting unit goodwill (Note 10) — — 3,531,301 (2,342,549 ) Paladin reporting unit goodwill (Note 10) — — 170,572 (272,578 ) Somar reporting unit goodwill (Note 10) — — 24,044 (33,000 ) Litha reporting unit goodwill (Note 10) — — — (26,343 ) Other asset impairment charges — — — (4,112 ) Total $ — $ — $ 4,753,685 $ (3,802,493 ) |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Schedule of inventory | Inventories consist of the following at December 31, 2017 and December 31, 2016 (in thousands): December 31, 2017 December 31, 2016 Raw materials (1) $ 124,685 $ 175,240 Work-in-process (1) 109,897 100,494 Finished goods (1) 156,855 279,937 Total $ 391,437 $ 555,671 __________ (1) The components of inventory shown in the table above are net of allowance for obsolescence. |
Property, Plant And Equipment (
Property, Plant And Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property, plant and equipment | Depreciation is based on the following estimated useful lives, as of December 31, 2017 : Range of Useful Lives (1), from: Buildings 10 years to 30 years Machinery and equipment 2 years to 15 years Leasehold improvements 2 years to 10 years Computer equipment and software 1 year to 7 years Assets under capital lease Shorter of useful life or lease term Furniture and fixtures 3 years to 10 years __________ (1) The useful lives for certain fixed assets have been reduced in connection with our 2017 U.S. Generic Pharmaceuticals Restructuring Initiative , which is further described in Note 4. Restructuring . The ranges of useful lives above do not include such assets. This table excludes changes related to businesses classified as held for sale, to the extent such changes occurred after the business was classified as held for sale. Cost: Land and Buildings Machinery and Equipment Leasehold Improve- Computer Equipment and Software Assets under Capital Lease Furniture and Fixtures Assets under Construc- Total At January 1, 2017 $ 322,537 $ 227,833 $ 50,359 $ 118,928 $ 9,155 $ 21,086 $ 129,102 $ 879,000 Additions 19,871 49,088 11,067 21,626 — 684 26,043 128,379 Disposals, transfers, impairments and other (12,333 ) (9,939 ) (1,271 ) (9,459 ) (4,259 ) (8,770 ) (36,186 ) (82,217 ) Effect of currency translation 1,391 836 309 356 — 124 76 3,092 At December 31, 2017 $ 331,466 $ 267,818 $ 60,464 $ 131,451 $ 4,896 $ 13,124 $ 119,035 $ 928,254 Accumulated Depreciation: At January 1, 2017 $ (50,770 ) $ (64,319 ) $ (21,263 ) $ (62,836 ) $ (5,773 ) $ (4,443 ) $ — $ (209,404 ) Additions (93,633 ) (76,986 ) (6,607 ) (27,121 ) (2,645 ) (3,007 ) — (209,999 ) Disposals, transfers and other (4,656 ) 6,964 1,088 7,354 4,257 1,201 — 16,208 Effect of currency translation (343 ) (400 ) (85 ) (189 ) — (71 ) — (1,088 ) At December 31, 2017 $ (149,402 ) $ (134,741 ) $ (26,867 ) $ (82,792 ) $ (4,161 ) $ (6,320 ) $ — $ (404,283 ) Net Book Amount: At December 31, 2017 $ 182,064 $ 133,077 $ 33,597 $ 48,659 $ 735 $ 6,804 $ 119,035 $ 523,971 At December 31, 2016 $ 271,767 $ 163,514 $ 29,096 $ 56,092 $ 3,382 $ 16,643 $ 129,102 $ 669,596 |
Goodwill And Other Intangibles
Goodwill And Other Intangibles (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of changes in the carrying amount of goodwill | The carrying amounts of goodwill at December 31, 2017 and December 31, 2016 are net of the following accumulated impairments: Accumulated Impairment U.S. Generic Pharmaceuticals U.S. Branded Pharmaceuticals International Pharmaceuticals Total Accumulated impairment losses as of December 31, 2016 $ 2,342,549 $ 675,380 $ 408,280 $ 3,426,209 Accumulated impairment losses as of December 31, 2017 (1) $ 2,342,549 $ 855,810 $ 463,545 $ 3,661,904 __________ (1) During the year ended December 31, 2017 , we sold our Litha and Somar businesses. Accordingly, we removed $84.1 million of accumulated impairments from the International Pharmaceuticals segment. Changes in the carrying amount of our goodwill for the years ended December 31, 2017 and 2016 were as follows (in thousands): Carrying Amount U.S. Generic Pharmaceuticals U.S. Branded Pharmaceuticals International Pharmaceuticals Total Goodwill as of December 31, 2015 $ 5,789,934 $ 1,002,776 $ 506,644 $ 7,299,354 Measurement period adjustments 83,916 8,352 1,366 93,634 Effect of currency translation on gross balance — — 3,336 3,336 Effect of currency translation on accumulated impairment — — 9,421 9,421 Goodwill impairment charges (2,342,549 ) (1,880 ) (331,921 ) (2,676,350 ) Goodwill as of December 31, 2016 $ 3,531,301 $ 1,009,248 $ 188,846 $ 4,729,395 Effect of currency translation on gross balance — — 40,454 40,454 Effect of currency translation on accumulated impairment — — (31,023 ) (31,023 ) Goodwill impairment charges — (180,430 ) (108,314 ) (288,744 ) Goodwill as of December 31, 2017 $ 3,531,301 $ 828,818 $ 89,963 $ 4,450,082 |
Schedule of other intangible assets | As such, this table excludes asset impairment charges of $9.6 million related to our Litha business, assets derecognized upon the divestitures of Litha, Somar and BELBUCA™ with a combined carrying amount of $26.4 million and net increases resulting from currency translation of $1.5 million related to our Litha and Somar businesses. Cost basis: Balance as of December 31, 2016 Acquisitions Impairments Other Effect of Currency Translation Balance as of December 31, 2017 Indefinite-lived intangibles: In-process research and development $ 1,123,581 $ — $ (334,490 ) $ (442,100 ) $ 209 $ 347,200 Total indefinite-lived intangibles $ 1,123,581 $ — $ (334,490 ) $ (442,100 ) $ 209 $ 347,200 Finite-lived intangibles: Licenses (weighted average life of 12 years) $ 465,720 $ — $ (8,178 ) $ (140 ) $ — $ 457,402 Tradenames 7,345 — (808 ) (262 ) 134 6,409 Developed technology (weighted average life of 11 years) 6,223,004 — (446,835 ) 378,811 32,784 6,187,764 Total finite-lived intangibles (weighted average life of 11 years) $ 6,696,069 $ — $ (455,821 ) $ 378,409 $ 32,918 $ 6,651,575 Total other intangibles $ 7,819,650 $ — $ (790,311 ) $ (63,691 ) $ 33,127 $ 6,998,775 Accumulated amortization: Balance as of December 31, 2016 Amortization Impairments Other Effect of Currency Translation Balance as of December 31, 2017 Finite-lived intangibles: Licenses $ (341,600 ) $ (28,761 ) $ — $ 140 $ — $ (370,221 ) Tradenames (6,599 ) (42 ) — 262 (30 ) (6,409 ) Developed technology (1,612,154 ) (744,963 ) — 63,289 (10,633 ) (2,304,461 ) Total other intangibles $ (1,960,353 ) $ (773,766 ) $ — $ 63,691 $ (10,663 ) $ (2,681,091 ) Net other intangibles $ 5,859,297 $ 4,317,684 __________ (1) Additional information on the changes in the total gross carrying amount of our other intangible assets is presented below (in thousands): Gross Carrying Amount December 31, 2016 $ 7,819,650 Impairment of certain U.S. Branded Pharmaceuticals intangible assets (76,674 ) Impairment of certain U.S. Generic Pharmaceuticals intangible assets (577,923 ) Impairment of certain International Pharmaceuticals intangible assets (135,714 ) Transfer of intangible assets to Assets held for sale (NOTE 3) (33,304 ) Removal of certain fully amortized intangible assets (30,387 ) Effect of currency translation 33,127 December 31, 2017 $ 6,998,775 (2) Includes reclassification adjustments of $442.1 million for certain developed technology intangible assets, previously classified as in-process research and development, that were placed in service during the year ended December 31, 2017 , the removal of certain fully amortized intangible assets and the transfer of Somar intangible assets to Assets held for sale. |
Schedule of changes in gross carrying amount of other intangible assets | Additional information on the changes in the total gross carrying amount of our other intangible assets is presented below (in thousands): Gross Carrying Amount December 31, 2016 $ 7,819,650 Impairment of certain U.S. Branded Pharmaceuticals intangible assets (76,674 ) Impairment of certain U.S. Generic Pharmaceuticals intangible assets (577,923 ) Impairment of certain International Pharmaceuticals intangible assets (135,714 ) Transfer of intangible assets to Assets held for sale (NOTE 3) (33,304 ) Removal of certain fully amortized intangible assets (30,387 ) Effect of currency translation 33,127 December 31, 2017 $ 6,998,775 |
Schedule of future amortization expense | Estimated amortization of intangibles for the five fiscal years subsequent to December 31, 2017 is as follows (in thousands): 2018 $ 598,603 2019 $ 506,857 2020 $ 469,339 2021 $ 450,854 2022 $ 436,811 |
Accounts Payable And Accrued 41
Accounts Payable And Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accrued Liabilities [Abstract] | |
Schedule of accounts payable and accrued expenses | Accounts payable and accrued expenses include the following at December 31, 2017 and December 31, 2016 (in thousands): December 31, 2017 December 31, 2016 Trade accounts payable $ 85,348 $ 126,712 Returns and allowances 291,034 332,455 Rebates 168,333 227,706 Chargebacks 14,604 33,092 Accrued interest 130,257 128,254 Accrued payroll and related benefits 113,908 115,224 Accrued royalties and other distribution partner payables 63,114 191,433 Acquisition-related contingent consideration—short-term 70,543 109,373 Other 159,684 189,835 Total $ 1,096,825 $ 1,454,084 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of long-term debt instruments | The following table presents information about the Company’s total indebtedness at December 31, 2017 and December 31, 2016 (in thousands): December 31, 2017 December 31, 2016 Effective Interest Rate Principal Amount Carrying Amount Effective Interest Rate Principal Amount Carrying Amount 7.25% Senior Notes due 2022 7.91 % $ 400,000 $ 390,974 7.91 % $ 400,000 $ 389,150 5.75% Senior Notes due 2022 6.04 % 700,000 692,855 6.04 % 700,000 691,339 5.375% Senior Notes due 2023 5.62 % 750,000 742,048 5.62 % 750,000 740,733 6.00% Senior Notes due 2023 6.28 % 1,635,000 1,613,446 6.28 % 1,635,000 1,610,280 5.875% Senior Secured Notes due 2024 6.14 % 300,000 295,513 — — — 6.00% Senior Notes due 2025 6.27 % 1,200,000 1,181,243 6.27 % 1,200,000 1,179,203 Term Loan A Facility Due 2019 — — — 2.95 % 941,875 932,824 Term Loan B Facility Due 2022 — — — 4.06 % 2,772,000 2,728,919 Term Loan B Facility Due 2024 5.46 % 3,397,925 3,360,103 — — — Other debt 1.50 % 55 55 1.50 % 55 55 Total long-term debt, net $ 8,382,980 $ 8,276,237 $ 8,398,930 $ 8,272,503 Less current portion, net 34,205 34,205 131,125 131,125 Total long-term debt, less current portion, net $ 8,348,775 $ 8,242,032 $ 8,267,805 $ 8,141,378 Any outstanding amounts borrowed pursuant to the 2017 Credit Facility will immediately mature if any of the following of our senior notes (other than, in the case of the 2017 Revolving Credit Facility, the 5.375% Senior notes due 2023 and the 6.00% Senior Notes due 2023) are not refinanced or repaid in full prior to the date that is 91 days prior to the stated maturity date thereof: Instrument Maturity Date 7.25% Senior Notes due 2022 January 15, 2022 5.75% Senior Notes due 2022 January 15, 2022 5.375% Senior Notes due 2023 January 15, 2023 6.00% Senior Notes due 2023 July 15, 2023 |
Outstanding principal balance of non-recourse notes percentage | On or after April 15, 2020, the Issuers may on any one or more occasions redeem all or a part of the 2024 Notes, at the redemption prices (expressed as percentages of principal amount) set forth below, plus accrued and unpaid interest and additional interest, if any, on the notes redeemed if such notes are redeemed during the twelve-month period beginning on April 15 of the years indicated below: Year Percentage 2020 102.938 % 2021 101.469 % 2022 and thereafter 100.000 % |
Schedule of maturities of long-term debt | The following table presents, subsequent to the closing of the April 2017 Refinancing, the maturities on our long-term debt for each of the five fiscal years subsequent to December 31, 2017 (in thousands): Maturities (1) 2018 $ 34,205 2019 $ 34,150 2020 $ 34,150 2021 $ 34,150 2022 $ 1,134,150 __________ (1) Any outstanding amounts borrowed pursuant to the 2017 Credit Facility will immediately mature if certain of our senior notes (enumerated above under the heading “April 2017 Refinancing”) (other than, in the case of the 2017 Revolving Credit Facility, the 5.375% Senior Notes due 2023 and the 6.00% Senior Notes due 2023) are not refinanced or repaid in full prior to the date that is 91 days prior to the respective stated maturity dates thereof. Accordingly, we may be required to repay or refinance senior notes with an aggregate principal amount of $1,100.0 million in 2021, despite such notes having stated maturities in 2022. Similarly, we may be required to repay or refinance senior notes with an aggregate principal amount of $750.0 million in 2022, despite such notes having stated maturities in 2023. The amounts in this maturities table do not reflect any such early payment; rather, they reflect stated maturity dates. |
Commitments And Contingencies (
Commitments And Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Changes in Qualified Settlement Funds accounts and product liability balance | The following table presents the changes in the QSFs and mesh liability accrual balance during the year ended December 31, 2017 (in thousands): Qualified Settlement Funds Mesh Liability Accrual Balance as of January 1, 2017 $ 275,987 $ 963,117 Additional charges — 775,474 Cash contributions to Qualified Settlement Funds 668,306 — Cash distributions to settle disputes from Qualified Settlement Funds (632,176 ) (632,176 ) Cash distributions to settle disputes — (19,243 ) Other 1,697 — Balance as of December 31, 2017 $ 313,814 $ 1,087,172 |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | A summary of minimum future rental payments required under capital and operating leases as of December 31, 2017 are as follows (in thousands): Capital Leases (1)(2) Operating Leases 2018 $ 6,713 $ 13,888 2019 6,633 14,120 2020 6,564 13,505 2021 6,681 11,758 2022 6,831 11,212 Thereafter 14,126 23,703 Total minimum lease payments $ 47,548 $ 88,186 Less: Amount representing interest 4,168 Total present value of minimum payments $ 43,380 Less: Current portion of such obligations 6,713 Long-term capital lease obligations $ 36,667 __________ (1) The direct financing arrangement is included under Capital Leases. (2) We have entered into agreements to sublease certain properties. Most significantly, we sublease approximately 90,000 square feet of our Malvern, Pennsylvania headquarters and substantially all of our Chesterbrook, Pennsylvania facility. As of December 31, 2017 , we expect to receive approximately $25.2 million in future minimum rental payments over the remaining terms of the Malvern and Chesterbrook subleases from 2018 until 2024 . Amounts included in this table have not been reduced by the minimum sublease rentals. |
Other Comprehensive Income (Los
Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Schedule of tax effects allocated to each component of other comprehensive income | The following table presents the tax effects allocated to each component of Other comprehensive income (loss) for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 Before-Tax Amount Tax Benefit (Expense) Net-of-Tax Amount Before-Tax Amount Tax Benefit (Expense) Net-of-Tax Amount Before-Tax Amount Tax (Expense) Benefit Net-of-Tax Amount Net unrealized (loss) gain on securities: Unrealized (loss) gain arising during the period $ (811 ) $ 296 $ (515 ) $ (1,588 ) $ 674 $ (914 ) $ 2,349 $ (50 ) $ 2,299 Less: reclassification adjustments for gain realized in net loss — — — (6 ) — (6 ) — — — Net unrealized (losses) gains $ (811 ) $ 296 $ (515 ) $ (1,594 ) $ 674 $ (920 ) $ 2,349 $ (50 ) $ 2,299 Net unrealized gain (loss) on foreign currency: Foreign currency translation gain (loss) arising during the period 31,202 — 31,202 18,267 13,462 31,729 (263,425 ) (21,297 ) (284,722 ) Less: reclassification adjustments for loss realized in net loss 112,926 — 112,926 — — — 25,557 158 25,715 Foreign currency translation gain (loss) $ 144,128 $ — $ 144,128 $ 18,267 $ 13,462 $ 31,729 $ (237,868 ) $ (21,139 ) $ (259,007 ) Other comprehensive income (loss) $ 143,317 $ 296 $ 143,613 $ 16,673 $ 14,136 $ 30,809 $ (235,519 ) $ (21,189 ) $ (256,708 ) |
Schedule of accumulated other comprehensive income (loss) | The following is a summary of the accumulated balances related to each component of Other comprehensive income (loss) , net of taxes, at December 31, 2017 and December 31, 2016 (in thousands): December 31, 2017 December 31, 2016 Net unrealized gains $ 380 $ 895 Foreign currency translation loss (210,201 ) (354,329 ) Accumulated other comprehensive loss $ (209,821 ) $ (353,434 ) |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Schedule of changes in stockholders' equity | The following table reflects the effect on the Company’s equity for the year ended December 31, 2015 (in thousands): 2015 Adjustment to Accumulated other comprehensive loss related to the reallocation (from noncontrolling to controlling interests) of foreign currency translation loss attributable to our noncontrolling interest in Litha $ (3,904 ) Decrease in noncontrolling interests for buy-out of Litha (32,732 ) Decrease in additional paid-in capital for buy-out of Litha (2,972 ) Total cash consideration paid related to buy-out of Litha $ (39,608 ) |
Shared-based Compensation (Tabl
Shared-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of allocation of stock-based compensation | Presented below is the allocation of share-based compensation as recorded in our Consolidated Statements of Operations for the years ended December 31, 2017, 2016 and 2015 (in thousands). 2017 2016 2015 Selling, general and administrative expenses $ 38,292 $ 54,176 $ 79,928 Research and development expenses 4,197 2,440 2,388 Cost of revenues 7,660 2,040 2,241 Discontinued operations (Note 3) — 1,113 14,231 Total share-based compensation expense $ 50,149 $ 59,769 $ 98,788 |
Summary of activity under stock incentive plans | A summary of the activity for each of the years ended December 31, 2017, 2016 and 2015 is presented below: Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term Aggregate Intrinsic Value (1) Outstanding as of January 1, 2015 3,063,352 $ 40.15 Granted 794,757 $ 77.27 Exercised (880,885 ) $ 30.93 Forfeited (201,397 ) $ 72.24 Expired (7,260 ) $ 45.20 Outstanding as of December 31, 2015 2,768,567 $ 51.56 Granted 2,578,105 $ 35.45 Exercised (62,589 ) $ 31.19 Forfeited (858,556 ) $ 52.27 Expired (100,318 ) $ 60.71 Outstanding as of December 31, 2016 4,325,209 $ 41.70 Granted 5,288,675 $ 10.42 Forfeited (623,987 ) $ 28.32 Expired (741,767 ) $ 40.29 Outstanding as of December 31, 2017 8,248,130 $ 22.79 7.87 $ 493,979 Vested and expected to vest as of December 31, 2017 7,633,410 $ 23.46 7.76 $ 435,456 Exercisable as of December 31, 2017 1,826,250 $ 42.39 3.99 $ — __________ (1) The intrinsic value of a stock option is the excess, if any, of the closing price of the Company’s ordinary shares on the last trading day of the fiscal year over the exercise price. The aggregate intrinsic values presented in the table above represent sum of the intrinsic values of all corresponding stock options that are “in-the-money.” |
Stock option assumption | The weighted average grant date fair value of the stock options granted in the years ended December 31, 2017, 2016 and 2015 was $4.73 , $11.46 and $21.09 per option, respectively, determined using the following average assumptions: 2017 2016 2015 Expected term (years) 4.0 4.0 4.0 Risk-free interest rate 1.7 % 1.1 % 1.3 % Dividend yield — — — Expected volatility 58 % 43 % 32 % |
Summary of restricted and performance stock units activity | A summary of our nonvested RSUs and PSUs for the years ended December 31, 2017, 2016 and 2015 is presented below: Number of Shares Aggregate Intrinsic Value (1) Nonvested as of January 1, 2015 1,654,753 Granted 927,214 Forfeited (251,351 ) Vested (523,763 ) Nonvested as of December 31, 2015 1,806,853 Granted 1,582,429 Forfeited (975,994 ) Vested (728,228 ) Nonvested as of December 31, 2016 1,685,060 Granted 4,168,477 Forfeited (552,981 ) Vested (575,883 ) Nonvested as of December 31, 2017 4,724,673 $ 36,616,216 Vested and expected to vest as of December 31, 2017 4,337,839 $ 33,618,256 __________ (1) The aggregate intrinsic values of RSUs and PSUs presented in the table above are calculated by multiplying the closing price of the Company’s ordinary shares on the last trading day of the fiscal year by the corresponding number of RSUs and PSUs. |
Other (Income) Expense, Net (Ta
Other (Income) Expense, Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Component of Operating Income [Abstract] | |
Schedule of components of other income, net | The components of Other (income) expense, net for the for the years ended December 31, 2017, 2016 and 2015 are as follows (in thousands): 2017 2016 2015 Foreign currency (gain) loss, net $ (2,801 ) $ 2,991 (23,058 ) Equity loss (earnings) from investments accounted for under the equity method, net 898 (1,190 ) 3,217 Other-than-temporary impairment of equity investment — — 18,869 Legal settlement — — (12,500 ) Costs associated with unused financing commitments — — 78,352 Other miscellaneous, net (15,120 ) (2,139 ) (1,189 ) Other (income) expense, net $ (17,023 ) $ (338 ) $ 63,691 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Components Of Income Before Income Tax By Geography | The components of our Loss from continuing operations before income tax by geography for the years ended December 31, 2017, 2016 and 2015 are as follows (in thousands): 2017 2016 2015 United States $ (1,866,222 ) $ (4,309,211 ) $ (626,740 ) International 383,218 385,355 (811,124 ) Total (loss) income from continuing operations before income tax $ (1,483,004 ) $ (3,923,856 ) $ (1,437,864 ) |
Schedule of Income Tax | Income tax from continuing operations consists of the following for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 Current: U.S. Federal $ (86,478 ) $ 18,369 $ (308,909 ) U.S. State (6,462 ) 9,501 (5,600 ) International (1,224 ) 22,851 16,722 Total current income tax $ (94,164 ) $ 50,721 $ (297,787 ) Deferred: U.S. Federal $ (124,682 ) $ (661,484 ) $ (779,757 ) U.S. State (3,225 ) (239 ) (70,221 ) International (28,222 ) (83,619 ) (9,376 ) Total deferred income tax $ (156,129 ) $ (745,342 ) $ (859,354 ) Excess tax benefits of stock compensation exercised $ — $ (5,463 ) $ 19,676 Valuation allowance — — — Total income tax $ (250,293 ) $ (700,084 ) $ (1,137,465 ) |
Schedule Of Reconciliation Of Income Tax At Federal Statutory Income Tax Rate To Total Income Tax Provision | A reconciliation of income tax from continuing operations at the U.S. federal statutory income tax rate to the total income tax provision from continuing operations for the years ended December 31, 2017, 2016 and 2015 is as follows (in thousands): 2017 2016 2015 Notional U.S. federal income tax provision at the statutory rate $ (519,051 ) $ (1,373,350 ) $ (503,271 ) State income tax, net of federal benefit (11,473 ) 5,182 (45,823 ) U.S. tax reform impact (36,216 ) — — Uncertain tax positions 58,120 (18,111 ) 30,974 Residual tax on non-U.S. net earnings (1,350,811 ) (301,666 ) (359,831 ) Effects of outside basis differences — (636,134 ) (786,130 ) Non-deductible goodwill impairment 60,808 926,881 248,403 Change in valuation allowance 1,648,836 762,604 278,339 Intra-entity transfers of assets (53,509 ) (92,859 ) — International Pharmaceuticals segment divestitures (56,092 ) — — Other 9,095 27,369 (126 ) Income tax $ (250,293 ) $ (700,084 ) $ (1,137,465 ) |
Schedule of Deferred Tax Assets and Liabilities | Excluding assets and liabilities held for sale, the significant components of the net deferred income tax liability shown on the balance sheets as of December 31, 2017 and 2016 are as follows (in thousands): 2017 2016 Deferred tax assets: Accrued expenses and customer allowances $ 299,142 $ 232,101 Compensation related to stock options 20,108 24,246 Deferred interest expense 46,230 57,440 Fixed assets and intangible assets 484,313 55,473 Loss on capital assets 49,585 9,904 Net operating loss carryforward 7,183,651 4,410,386 Other 32,356 30,262 Research and development credit carryforward 4,838 4,244 Tax credit carryforwards 1,516 4,520 Uncertain tax positions 4,364 10,562 Total gross deferred income tax assets $ 8,126,103 $ 4,839,138 Deferred tax liabilities: Other $ (2,042 ) $ — Outside basis difference (92,635 ) (182,409 ) Total gross deferred income tax liabilities $ (94,677 ) $ (182,409 ) Valuation allowance (8,062,975 ) (4,841,209 ) Net deferred income tax liability $ (31,549 ) $ (184,480 ) |
Summary of Tax Credit Carryforwards | At December 31, 2017 , the Company had the following significant deferred tax assets for net operating and capital loss carryforwards, net of unrecognized tax benefits (in thousands): Jurisdiction 2017 Begin to Expire Ireland $ 43,965 indefinite Luxembourg $ 6,847,805 2034 United States: Federal-ordinary losses $ 115,518 2020 Federal-capital losses $ 27,114 2022 State-ordinary losses $ 172,439 2018 State-capital losses $ 20,920 2026 |
Summary of Valuation Allowance | Balance at Beginning of Period Additions, Costs and Expenses Deductions, Write-offs Other (1) Balance at End of Period Valuation Allowance For Deferred Tax Assets: Year Ended December 31, 2015 $ 40,646 $ 386,087 $ (17,106 ) $ 17,364 $ 426,991 Year Ended December 31, 2016 $ 426,991 $ 4,416,478 $ (2,039 ) $ (221 ) $ 4,841,209 Year Ended December 31, 2017 $ 4,841,209 $ 3,811,982 $ — $ (590,216 ) $ 8,062,975 __________ (1) Represents opening balances of businesses acquired in the period and, for the year ended December 31, 2017, changes in the statutory U.S. Federal corporate income tax rate. At December 31, 2017 , the Company had the following significant valuation allowances (in thousands): Jurisdiction 2017 Canada $ 2,228 Ireland $ 99,194 Luxembourg $ 6,847,805 United States $ 1,110,172 |
Schedule Of Reconciliation Of Change In Uncertain Tax Benefits | The following table summarizes the activity related to unrecognized income tax benefits (in thousands): Unrecognized UTB Balance at January 1, 2015 $ 105,330 Gross additions for current year positions 65,439 Gross reductions for prior period positions (234 ) Gross additions for prior period positions 3,460 Decrease due to lapse of statute of limitations (75 ) Additions related to acquisitions 150,152 Currency translation adjustment (7,825 ) UTB Balance at December 31, 2015 $ 316,247 Gross additions for current year positions 142,778 Gross reductions for prior period positions (35,888 ) Gross additions for prior period positions 2,111 Decrease due to lapse of statute of limitations (3,085 ) Additions related to acquisitions 2,350 Currency translation adjustment 88 UTB Balance at December 31, 2016 $ 424,601 Gross additions for current year positions 44,293 Gross reductions for prior period positions (64,887 ) Gross additions for prior period positions 22,765 Decrease due to lapse of statute of limitations (13,151 ) Additions related to acquisitions — Currency translation adjustment 2,330 UTB Balance at December 31, 2017 $ 415,951 Accrued interest and penalties 19,185 Total UTB balance including accrued interest and penalties $ 435,136 Current portion $ 17,100 Non-current portion $ 418,036 |
Summary of Income Tax Examinations | As of December 31, 2017 , we may be subject to examination in the major tax jurisdictions: Jurisdiction Open Years Canada 2013 through 2017 India 2012 through 2017 Ireland 2014 through 2017 Luxembourg 2013 through 2017 United States - federal, state and local 2006 through 2017 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Reconciliation of the numerator and denominator of basic and diluted net loss per share | The following is a reconciliation of the numerator and denominator of basic and diluted net loss per share for the years ended December 31, 2017, 2016 and 2015 (in thousands): 2017 2016 2015 Numerator: Loss from continuing operations $ (1,232,711 ) $ (3,223,772 ) $ (300,399 ) Less: Net income (loss) from continuing operations attributable to noncontrolling interests — 16 (283 ) Loss from continuing operations attributable to Endo International plc ordinary shareholders $ (1,232,711 ) $ (3,223,788 ) $ (300,116 ) Loss from discontinued operations attributable to Endo International plc ordinary shareholders, net of tax (802,722 ) (123,278 ) (1,194,926 ) Net loss attributable to Endo International plc ordinary shareholders $ (2,035,433 ) $ (3,347,066 ) $ (1,495,042 ) Denominator: For basic per share data—weighted average shares 223,198 222,651 197,100 Dilutive effect of ordinary share equivalents — — — Dilutive effect of various convertible notes and warrants — — — For diluted per share data—weighted average shares 223,198 222,651 197,100 |
Quarterly Financial Data (Una50
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Data [Abstract] | |
Schedule of Quarterly Financial Information | The following table presents select unaudited financial data for each of the three-month periods ending March 31, 2017 , June 30, 2017 , September 30, 2017 and December 31, 2017 , as well as the comparable 2016 periods (in thousands, except per share data): Quarter Ended March 31, June 30, September 30, December 31, 2017 (1) Total revenues $ 1,037,600 $ 875,731 $ 786,887 $ 768,640 Gross profit $ 368,638 $ 336,330 $ 272,365 $ 262,995 Loss from continuing operations $ (165,423 ) $ (696,020 ) $ (99,687 ) $ (271,581 ) Discontinued operations, net of tax $ (8,405 ) $ (700,498 ) $ 3,017 $ (96,836 ) Net loss attributable to Endo International plc $ (173,828 ) $ (1,396,518 ) $ (96,670 ) $ (368,417 ) Net loss per share attributable to Endo International plc ordinary shareholders—Basic: Continuing operations $ (0.74 ) $ (3.12 ) $ (0.45 ) $ (1.22 ) Discontinued operations (0.04 ) (3.14 ) 0.02 (0.43 ) Basic $ (0.78 ) $ (6.26 ) $ (0.43 ) $ (1.65 ) Net loss per share attributable to Endo International plc ordinary shareholders—Diluted: Continuing operations $ (0.74 ) $ (3.12 ) $ (0.45 ) $ (1.22 ) Discontinued operations (0.04 ) (3.14 ) 0.02 (0.43 ) Diluted $ (0.78 ) $ (6.26 ) $ (0.43 ) $ (1.65 ) Weighted average shares—Basic 223,014 223,158 223,299 223,322 Weighted average shares—Diluted 223,014 223,158 223,299 223,322 2016 (2) Total revenues $ 963,539 $ 920,887 $ 884,335 $ 1,241,513 Gross profit $ 274,834 $ 288,669 $ 326,863 $ 484,935 (Loss) income from continuing operations $ (88,763 ) $ 389,812 $ (191,496 ) $ (3,333,325 ) Discontinued operations, net of tax $ (45,108 ) $ (46,216 ) $ (27,423 ) $ (4,531 ) Net (loss) income attributable to Endo International plc $ (133,869 ) $ 343,578 $ (218,919 ) $ (3,337,856 ) Net (loss) income per share attributable to Endo International plc ordinary shareholders—Basic: Continuing operations $ (0.40 ) $ 1.75 $ (0.86 ) $ (14.96 ) Discontinued operations (0.20 ) (0.21 ) (0.12 ) (0.02 ) Basic $ (0.60 ) $ 1.54 $ (0.98 ) $ (14.98 ) Net (loss) income per share attributable to Endo International plc ordinary shareholders—Diluted: Continuing operations $ (0.40 ) $ 1.75 $ (0.86 ) $ (14.96 ) Discontinued operations (0.20 ) (0.21 ) (0.12 ) (0.02 ) Diluted $ (0.60 ) $ 1.54 $ (0.98 ) $ (14.98 ) Weighted average shares—Basic 222,302 222,667 222,767 222,870 Weighted average shares—Diluted 222,302 222,863 222,767 222,870 __________ (1) Loss from continuing operations for the year ended December 31, 2017 was impacted by (1) acquisition-related and integration items of $10.9 million , $4.2 million , $16.6 million and $26.4 million during the first, second, third and fourth quarters, respectively, including charges due to changes in the fair value of contingent consideration of $6.2 million , $2.0 million , $15.4 million and $26.4 million , respectively; (2) asset impairment charges of $204.0 million , $725.0 million , $94.9 million and $130.4 million during the first, second, third and fourth quarters, respectively; (3) certain cost reductions and separation benefits incurred in connection with continued efforts to enhance the Company’s operations and other miscellaneous costs of $22.7 million , $24.6 million , $80.7 million and $84.5 million during the first, second, third and fourth quarters, respectively; (4) charges/(benefits) related to litigation-related and other contingent matters totaling $0.9 million , $(2.6) million , $(12.4) million and $200.0 million during the first, second, third and fourth quarters, respectively, and (5) loss on extinguishment of debt of $51.7 million during the second quarter. As previously reported in our Quarterly Report on Form 10-Q for the quarter ended September 30, 2017, the third quarter numbers above reflect a $14.2 million correcting entry to increase asset impairment charges resulting from certain assets that should have been impaired during the second quarter. (2) (Loss) income from continuing operations for the year ended December 31, 2016 was impacted by (1) acquisition-related and integration items of $12.6 million , $48.2 million , $19.5 million and $7.4 million during the first, second, third and fourth quarters, respectively, including charges/(benefits) of $(10.7) million , $23.9 million , $11.6 million and $(1.0) million during the first, second, third and fourth quarters, respectively; (2) asset impairment charges of $129.6 million , $40.0 million , $93.5 million and $3,518.1 million during the first, second, third and fourth quarters, respectively; (3) inventory step-up and certain manufacturing costs that will be eliminated pursuant to integration plans of $68.5 million , $29.1 million , $14.2 million and $13.9 million during the first, second, third and fourth quarters, respectively; (4) certain cost reductions and separation benefits incurred in connection with continued efforts to enhance the Company’s operations and other miscellaneous costs of $38.5 million , $22.2 million , $9.8 million and $37.1 million during the first, second, third and fourth quarters, respectively, and (5) charges/(benefits) related to litigation-related and other contingent matters totaling $5.2 million , $5.3 million , $18.3 million and $(4.8) million during the first, second, third and fourth quarters, respectively. |
SCHEDULE II--Valuation and Qu51
SCHEDULE II--Valuation and Qualifying Accounts - Valuation Allowance (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Valuation and Qualifying Accounts [Abstract] | |
Summary of Valuation Allowance | Balance at Beginning of Period Additions, Costs and Expenses Deductions, Write-offs Other (1) Balance at End of Period Valuation Allowance For Deferred Tax Assets: Year Ended December 31, 2015 $ 40,646 $ 386,087 $ (17,106 ) $ 17,364 $ 426,991 Year Ended December 31, 2016 $ 426,991 $ 4,416,478 $ (2,039 ) $ (221 ) $ 4,841,209 Year Ended December 31, 2017 $ 4,841,209 $ 3,811,982 $ — $ (590,216 ) $ 8,062,975 __________ (1) Represents opening balances of businesses acquired in the period and, for the year ended December 31, 2017, changes in the statutory U.S. Federal corporate income tax rate. At December 31, 2017 , the Company had the following significant valuation allowances (in thousands): Jurisdiction 2017 Canada $ 2,228 Ireland $ 99,194 Luxembourg $ 6,847,805 United States $ 1,110,172 |
Summary of Significant Accoun52
Summary of Significant Accounting Policies Reclassifications due to new Accounting Pronouncements (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Net cash provided by operating activities | $ 553,985 | $ 528,143 | $ 118,501 |
Net cash provided by investing activities | 104,583 | (177,552) | (6,183,764) |
Net cash used in financing activities | (166,993) | (397,186) | 6,001,992 |
Effect of foreign exchange rate | 2,515 | 436 | (11,269) |
Movement in cash held for sale | 11,744 | (11,744) | 997 |
Net change | 505,834 | (57,903) | (73,543) |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS, BEGINNING OF PERIOD | 805,180 | 863,083 | 936,626 |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS, END OF PERIOD | 1,311,014 | 805,180 | 863,083 |
Accounting Standards Update 2016-18 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Net cash provided by investing activities | 36,200 | ||
Prior to Adoption | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Net cash provided by operating activities | 524,439 | 62,026 | |
Net cash provided by investing activities | 125,861 | (6,244,770) | |
Net cash used in financing activities | (393,982) | 6,055,467 | |
Effect of foreign exchange rate | 328 | (7,068) | |
Movement in cash held for sale | (11,744) | 997 | |
Net change | 244,902 | (133,348) | |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS, BEGINNING OF PERIOD | 517,250 | 272,348 | 405,696 |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS, END OF PERIOD | 517,250 | 272,348 | |
Impact of Adoption of: | Accounting Standards Update 2016-09 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Net cash provided by operating activities | 3,204 | 21,979 | |
Net cash provided by investing activities | 0 | 0 | |
Net cash used in financing activities | (3,204) | (21,979) | |
Effect of foreign exchange rate | 0 | 0 | |
Movement in cash held for sale | 0 | 0 | |
Net change | 0 | 0 | |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS, BEGINNING OF PERIOD | 0 | 0 | 0 |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS, END OF PERIOD | 0 | 0 | |
Impact of Adoption of: | Accounting Standards Update 2016-15 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Net cash provided by operating activities | 0 | 31,496 | |
Net cash provided by investing activities | 0 | 0 | |
Net cash used in financing activities | 0 | (31,496) | |
Effect of foreign exchange rate | 0 | 0 | |
Movement in cash held for sale | 0 | 0 | |
Net change | 0 | 0 | |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS, BEGINNING OF PERIOD | 0 | 0 | 0 |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS, END OF PERIOD | 0 | 0 | |
Impact of Adoption of: | Accounting Standards Update 2016-18 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Net cash provided by operating activities | 500 | 3,000 | |
Net cash provided by investing activities | (303,413) | 61,006 | |
Net cash used in financing activities | 0 | 0 | |
Effect of foreign exchange rate | 108 | (4,201) | |
Movement in cash held for sale | 0 | 0 | |
Net change | (302,805) | 59,805 | |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS, BEGINNING OF PERIOD | $ 287,930 | 590,735 | 530,930 |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS, END OF PERIOD | $ 287,930 | $ 590,735 |
Schedule of Concentration Risk,
Schedule of Concentration Risk, By Risk Factor, Customer (Details) - Customer Concentration Risk | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cardinal Health, Inc. | |||
Concentration Risk [Line Items] | |||
Percentage of trade accounts receivable from major customers | 25.00% | 26.00% | 21.00% |
McKesson Corporation | |||
Concentration Risk [Line Items] | |||
Percentage of trade accounts receivable from major customers | 25.00% | 27.00% | 31.00% |
AmerisourceBergen Corporation | |||
Concentration Risk [Line Items] | |||
Percentage of trade accounts receivable from major customers | 25.00% | 25.00% | 23.00% |
Summary of Significant Accoun54
Summary of Significant Accounting Policies (Narrative) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($)customer | Dec. 31, 2015USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | |||
Net cash provided by investing activities | $ 104,583 | $ (177,552) | $ (6,183,764) |
Advertising costs | $ 42,000 | $ 47,900 | $ 57,900 |
Weighted Average | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Intangible life (years) | 11 years | ||
Licensing Agreements | Minimum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Intangible life (years) | 3 years | ||
Licensing Agreements | Maximum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Intangible life (years) | 15 years | ||
Licensing Agreements | Weighted Average | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Intangible life (years) | 12 years | ||
Developed technology | Minimum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Intangible life (years) | 1 year | ||
Developed technology | Maximum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Intangible life (years) | 20 years | ||
Developed technology | Weighted Average | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Intangible life (years) | 11 years | ||
Trade Accounts Receivable | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Concentration risk, percentage | 89.00% | 84.00% | |
Number of customers | customer | 3 | ||
Accounting Standards Update 2016-18 | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Net cash provided by investing activities | $ 36,200 | ||
Sales Revenue, Net [Member] | Product Concentration Risk | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Concentration risk, percentage | 12.00% | 0.00% | 0.00% |
Schedule of Estimated Useful Li
Schedule of Estimated Useful Lives (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Buildings | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 10 years |
Buildings | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 30 years |
Machinery and equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 2 years |
Machinery and equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 15 years |
Leasehold improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 2 years |
Leasehold improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 10 years |
Computer equipment and software | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 1 year |
Computer equipment and software | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 7 years |
Furniture and fixtures | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 3 years |
Furniture and fixtures | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 10 years |
Changes in Accounting Pronounce
Changes in Accounting Pronouncements (Details) - Accounting Standards Update 2016-16 - New Accounting Pronouncement, Early Adoption, Effect $ in Millions | Dec. 31, 2017USD ($) |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Current deferred charge | $ 24.1 |
Non-current deferred charge | 348.8 |
Accounting Standards Update 2016-16 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Net deferred tax asset | $ 479.7 |
Discontinued Operations and A57
Discontinued Operations and Assets and Liabilities Held For Sale - American Medical Systems (Narrative) (Details) - USD ($) | Dec. 11, 2015 | Aug. 03, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from sale of business and other assets, net | $ 223,237,000 | $ 10,870,000 | $ 1,588,779,000 | ||
Less: reclassification adjustments for loss realized in net loss | 112,926,000 | 0 | 25,715,000 | ||
Purchases of property, plant and equipment | 125,654,000 | 138,856,000 | 81,774,000 | ||
AMS | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from sale of business and other assets, net | $ 1,600,000,000 | ||||
Asset impairment charges | 21,300,000 | ||||
Less: reclassification adjustments for loss realized in net loss | 25,700,000 | ||||
Tax (expense) benefit from (gain) loss on disposal | 161,800,000 | ||||
Discontinued Operations, Disposed of by Sale | AMS | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Asset impairment charges | 0 | 21,328,000 | 230,703,000 | ||
Gain on sale of business | 0 | 0 | 13,550,000 | ||
Income tax benefit | 13,704,000 | 0 | 157,418,000 | ||
Net loss | 802,722,000 | 123,164,000 | 1,194,926,000 | ||
Purchases of property, plant and equipment | 100,000 | 2,700,000 | |||
Depreciation and amortization | $ 0 | $ 0 | $ 11,600,000 | ||
Series B Preferred Stock | AMS | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Expected proceeds from issuance of preferred stock | $ 60,000,000 | ||||
Expected shares to be issued | 60,000 | ||||
Payment for redeemable preferred stock | $ 61,600,000 |
Discontinued Operations and A58
Discontinued Operations and Assets and Liabilities Held For Sale - Operating Results of Discontinued Operations (Details) - AMS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Asset impairment charges | $ 21,300 | ||
Discontinued Operations, Disposed of by Sale | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Revenue | $ 338 | 30,101 | $ 305,256 |
Litigation-related and other contingencies, net | 775,474 | 20,115 | 1,107,752 |
Asset impairment charges | 0 | 21,328 | 230,703 |
Gain on sale of business | 0 | 0 | 13,550 |
Loss from discontinued operations before income taxes | (816,426) | (123,164) | (1,352,344) |
Income tax benefit | (13,704) | 0 | (157,418) |
Discontinued operations, net of tax | $ (802,722) | $ (123,164) | $ (1,194,926) |
Discontinued Operations and A59
Discontinued Operations and Assets and Liabilities Held For Sale - Astora Restructuring (Narrative) (Details) - Astora Restructuring | 3 Months Ended | |
Mar. 31, 2016employee | Dec. 31, 2017USD ($) | |
Restructuring Cost and Reserve [Line Items] | ||
Number of positions reduced | employee | 250 | |
Expected restructuring costs remaining | $ | $ 0 |
Discontinued Operations and A60
Discontinued Operations and Assets and Liabilities Held For Sale - Summary of Astora Restructuring Expenses (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Other wind down costs | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring expenses | $ 22,000,000 | $ 25,100,000 |
Astora Restructuring | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring expenses | $ 0 | 60,850,000 |
Astora Restructuring | Employee separation, retention and other benefit-related costs | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring expenses | 20,476,000 | |
Astora Restructuring | Asset impairment charges | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring expenses | 21,328,000 | |
Astora Restructuring | Contract termination-related items | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring expenses | 8,074,000 | |
Astora Restructuring | Other wind down costs | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring expenses | $ 10,972,000 |
Discontinued Operations and A61
Discontinued Operations and Assets and Liabilities Held For Sale - Changes to Liabilty Related to Astora Restructuring Initiative (Details) - Astora Restructuring - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Restructuring Reserve [Roll Forward] | ||
Beginning liability balance | $ 5,516 | $ 0 |
Expenses | 34,348 | |
Cash distributions | (5,063) | (28,832) |
Ending liability balance | 453 | 5,516 |
Employee Separation and Other Benefit-Related Costs | ||
Restructuring Reserve [Roll Forward] | ||
Beginning liability balance | 3,855 | 0 |
Expenses | 20,476 | |
Cash distributions | (3,855) | (16,621) |
Ending liability balance | 0 | 3,855 |
Contract Termination Charges | ||
Restructuring Reserve [Roll Forward] | ||
Beginning liability balance | 1,661 | 0 |
Expenses | 8,074 | |
Cash distributions | (1,208) | (6,413) |
Ending liability balance | 453 | 1,661 |
Other Restructuring Costs | ||
Restructuring Reserve [Roll Forward] | ||
Beginning liability balance | 0 | 0 |
Expenses | 5,798 | |
Cash distributions | 0 | (5,798) |
Ending liability balance | $ 0 | $ 0 |
Discontinued Operations and A62
Discontinued Operations and Assets and Liabilities Held For Sale - Litha Healthcare Group Sale (Details) - USD ($) | Jul. 03, 2017 | Oct. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from sale of business, net | $ 223,237,000 | $ 10,870,000 | $ 1,588,779,000 | ||
Liabilities held for sale | 0 | 24,338,000 | |||
Litha Joint Venture Investment | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Gain on sale of business | $ 10,100,000 | ||||
International Pharmaceuticals | Litha Healthcare Group Limited | Disposal Group, Held-for-sale, Not Discontinued Operations | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from sale of business, net | $ 94,200,000 | ||||
Additional contingent consideration receivable | $ 4,400,000 | ||||
Gain on sale of business | 0 | ||||
Additional contingent consideration payable | $ 26,000,000 | ||||
Current assets | 50,167,000 | ||||
Property, plant and equipment | 3,527,000 | ||||
Other intangibles, net | 29,950,000 | ||||
Other assets | 11,343,000 | ||||
Assets held for sale | 94,987,000 | ||||
Current liabilities | 18,642,000 | ||||
Other liabilities | 5,696,000 | ||||
Liabilities held for sale | $ 24,338,000 |
Discontinued Operations and A63
Discontinued Operations and Assets and Liabilities Held For Sale - Somar Sale (Details) - Somar - Disposal Group, Held-for-sale, Not Discontinued Operations - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Oct. 25, 2017 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Aggregate purchase price | $ 124 | |
Gain on sale of business | $ 1.3 |
Restructuring (Narrative) (Deta
Restructuring (Narrative) (Details) | Jul. 21, 2017USD ($)position | Jan. 26, 2017position | Oct. 31, 2016USD ($) | Mar. 31, 2019USD ($) | Dec. 31, 2017USD ($) | Sep. 30, 2017USD ($) | Jun. 30, 2017USD ($) | Mar. 31, 2017USD ($) | Dec. 31, 2016USD ($)position | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Jan. 31, 2018USD ($) | Sep. 25, 2015 | Jan. 29, 2015 |
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Impairment of intangible assets | $ 790,311,000 | ||||||||||||||
U.S. Generic Pharmaceuticals | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Impairment of intangible assets | $ 125,300,000 | $ 54,200,000 | $ 268,200,000 | $ 72,700,000 | $ 507,200,000 | ||||||||||
Excess Inventory Reserve Write-Offs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 13,700,000 | $ 24,500,000 | $ 41,200,000 | ||||||||||||
Other Restructuring Costs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 22,000,000 | 25,100,000 | |||||||||||||
Auxilium Restructuring | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Expected positions eliminated (percent) | 40.00% | ||||||||||||||
Restructuring expenses | 1,058,000 | 0 | 41,900,000 | ||||||||||||
Auxilium Restructuring | Asset Impairment Charges | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 7,000,000 | ||||||||||||||
Auxilium Restructuring | Facility Exit Costs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 7,900,000 | ||||||||||||||
Auxilium Restructuring | Other Restructuring Costs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 1,058,000 | ||||||||||||||
Auxilium Restructuring | Employee separation, retention and other benefit-related costs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 0 | 26,700,000 | |||||||||||||
US Generic Pharmaceuticals Restructuring 2015 | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 63,000 | 5,010,000 | $ 23,600,000 | ||||||||||||
Percent of positions eliminated | 6.00% | ||||||||||||||
2016 US Generic Pharmaceuticals Restructuring | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 984,000 | 16,983,000 | |||||||||||||
Restructuring costs incurred | 1,000,000 | 173,900,000 | |||||||||||||
2016 US Generic Pharmaceuticals Restructuring | Asset Impairment Charges | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Impairment of intangible assets | 107,200,000 | ||||||||||||||
2016 US Generic Pharmaceuticals Restructuring | Excess Inventory Reserve Write-Offs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 33,300,000 | ||||||||||||||
2016 US Generic Pharmaceuticals Restructuring | Employee Separation, Retention, and Other Benefit Related Costs | U.S. Generic Pharmaceuticals | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 17,000,000 | ||||||||||||||
2016 US Generic Pharmaceuticals Restructuring | Accelerated Depreciation | U.S. Generic Pharmaceuticals | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 10,200,000 | ||||||||||||||
2016 US Generic Pharmaceuticals Restructuring | Other Restructuring Costs | U.S. Generic Pharmaceuticals | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 6,200,000 | ||||||||||||||
2016 US Generic Pharmaceuticals Restructuring | Charlotte, North Carolina Facility | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Proceeds from sale of property | $ 14,000,000 | ||||||||||||||
2016 US Branded Pharmaceutical Restructuring | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | $ 61,500,000 | 21,768,000 | |||||||||||||
Number of positions reduced | position | 375 | ||||||||||||||
Expected restructuring costs remaining | 0 | 0 | |||||||||||||
2016 US Branded Pharmaceutical Restructuring | Asset Impairment Charges | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | $ 36,800,000 | ||||||||||||||
2016 US Branded Pharmaceutical Restructuring | Excess Inventory Reserve Write-Offs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 3,000,000 | ||||||||||||||
2016 US Branded Pharmaceutical Restructuring | Employee separation, retention and other benefit-related costs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 16,500,000 | 16,544,000 | |||||||||||||
2016 US Branded Pharmaceutical Restructuring | Contract Termination Charges | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | $ 5,200,000 | $ 5,224,000 | |||||||||||||
January 2017 Restructuring | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 15,072,000 | ||||||||||||||
Expected number of positions to be eliminated | position | 90 | ||||||||||||||
Expected restructuring costs remaining | $ 0 | 0 | |||||||||||||
January 2017 Restructuring | Corporate unallocated costs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 4,900,000 | ||||||||||||||
January 2017 Restructuring | U.S. Generic Pharmaceuticals | Operating Segments | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 3,300,000 | ||||||||||||||
January 2017 Restructuring | U.S. Branded Pharmaceuticals | Operating Segments | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 6,900,000 | ||||||||||||||
2017 US Generic Pharmaceuticals Restructuring | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 43,277,000 | ||||||||||||||
Expected number of positions to be eliminated | position | 815 | ||||||||||||||
Restructuring and related cost, expected cost | $ 345,000,000 | ||||||||||||||
Estimated cash outlays | 70,000,000 | ||||||||||||||
2017 US Generic Pharmaceuticals Restructuring | U.S. Generic Pharmaceuticals | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 286,700,000 | ||||||||||||||
2017 US Generic Pharmaceuticals Restructuring | Asset Impairment Charges | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 104,700,000 | ||||||||||||||
Restructuring and related cost, expected cost | 105,000,000 | ||||||||||||||
2017 US Generic Pharmaceuticals Restructuring | Excess Inventory Reserve Write-Offs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 12,100,000 | ||||||||||||||
Restructuring and related cost, expected cost | 10,000,000 | ||||||||||||||
2017 US Generic Pharmaceuticals Restructuring | Employee Separation, Retention, and Other Benefit Related Costs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 29,600,000 | ||||||||||||||
Restructuring and related cost, expected cost | 40,000,000 | ||||||||||||||
2017 US Generic Pharmaceuticals Restructuring | Accelerated Depreciation | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 123,300,000 | ||||||||||||||
Restructuring and related cost, expected cost | 155,000,000 | ||||||||||||||
2017 US Generic Pharmaceuticals Restructuring | Other Restructuring Costs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 13,724,000 | ||||||||||||||
Restructuring and related cost, expected cost | $ 35,000,000 | ||||||||||||||
Restructuring charges | 17,000,000 | ||||||||||||||
2017 US Generic Pharmaceuticals Restructuring | Employee separation, retention and other benefit-related costs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 29,553,000 | ||||||||||||||
January 2018 Restructuring Member | U.S. Generic Pharmaceuticals | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 2,600,000 | ||||||||||||||
January 2018 Restructuring Member | Asset Impairment Charges | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring expenses | 2,000,000 | ||||||||||||||
January 2018 Restructuring Member | Other Restructuring Costs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring charges | $ 600,000 | ||||||||||||||
Scenario, Forecast | January 2018 Restructuring Member | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Estimated cash outlays | $ 25,000,000 | ||||||||||||||
Subsequent Event | January 2018 Restructuring Member | U.S. Generic Pharmaceuticals | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring and related cost, expected cost | $ 30,000,000 | ||||||||||||||
Subsequent Event | January 2018 Restructuring Member | Employee Separation, Retention, and Other Benefit Related Costs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring and related cost, expected cost | 25,000,000 | ||||||||||||||
Subsequent Event | January 2018 Restructuring Member | Other Restructuring Costs | |||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||
Restructuring and related cost, expected cost | $ 5,000,000 |
Restructuring (Changes to Restr
Restructuring (Changes to Restructuring Accrual) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Other Restructuring Costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Expenses | $ 22,000,000 | $ 25,100,000 | ||
Auxilium Restructuring | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning liability balance | 5,504,000 | 12,263,000 | ||
Cash distributions | (1,937,000) | (6,759,000) | ||
Expenses | 1,058,000 | 0 | $ 41,900,000 | |
Ending liability balance | $ 5,504,000 | 4,625,000 | 5,504,000 | 12,263,000 |
Auxilium Restructuring | Employee separation, retention and other benefit-related costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning liability balance | 0 | 5,353,000 | ||
Cash distributions | 0 | (5,353,000) | ||
Expenses | 0 | 26,700,000 | ||
Ending liability balance | 0 | 0 | 0 | 5,353,000 |
Auxilium Restructuring | Other Restructuring Costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning liability balance | 5,504,000 | 6,910,000 | ||
Cash distributions | (1,937,000) | (1,406,000) | ||
Expenses | 1,058,000 | |||
Ending liability balance | 5,504,000 | 4,625,000 | 5,504,000 | 6,910,000 |
US Generic Pharmaceuticals Restructuring 2015 | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning liability balance | 3,269,000 | 17,914,000 | ||
Cash distributions | (3,332,000) | (19,655,000) | ||
Expenses | 63,000 | 5,010,000 | 23,600,000 | |
Ending liability balance | 3,269,000 | 0 | 3,269,000 | 17,914,000 |
2016 US Generic Pharmaceuticals Restructuring | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning liability balance | 9,939,000 | 0 | ||
Cash distributions | (10,672,000) | (7,044,000) | ||
Expenses | 984,000 | 16,983,000 | ||
Ending liability balance | 9,939,000 | 251,000 | 9,939,000 | 0 |
2016 US Branded Pharmaceutical Restructuring | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning liability balance | 21,768,000 | 0 | ||
Cash distributions | (21,768,000) | 0 | ||
Expenses | 61,500,000 | 21,768,000 | ||
Ending liability balance | 21,768,000 | 0 | 21,768,000 | 0 |
2016 US Branded Pharmaceutical Restructuring | Employee separation, retention and other benefit-related costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning liability balance | 16,544,000 | 0 | ||
Cash distributions | (16,544,000) | 0 | ||
Expenses | 16,500,000 | 16,544,000 | ||
Ending liability balance | 16,544,000 | 0 | 16,544,000 | 0 |
2016 US Branded Pharmaceutical Restructuring | Contract Termination Charges | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning liability balance | 5,224,000 | 0 | ||
Cash distributions | (5,224,000) | 0 | ||
Expenses | 5,200,000 | 5,224,000 | ||
Ending liability balance | 5,224,000 | 0 | 5,224,000 | $ 0 |
January 2017 Restructuring | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning liability balance | 0 | |||
Cash distributions | (12,391,000) | |||
Expenses | 15,072,000 | |||
Ending liability balance | 0 | 2,681,000 | 0 | |
2017 US Generic Pharmaceuticals Restructuring | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning liability balance | 0 | |||
Cash distributions | (18,692,000) | |||
Expenses | 43,277,000 | |||
Ending liability balance | 0 | 24,585,000 | 0 | |
2017 US Generic Pharmaceuticals Restructuring | Employee separation, retention and other benefit-related costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning liability balance | 0 | |||
Cash distributions | (6,578,000) | |||
Expenses | 29,553,000 | |||
Ending liability balance | 0 | 22,975,000 | 0 | |
2017 US Generic Pharmaceuticals Restructuring | Other Restructuring Costs | ||||
Restructuring Reserve [Roll Forward] | ||||
Beginning liability balance | 0 | |||
Cash distributions | (12,114,000) | |||
Expenses | 13,724,000 | |||
Ending liability balance | $ 0 | $ 1,610,000 | $ 0 |
Acquisitions (Auxilium Pharmace
Acquisitions (Auxilium Pharmaceuticals, Inc.) (Narrative) (Details) - USD ($) $ in Thousands | Jan. 29, 2015 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Business Acquisition [Line Items] | ||||||||||||
Acquisition-related and integration items | $ 26,400 | $ 16,600 | $ 4,200 | $ 10,900 | $ 7,400 | $ 19,500 | $ 48,200 | $ 12,600 | $ 58,086 | $ 87,601 | $ 105,250 | |
Amortization of intangible assets | $ 773,766 | 876,451 | 561,302 | |||||||||
Auxilium Pharmaceuticals, Inc. | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Aggregate consideration transferred | $ 2,600,000 | |||||||||||
Fair value of shares issued as part of acquisition | $ 1,520,000 | |||||||||||
Interest expense | 1,100 | |||||||||||
Amortization of intangible assets | 6,200 | |||||||||||
Auxilium Pharmaceuticals, Inc. | Acquisition-Related And Integration Items | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Acquisition-related and integration items | $ 0 | $ 23,100 | ||||||||||
Common Stock | Auxilium Pharmaceuticals, Inc. | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Ordinary shares issued (in shares) | 18,609,835 | 18,609,835 |
Acquisitions (Schedule Of Reven
Acquisitions (Schedule Of Revenue And Income And Net Loss Included In Consolidated Statements of Operations) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 11 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |||||||||||||
Revenue | $ 3,468,858 | $ 4,010,274 | $ 3,268,718 | ||||||||||
Net income (loss) attributable to Endo International plc | $ (368,417) | $ (96,670) | $ (1,396,518) | $ (173,828) | $ (3,337,856) | $ (218,919) | $ 343,578 | $ (133,869) | $ (2,035,433) | $ (3,347,066) | $ (1,495,042) | ||
Auxilium Pharmaceuticals, Inc. | |||||||||||||
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |||||||||||||
Revenue | $ 341,520 | ||||||||||||
Net income (loss) attributable to Endo International plc | $ (469,986) | ||||||||||||
Basic and diluted net loss per share (in dollars per share) | $ (2.38) | ||||||||||||
Par Pharmaceutical Holdings, Inc. | |||||||||||||
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |||||||||||||
Revenue | $ 401,238 | ||||||||||||
Net income (loss) attributable to Endo International plc | $ (4,348) | ||||||||||||
Basic and diluted net loss per share (in dollars per share) | $ (0.02) |
Acquisitions (Schedule Of Pro F
Acquisitions (Schedule Of Pro Forma Consolidated Results) (Details) $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2015USD ($)$ / shares | |
Auxilium Pharmaceuticals, Inc. | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Revenue | $ | $ 3,292,293 |
Net loss attributable to Endo International plc | $ | $ (1,513,625) |
Basic net income (loss) per share (in dollars per share) | $ / shares | $ (7.68) |
Diluted net income (loss) per share (in dollars per share) | $ / shares | $ (7.68) |
Par Pharmaceutical Holdings, Inc. | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | |
Revenue | $ | $ 4,268,110 |
Net loss attributable to Endo International plc | $ | $ (1,594,130) |
Basic net income (loss) per share (in dollars per share) | $ / shares | $ (8.09) |
Diluted net income (loss) per share (in dollars per share) | $ / shares | $ (8.09) |
Acquisitions (Par Pharmaceutica
Acquisitions (Par Pharmaceutical Holdings, Inc.) (Narrative) (Details) - USD ($) $ in Thousands | Sep. 25, 2015 | Jun. 10, 2015 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Business Acquisition [Line Items] | |||||||||||||
Acquisition-related costs | $ 26,400 | $ 16,600 | $ 4,200 | $ 10,900 | $ 7,400 | $ 19,500 | $ 48,200 | $ 12,600 | $ 58,086 | $ 87,601 | $ 105,250 | ||
Amortization of intangible assets | $ 773,766 | $ 876,451 | 561,302 | ||||||||||
Par Pharmaceutical Holdings, Inc. | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Aggregate consideration transferred | $ 8,140,000 | ||||||||||||
Ordinary shares issued (in shares) | 18,069,899 | 27,627,628 | |||||||||||
Equity consideration | $ 1,330,000 | ||||||||||||
Acquisition-related costs | 46,300 | ||||||||||||
Increase (decrease) in interest expense | 11,700 | ||||||||||||
Amortization of intangible assets | $ 129,200 |
Acquisitions (Aspen Holdings) (
Acquisitions (Aspen Holdings) (Narrative) (Details) - Aspen Holdings $ in Millions | Oct. 01, 2015USD ($)country |
Business Acquisition [Line Items] | |
Number of countries the company operates in (more than 150) | country | 150 |
Payments to acquire business | $ | $ 135.6 |
Acquisitions (Voltaren Gel) (Na
Acquisitions (Voltaren Gel) (Narrative) (Details) - USD ($) | Jul. 01, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 4,450,082,000 | $ 4,729,395,000 | $ 7,299,354,000 | |
Voltaren Gel | ||||
Business Acquisition [Line Items] | ||||
Aggregate consideration transferred | $ 162,700,000 | |||
Payments to acquire business | 16,200,000 | |||
Contingent consideration | 146,000,000 | |||
Net identifiable assets acquired | 162,700,000 | |||
Goodwill | 0 | |||
Finite-lived intangible assets acquired | $ 162,700,000 | |||
Estimated useful life | 7 years |
Segment Results - Schedule Of R
Segment Results - Schedule Of Reportable Segments Information (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017USD ($)segment | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Segment Reporting Information [Line Items] | |||
Number of reportable segments | segment | 4 | ||
Total net revenues to external customers | $ 3,468,858 | $ 4,010,274 | $ 3,268,718 |
Total segment adjusted income from continuing operations before income tax | 1,608,175 | 1,717,622 | 1,517,996 |
U.S. Branded - Specialty & Established Pharmaceuticals | |||
Segment Reporting Information [Line Items] | |||
Total net revenues to external customers | 957,525 | 1,166,294 | 1,284,607 |
Total segment adjusted income from continuing operations before income tax | 485,515 | 553,806 | 694,440 |
U.S. Branded - Sterile Injectables | |||
Segment Reporting Information [Line Items] | |||
Total net revenues to external customers | 750,471 | 576,399 | 114,719 |
Total segment adjusted income from continuing operations before income tax | 563,103 | 426,170 | 76,627 |
U.S. Generic Pharmaceuticals | |||
Segment Reporting Information [Line Items] | |||
Total net revenues to external customers | 1,530,530 | 1,988,214 | 1,557,697 |
Total segment adjusted income from continuing operations before income tax | 501,249 | 653,309 | 665,140 |
International Pharmaceuticals | |||
Segment Reporting Information [Line Items] | |||
Total net revenues to external customers | 230,332 | 279,367 | 311,695 |
Total segment adjusted income from continuing operations before income tax | $ 58,308 | $ 84,337 | $ 81,789 |
Segment Results - Schedule Of73
Segment Results - Schedule Of Reconciliations Of Consolidated Adjusted Income (Loss) Before Income Tax (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | |||||||||||
Total consolidated loss from continuing operations before income tax | $ (1,483,004) | $ (3,923,856) | $ (1,437,864) | ||||||||
Interest expense, net | 488,228 | 452,679 | 373,214 | ||||||||
Amortization of intangible assets | 773,766 | 876,451 | 561,302 | ||||||||
Acceleration of Auxilium employee equity awards at closing | 37,600 | ||||||||||
Asset impairment charges | $ 130,400 | $ 94,900 | $ 725,000 | $ 204,000 | $ 3,518,100 | $ 93,500 | $ 40,000 | $ 129,600 | 1,154,376 | 3,781,165 | 1,140,709 |
Acquisition-related costs | 26,400 | 16,600 | 4,200 | 10,900 | 7,400 | 19,500 | 48,200 | 12,600 | 58,086 | 87,601 | 105,250 |
Costs associated with unused financing commitments | 0 | 0 | 78,352 | ||||||||
Other-than-temporary impairment of equity investment | 0 | 0 | 18,869 | ||||||||
Severance costs | 84,500 | 80,700 | 24,600 | 22,700 | 37,100 | 9,800 | 22,200 | 38,500 | 53,000 | 57,900 | 60,200 |
Accelerated depreciation | 123,700 | ||||||||||
Building costs | 13,300 | ||||||||||
Provision for acquired remaining lease obligations | 7,900 | ||||||||||
Transaction costs | 8,100 | 63,800 | 170,900 | ||||||||
Change in fair value of contingent consideration | $ 26,400 | $ 15,400 | $ 2,000 | $ 6,200 | $ (1,000) | $ 11,600 | $ 23,900 | $ (10,700) | 49,949 | 23,823 | (65,640) |
Inventory Write-Offs | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Restructuring expenses | 13,700 | 24,500 | 41,200 | ||||||||
Other Restructuring Costs | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Restructuring expenses | 22,000 | 25,100 | |||||||||
Segment Reconciling Items | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Interest expense, net | 488,228 | 452,679 | 373,214 | ||||||||
Corporate unallocated costs | 165,298 | 189,043 | 171,242 | ||||||||
Amortization of intangible assets | 773,766 | 876,451 | 561,302 | ||||||||
Inventory step-up and certain manufacturing costs that will be eliminated pursuant to integration plans | 390 | 125,699 | 249,464 | ||||||||
Upfront and milestone payments to partners | 9,483 | 8,330 | 16,155 | ||||||||
Separation benefits and other cost reduction initiatives | 212,448 | 107,491 | 125,407 | ||||||||
Impact of VOLTAREN® Gel generic competition | 0 | (7,750) | 0 | ||||||||
Acceleration of Auxilium employee equity awards at closing | 0 | 0 | 37,603 | ||||||||
Certain litigation-related and other contingencies, net | 185,990 | 23,950 | 37,082 | ||||||||
Asset impairment charges | 1,154,376 | 3,781,165 | 1,140,709 | ||||||||
Acquisition-related costs | 58,086 | 87,601 | 105,250 | ||||||||
Loss on extinguishment of debt | 51,734 | 0 | 67,484 | ||||||||
Costs associated with unused financing commitments | 0 | 0 | 78,352 | ||||||||
Other-than-temporary impairment of equity investment | 0 | 0 | 18,869 | ||||||||
Foreign currency impact related to the remeasurement of intercompany debt instruments | (1,403) | 366 | (25,121) | ||||||||
Other, net | (7,217) | (3,547) | (1,152) | ||||||||
Operating Segments | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total consolidated loss from continuing operations before income tax | $ 1,608,175 | $ 1,717,622 | $ 1,517,996 |
Segment Results - Additional Se
Segment Results - Additional Selected Financial Information For Reportable Segments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | |||
Total depreciation expense | $ 209,999 | $ 106,858 | $ 59,898 |
Operating Segments | U.S. Branded - Specialty & Established Pharmaceuticals | |||
Segment Reporting Information [Line Items] | |||
Total depreciation expense | 16,957 | 16,294 | 19,884 |
Operating Segments | U.S. Branded - Sterile Injectables | |||
Segment Reporting Information [Line Items] | |||
Total depreciation expense | 8,411 | 9,023 | 2,333 |
Operating Segments | U.S. Generic Pharmaceuticals | |||
Segment Reporting Information [Line Items] | |||
Total depreciation expense | 174,652 | 70,816 | 26,860 |
Operating Segments | International Pharmaceuticals | |||
Segment Reporting Information [Line Items] | |||
Total depreciation expense | 3,332 | 2,557 | 3,147 |
Corporate unallocated | |||
Segment Reporting Information [Line Items] | |||
Total depreciation expense | $ 6,647 | $ 8,168 | $ 7,674 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Restricted cash and cash equivalents | $ 324,400 | $ 287,900 |
Restricted cash and cash equivalents classified as current assets | 320,453 | 282,074 |
Goodwill impairment charges | $ 288,744 | 2,676,350 |
Minimum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Discount rate range (percent) | 10.00% | |
Maximum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Discount rate range (percent) | 22.00% | |
Vaginal Mesh Cases | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Settlement funds | $ 313,814 | 275,987 |
Money market funds | Restricted cash and cash equivalents | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Settlement funds | $ 35,600 | $ 26,200 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial Assets And Liabilities Measured At Fair Value On Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Assets: | ||
Fair value of financial assets measured on recurring basis | $ 744,697 | $ 128,477 |
Liabilities: | ||
Fair value of financial liabilities measured on recurring basis | 190,442 | 262,113 |
Acquisition-related contingent consideration—short-term | ||
Liabilities: | ||
Fair value of financial liabilities measured on recurring basis | 70,543 | 109,373 |
Acquisition-related contingent consideration—long-term | ||
Liabilities: | ||
Fair value of financial liabilities measured on recurring basis | 119,899 | 152,740 |
Money market funds | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 439,831 | 26,210 |
Time deposits | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 303,410 | 100,000 |
Equity securities | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 1,456 | 2,267 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 441,287 | 28,477 |
Liabilities: | ||
Fair value of financial liabilities measured on recurring basis | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Acquisition-related contingent consideration—short-term | ||
Liabilities: | ||
Fair value of financial liabilities measured on recurring basis | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Acquisition-related contingent consideration—long-term | ||
Liabilities: | ||
Fair value of financial liabilities measured on recurring basis | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Money market funds | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 439,831 | 26,210 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Time deposits | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Equity securities | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 1,456 | 2,267 |
Significant Other Observable Inputs (Level 2) | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 303,410 | 100,000 |
Liabilities: | ||
Fair value of financial liabilities measured on recurring basis | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Acquisition-related contingent consideration—short-term | ||
Liabilities: | ||
Fair value of financial liabilities measured on recurring basis | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Acquisition-related contingent consideration—long-term | ||
Liabilities: | ||
Fair value of financial liabilities measured on recurring basis | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Money market funds | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Time deposits | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 303,410 | 100,000 |
Significant Other Observable Inputs (Level 2) | Equity securities | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 0 | 0 |
Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 0 | 0 |
Liabilities: | ||
Fair value of financial liabilities measured on recurring basis | 190,442 | 262,113 |
Significant Unobservable Inputs (Level 3) | Acquisition-related contingent consideration—short-term | ||
Liabilities: | ||
Fair value of financial liabilities measured on recurring basis | 70,543 | 109,373 |
Significant Unobservable Inputs (Level 3) | Acquisition-related contingent consideration—long-term | ||
Liabilities: | ||
Fair value of financial liabilities measured on recurring basis | 119,899 | 152,740 |
Significant Unobservable Inputs (Level 3) | Money market funds | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Time deposits | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Equity securities | ||
Assets: | ||
Fair value of financial assets measured on recurring basis | $ 0 | $ 0 |
Fair Value Measurements - Fin77
Fair Value Measurements - Financial Liabilities Measured At Fair Value On Recurring Basis Using Significant Unobservable Inputs (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Acquisition-related contingent consideration | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning of period | $ 262,113 | $ 143,502 |
Acquisitions | 0 | 146,866 |
Amounts settled | (122,559) | (55,896) |
Measurement period adjustments | 0 | 3,700 |
Changes in fair value recorded in earnings | 49,949 | 23,823 |
Effect of currency translation | 939 | 118 |
Fair Value Adjustments and Accretion | 23,823 | |
Payments and Other | (121,620) | (55,778) |
End of period | 190,442 | 262,113 |
Acquisition-related contingent consideration | Qualitest | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning of period | 0 | 1,137 |
Fair Value Adjustments and Accretion | (1,137) | |
Payments and Other | 0 | |
End of period | 0 | |
Acquisition-related contingent consideration | Sumavel DosePro | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning of period | 0 | 631 |
Fair Value Adjustments and Accretion | (631) | |
Payments and Other | 0 | |
End of period | 0 | |
Acquisition-related contingent consideration | Auxilium acquisition | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning of period | 21,097 | 26,435 |
Changes in fair value recorded in earnings | 467 | |
Fair Value Adjustments and Accretion | 8,952 | |
Payments and Other | (8,503) | (14,290) |
End of period | 13,061 | 21,097 |
Acquisition-related contingent consideration | Lehigh Valley Technologies, Inc. acquisitions | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning of period | 96,000 | 97,003 |
Changes in fair value recorded in earnings | 40,016 | |
Fair Value Adjustments and Accretion | 30,676 | |
Payments and Other | (73,015) | (31,679) |
End of period | 63,001 | 96,000 |
Acquisition-related contingent consideration | VOLTAREN® Gel acquisition | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning of period | 118,395 | 0 |
Changes in fair value recorded in earnings | 18,586 | |
Fair Value Adjustments and Accretion | (18,807) | |
Payments and Other | (38,857) | (8,853) |
End of period | 98,124 | 118,395 |
Acquisition-related contingent consideration | Other | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning of period | 26,621 | 18,296 |
Changes in fair value recorded in earnings | (9,120) | |
Fair Value Adjustments and Accretion | 4,770 | |
Payments and Other | (1,245) | (956) |
End of period | 16,256 | 26,621 |
Acquisition-related contingent consideration and other measurement period adjustments | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Acquisitions | 0 | 150,566 |
Acquisition-related contingent consideration and other measurement period adjustments | Qualitest | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Acquisitions | 0 | |
Acquisition-related contingent consideration and other measurement period adjustments | Sumavel DosePro | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Acquisitions | 0 | |
Acquisition-related contingent consideration and other measurement period adjustments | Auxilium acquisition | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Acquisitions | 0 | 0 |
Acquisition-related contingent consideration and other measurement period adjustments | Lehigh Valley Technologies, Inc. acquisitions | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Acquisitions | 0 | 0 |
Acquisition-related contingent consideration and other measurement period adjustments | VOLTAREN® Gel acquisition | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Acquisitions | 0 | 146,055 |
Acquisition-related contingent consideration and other measurement period adjustments | Other | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Acquisitions | $ 0 | $ 4,511 |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value Measurements (Schedule of Financial Assets Measured At Fair Value On A Nonrecurring Basis) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Assets: | |||||||||||
Total expense for the year | $ (130,400) | $ (94,900) | $ (725,000) | $ (204,000) | $ (3,518,100) | $ (93,500) | $ (40,000) | $ (129,600) | $ (1,154,376) | $ (3,781,165) | $ (1,140,709) |
U.S. Branded Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Total expense for the year | $ (24,100) | $ (31,500) | |||||||||
U.S. Generic Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Total expense for the year | $ (40,000) | $ (29,300) | |||||||||
U.S. Generic Pharmaceuticals | 2017 US Generic Pharmaceuticals Restructuring | |||||||||||
Assets: | |||||||||||
Total expense for the year | (57,500) | ||||||||||
Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Total expense for the year | (865,633) | (3,802,493) | |||||||||
Fair value, measurements, nonrecurring | Certain property, plant and equipment | |||||||||||
Assets: | |||||||||||
Total expense for the year | (65,676) | ||||||||||
Fair value, measurements, nonrecurring | Other | |||||||||||
Assets: | |||||||||||
Total expense for the year | (4,112) | ||||||||||
Fair value, measurements, nonrecurring | U.S. Branded Pharmaceuticals | Intangible assets | |||||||||||
Assets: | |||||||||||
Total expense for the year | (76,674) | (110,430) | |||||||||
Fair value, measurements, nonrecurring | U.S. Generic Pharmaceuticals | Intangible assets | |||||||||||
Assets: | |||||||||||
Total expense for the year | (577,923) | (676,776) | |||||||||
Fair value, measurements, nonrecurring | U.S. Generic Pharmaceuticals | Certain property, plant and equipment | |||||||||||
Assets: | |||||||||||
Total expense for the year | (13,679) | ||||||||||
Fair value, measurements, nonrecurring | U.S. Generic Pharmaceuticals | Goodwill | |||||||||||
Assets: | |||||||||||
Total expense for the year | (2,342,549) | ||||||||||
Fair value, measurements, nonrecurring | International Pharmaceuticals | Intangible assets | |||||||||||
Assets: | |||||||||||
Total expense for the year | (145,360) | (301,698) | |||||||||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Certain property, plant and equipment | 0 | 0 | |||||||||
Other asset impairment charges | 0 | 0 | |||||||||
Total | 0 | 0 | 0 | 0 | |||||||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair value, measurements, nonrecurring | U.S. Branded Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Certain segment intangible assets | 0 | 0 | 0 | 0 | |||||||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair value, measurements, nonrecurring | U.S. Generic Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Certain property, plant and equipment | 0 | 0 | |||||||||
Certain segment intangible assets | 0 | 0 | 0 | 0 | |||||||
Reporting unit goodwill | 0 | 0 | |||||||||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair value, measurements, nonrecurring | International Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Certain segment intangible assets | 0 | 0 | 0 | 0 | |||||||
Significant Other Observable Inputs (Level 2) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Certain property, plant and equipment | 0 | 0 | |||||||||
Other asset impairment charges | 0 | 0 | |||||||||
Total | 0 | 0 | 0 | 0 | |||||||
Significant Other Observable Inputs (Level 2) | Fair value, measurements, nonrecurring | U.S. Branded Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Certain segment intangible assets | 0 | 0 | 0 | 0 | |||||||
Significant Other Observable Inputs (Level 2) | Fair value, measurements, nonrecurring | U.S. Generic Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Certain property, plant and equipment | 0 | 0 | |||||||||
Certain segment intangible assets | 0 | 0 | 0 | 0 | |||||||
Reporting unit goodwill | 0 | 0 | |||||||||
Significant Other Observable Inputs (Level 2) | Fair value, measurements, nonrecurring | International Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Certain segment intangible assets | 0 | 0 | 0 | 0 | |||||||
Significant Unobservable Inputs (Level 3) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Certain property, plant and equipment | 0 | 0 | |||||||||
Other asset impairment charges | 0 | 0 | |||||||||
Total | 423,258 | 4,753,685 | 423,258 | 4,753,685 | |||||||
Significant Unobservable Inputs (Level 3) | Fair value, measurements, nonrecurring | U.S. Branded Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Certain segment intangible assets | 34,326 | 4,621 | 34,326 | 4,621 | |||||||
Significant Unobservable Inputs (Level 3) | Fair value, measurements, nonrecurring | U.S. Generic Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Certain property, plant and equipment | 11,360 | 11,360 | |||||||||
Certain segment intangible assets | 367,160 | 872,474 | 367,160 | 872,474 | |||||||
Reporting unit goodwill | 3,531,301 | 3,531,301 | |||||||||
Significant Unobservable Inputs (Level 3) | Fair value, measurements, nonrecurring | International Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Certain segment intangible assets | 21,772 | 139,313 | $ 21,772 | 139,313 | |||||||
Astora | Fair value, measurements, nonrecurring | Intangible assets | |||||||||||
Assets: | |||||||||||
Total expense for the year | (16,287) | ||||||||||
Astora | Fair value, measurements, nonrecurring | Certain property, plant and equipment | |||||||||||
Assets: | |||||||||||
Total expense for the year | (5,041) | ||||||||||
Astora | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Certain property, plant and equipment | 0 | 0 | |||||||||
Certain segment intangible assets | 0 | 0 | |||||||||
Astora | Significant Other Observable Inputs (Level 2) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Certain property, plant and equipment | 0 | 0 | |||||||||
Certain segment intangible assets | 0 | 0 | |||||||||
Astora | Significant Unobservable Inputs (Level 3) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Certain property, plant and equipment | 0 | 0 | |||||||||
Certain segment intangible assets | 0 | 0 | |||||||||
Paladin Labs Inc. | U.S. Branded Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Total expense for the year | $ (500) | ||||||||||
Paladin Labs Inc. | International Pharmaceuticals | |||||||||||
Assets: | |||||||||||
Total expense for the year | $ (82,600) | ||||||||||
Paladin Labs Inc. | Fair value, measurements, nonrecurring | Goodwill | |||||||||||
Assets: | |||||||||||
Total expense for the year | (272,578) | ||||||||||
Paladin Labs Inc. | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Reporting unit goodwill | 0 | 0 | |||||||||
Paladin Labs Inc. | Significant Other Observable Inputs (Level 2) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Reporting unit goodwill | 0 | 0 | |||||||||
Paladin Labs Inc. | Significant Unobservable Inputs (Level 3) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Reporting unit goodwill | 170,572 | 170,572 | |||||||||
Grupo Farmacéutico Somar | Fair value, measurements, nonrecurring | Goodwill | |||||||||||
Assets: | |||||||||||
Total expense for the year | (33,000) | ||||||||||
Grupo Farmacéutico Somar | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Reporting unit goodwill | 0 | 0 | |||||||||
Grupo Farmacéutico Somar | Significant Other Observable Inputs (Level 2) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Reporting unit goodwill | 0 | 0 | |||||||||
Grupo Farmacéutico Somar | Significant Unobservable Inputs (Level 3) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Reporting unit goodwill | 24,044 | 24,044 | |||||||||
Litha Joint Venture Investment | Fair value, measurements, nonrecurring | Goodwill | |||||||||||
Assets: | |||||||||||
Total expense for the year | (26,343) | ||||||||||
Litha Joint Venture Investment | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Reporting unit goodwill | 0 | 0 | |||||||||
Litha Joint Venture Investment | Significant Other Observable Inputs (Level 2) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Reporting unit goodwill | 0 | 0 | |||||||||
Litha Joint Venture Investment | Significant Unobservable Inputs (Level 3) | Fair value, measurements, nonrecurring | |||||||||||
Assets: | |||||||||||
Reporting unit goodwill | $ 0 | $ 0 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 124,685 | $ 175,240 |
Work-in-process | 109,897 | 100,494 |
Finished goods | 156,855 | 279,937 |
Total | 391,437 | 555,671 |
Long-term inventory | 17,100 | 22,900 |
Inventories not yet available for sale | $ 5,900 | $ 16,800 |
Property, Plant And Equipment -
Property, Plant And Equipment - Schedule Of Property, Plant And Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Cost: | ||
Beginning Balance | $ 879,000 | |
Additions | 128,379 | |
Disposals, transfers, impairments and other | (82,217) | |
Effect of currency translation | 3,092 | |
Ending Balance | 928,254 | |
Accumulated Depreciation: | ||
Beginning Balance | (209,404) | |
Additions | (209,999) | |
Disposals, transfers and other | 16,208 | |
Effect of currency translation | (1,088) | |
Ending Balance | (404,283) | |
Net Book Amount: | 523,971 | $ 669,596 |
Land and Buildings | ||
Cost: | ||
Beginning Balance | 322,537 | |
Additions | 19,871 | |
Disposals, transfers, impairments and other | (12,333) | |
Effect of currency translation | 1,391 | |
Ending Balance | 331,466 | |
Accumulated Depreciation: | ||
Beginning Balance | (50,770) | |
Additions | (93,633) | |
Disposals, transfers and other | (4,656) | |
Effect of currency translation | (343) | |
Ending Balance | (149,402) | |
Net Book Amount: | 182,064 | 271,767 |
Machinery and Equipment | ||
Cost: | ||
Beginning Balance | 227,833 | |
Additions | 49,088 | |
Disposals, transfers, impairments and other | (9,939) | |
Effect of currency translation | 836 | |
Ending Balance | 267,818 | |
Accumulated Depreciation: | ||
Beginning Balance | (64,319) | |
Additions | (76,986) | |
Disposals, transfers and other | 6,964 | |
Effect of currency translation | (400) | |
Ending Balance | (134,741) | |
Net Book Amount: | 133,077 | 163,514 |
Leasehold Improve- ments | ||
Cost: | ||
Beginning Balance | 50,359 | |
Additions | 11,067 | |
Disposals, transfers, impairments and other | (1,271) | |
Effect of currency translation | 309 | |
Ending Balance | 60,464 | |
Accumulated Depreciation: | ||
Beginning Balance | (21,263) | |
Additions | (6,607) | |
Disposals, transfers and other | 1,088 | |
Effect of currency translation | (85) | |
Ending Balance | (26,867) | |
Net Book Amount: | 33,597 | 29,096 |
Computer Equipment and Software | ||
Cost: | ||
Beginning Balance | 118,928 | |
Additions | 21,626 | |
Disposals, transfers, impairments and other | (9,459) | |
Effect of currency translation | 356 | |
Ending Balance | 131,451 | |
Accumulated Depreciation: | ||
Beginning Balance | (62,836) | |
Additions | (27,121) | |
Disposals, transfers and other | 7,354 | |
Effect of currency translation | (189) | |
Ending Balance | (82,792) | |
Net Book Amount: | 48,659 | 56,092 |
Assets under Capital Lease | ||
Cost: | ||
Beginning Balance | 9,155 | |
Additions | 0 | |
Disposals, transfers, impairments and other | (4,259) | |
Effect of currency translation | 0 | |
Ending Balance | 4,896 | |
Accumulated Depreciation: | ||
Beginning Balance | (5,773) | |
Additions | (2,645) | |
Disposals, transfers and other | 4,257 | |
Effect of currency translation | 0 | |
Ending Balance | (4,161) | |
Net Book Amount: | 735 | 3,382 |
Furniture and Fixtures | ||
Cost: | ||
Beginning Balance | 21,086 | |
Additions | 684 | |
Disposals, transfers, impairments and other | (8,770) | |
Effect of currency translation | 124 | |
Ending Balance | 13,124 | |
Accumulated Depreciation: | ||
Beginning Balance | (4,443) | |
Additions | (3,007) | |
Disposals, transfers and other | 1,201 | |
Effect of currency translation | (71) | |
Ending Balance | (6,320) | |
Net Book Amount: | 6,804 | 16,643 |
Assets under Construc- tion | ||
Cost: | ||
Beginning Balance | 129,102 | |
Additions | 26,043 | |
Disposals, transfers, impairments and other | (36,186) | |
Effect of currency translation | 76 | |
Ending Balance | 119,035 | |
Accumulated Depreciation: | ||
Beginning Balance | 0 | |
Additions | 0 | |
Disposals, transfers and other | 0 | |
Effect of currency translation | 0 | |
Ending Balance | 0 | |
Net Book Amount: | $ 119,035 | $ 129,102 |
Property, Plant And Equipment81
Property, Plant And Equipment (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Total depreciation expense | $ 209,999 | $ 106,858 | $ 59,898 | ||||||||
Asset impairment charges of long-lived assets | 65,700 | 15,900 | 10,800 | ||||||||
Asset impairment charges | $ 130,400 | $ 94,900 | $ 725,000 | $ 204,000 | $ 3,518,100 | $ 93,500 | $ 40,000 | $ 129,600 | 1,154,376 | 3,781,165 | $ 1,140,709 |
Discontinued Operations | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Asset impairment charges | 47,200 | ||||||||||
AMS | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Asset impairment charges of long-lived assets | $ 5,000 | ||||||||||
Somar | Disposal Group, Held-for-sale, Not Discontinued Operations | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Asset impairment charges | $ 11,900 |
Goodwill And Other Intangible82
Goodwill And Other Intangibles - Schedule Of Changes In The Carrying Amount Of Goodwill (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Goodwill [Roll Forward] | ||||||
Goodwill, beginning balance | $ 7,299,354 | $ 4,729,395 | $ 7,299,354 | |||
Measurement period adjustments | 93,634 | |||||
Effect of currency translation on gross balance | 40,454 | 3,336 | ||||
Effect of currency translation on accumulated impairment | (31,023) | 9,421 | ||||
Goodwill impairment charges | (288,744) | (2,676,350) | ||||
Goodwill, ending balance | $ 7,299,354 | 4,450,082 | 4,729,395 | $ 7,299,354 | ||
U.S. Generic Pharmaceuticals | ||||||
Goodwill [Roll Forward] | ||||||
Goodwill, beginning balance | 5,789,934 | 3,531,301 | 5,789,934 | |||
Measurement period adjustments | 83,916 | |||||
Effect of currency translation on gross balance | 0 | 0 | ||||
Effect of currency translation on accumulated impairment | 0 | 0 | ||||
Goodwill impairment charges | 0 | (2,342,549) | (181,000) | |||
Goodwill, ending balance | 5,789,934 | 3,531,301 | 3,531,301 | 5,789,934 | ||
U.S. Branded Pharmaceuticals | ||||||
Goodwill [Roll Forward] | ||||||
Goodwill, beginning balance | 1,002,776 | 1,009,248 | 1,002,776 | |||
Measurement period adjustments | 8,352 | |||||
Effect of currency translation on gross balance | 0 | 0 | ||||
Effect of currency translation on accumulated impairment | 0 | 0 | ||||
Goodwill impairment charges | 6,500 | $ (680,000) | (5,500) | (180,430) | (1,880) | |
Goodwill, ending balance | 1,002,776 | 828,818 | 1,009,248 | 1,002,776 | ||
International Pharmaceuticals | ||||||
Goodwill [Roll Forward] | ||||||
Goodwill, beginning balance | $ 506,644 | 188,846 | 506,644 | |||
Measurement period adjustments | 1,366 | |||||
Effect of currency translation on gross balance | 40,454 | 3,336 | ||||
Effect of currency translation on accumulated impairment | (31,023) | 9,421 | ||||
Goodwill impairment charges | (108,314) | (331,921) | ||||
Goodwill, ending balance | $ 506,644 | $ 89,963 | $ 188,846 | $ 506,644 |
Goodwill And Other Intangible83
Goodwill And Other Intangibles - Accumulated Impairment (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Goodwill [Line Items] | ||
Accumulated impairment losses | $ 3,661,904 | $ 3,426,209 |
U.S. Generic Pharmaceuticals | ||
Goodwill [Line Items] | ||
Accumulated impairment losses | 2,342,549 | 2,342,549 |
U.S. Branded Pharmaceuticals | ||
Goodwill [Line Items] | ||
Accumulated impairment losses | 855,810 | 675,380 |
International Pharmaceuticals | ||
Goodwill [Line Items] | ||
Accumulated impairment losses | 463,545 | $ 408,280 |
Lithia and Somar | Disposal Group, Held-for-sale, Not Discontinued Operations | International Pharmaceuticals | ||
Goodwill [Line Items] | ||
Accumulated impairment losses | $ 84,100 |
Goodwill And Other Intangible84
Goodwill And Other Intangibles - Other Intangibles (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Finite-Lived Intangible Assets [Line Items] | |||
Impairment of intangible assets | $ 790,311 | ||
Effect of currency translation | 33,127 | ||
Amortization of intangible assets | 773,766 | $ 876,451 | $ 561,302 |
Litha | |||
Finite-Lived Intangible Assets [Line Items] | |||
Impairment of intangible assets | 9,600 | ||
Lithia and BELBUCA | |||
Finite-Lived Intangible Assets [Line Items] | |||
Other intangibles, net | 26,400 | ||
Lithia and Somar | |||
Finite-Lived Intangible Assets [Line Items] | |||
Effect of currency translation | $ 1,500 |
Goodwill And Other Intangible85
Goodwill And Other Intangibles - Schedule Of Other Intangible Assets (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Indefinite-lived intangibles: | |||
Beginning Balance | $ 1,123,581 | ||
Acquisitions | 0 | ||
Impairments | (334,490) | ||
Other | (442,100) | ||
Effect of Currency Translation | 209 | ||
Ending Balance | 347,200 | $ 1,123,581 | |
Finite-lived intangibles: | |||
Beginning Balance | 6,696,069 | ||
Acquisitions | 0 | ||
Impairments | (455,821) | ||
Other | 378,409 | ||
Effect of Currency Translation | 32,918 | ||
Ending Balance | 6,651,575 | 6,696,069 | |
Total other intangibles | |||
Beginning balance | 7,819,650 | ||
Acquisitions | 0 | ||
Impairments | (790,311) | ||
Other | (63,691) | ||
Effect of Currency Translation | 33,127 | ||
Ending balance | 6,998,775 | 7,819,650 | |
Accumulated amortization: | |||
Beginning Balance | (1,960,353) | ||
Amortization | (773,766) | (876,451) | $ (561,302) |
Impairments | 0 | ||
Other | 63,691 | ||
Effect of Currency Translation | (10,663) | ||
Ending Balance | (2,681,091) | (1,960,353) | |
Net other intangibles | 4,317,684 | 5,859,297 | |
Licenses | |||
Finite-lived intangibles: | |||
Beginning Balance | 465,720 | ||
Acquisitions | 0 | ||
Impairments | (8,178) | ||
Other | (140) | ||
Effect of Currency Translation | 0 | ||
Ending Balance | 457,402 | 465,720 | |
Accumulated amortization: | |||
Beginning Balance | (341,600) | ||
Amortization | (28,761) | ||
Impairments | 0 | ||
Other | 140 | ||
Effect of Currency Translation | 0 | ||
Ending Balance | (370,221) | (341,600) | |
Tradenames | |||
Finite-lived intangibles: | |||
Beginning Balance | 7,345 | ||
Acquisitions | 0 | ||
Impairments | (808) | ||
Other | (262) | ||
Effect of Currency Translation | 134 | ||
Ending Balance | 6,409 | 7,345 | |
Accumulated amortization: | |||
Beginning Balance | (6,599) | ||
Amortization | (42) | ||
Impairments | 0 | ||
Other | 262 | ||
Effect of Currency Translation | (30) | ||
Ending Balance | (6,409) | (6,599) | |
Developed technology | |||
Finite-lived intangibles: | |||
Beginning Balance | 6,223,004 | ||
Acquisitions | 0 | ||
Impairments | (446,835) | ||
Other | 378,811 | ||
Effect of Currency Translation | 32,784 | ||
Ending Balance | 6,187,764 | 6,223,004 | |
Accumulated amortization: | |||
Beginning Balance | (1,612,154) | ||
Amortization | (744,963) | ||
Impairments | 0 | ||
Other | 63,289 | ||
Effect of Currency Translation | (10,633) | ||
Ending Balance | (2,304,461) | (1,612,154) | |
In-process research and development | |||
Indefinite-lived intangibles: | |||
Beginning Balance | 1,123,581 | ||
Acquisitions | 0 | ||
Impairments | (334,490) | ||
Other | (442,100) | ||
Effect of Currency Translation | 209 | ||
Ending Balance | $ 347,200 | $ 1,123,581 | |
Weighted Average | |||
Accumulated amortization: | |||
Intangible life (years) | 11 years | ||
Weighted Average | Licenses | |||
Accumulated amortization: | |||
Intangible life (years) | 12 years | ||
Weighted Average | Developed technology | |||
Accumulated amortization: | |||
Intangible life (years) | 11 years |
Goodwill And Other Intangible86
Goodwill And Other Intangibles - Schedule Of Changes In Gross Carrying Amount Of Other Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2017 | |
Finite-lived intangibles: | ||||||
Beginning balance | $ 7,819,650 | $ 7,819,650 | ||||
Impairment of intangible assets | (790,311) | |||||
Ending balance | $ 6,998,775 | $ 7,819,650 | 6,998,775 | |||
U.S. Generic Pharmaceuticals | ||||||
Finite-lived intangibles: | ||||||
Impairment of intangible assets | (125,300) | $ (54,200) | $ (268,200) | (72,700) | (507,200) | |
Other Intangible Assets | ||||||
Finite-lived intangibles: | ||||||
Beginning balance | $ 7,819,650 | 7,819,650 | ||||
Transfer of intangible assets to Assets held for sale (NOTE 3) | (33,304) | |||||
Removal of certain fully amortized intangible assets | (30,387) | |||||
Effect of currency translation | 33,127 | |||||
Ending balance | $ 6,998,775 | $ 7,819,650 | 6,998,775 | |||
Other Intangible Assets | U.S. Branded Pharmaceuticals | ||||||
Finite-lived intangibles: | ||||||
Impairment of intangible assets | (76,674) | |||||
Other Intangible Assets | U.S. Generic Pharmaceuticals | ||||||
Finite-lived intangibles: | ||||||
Impairment of intangible assets | (577,923) | |||||
Other Intangible Assets | International Pharmaceuticals | ||||||
Finite-lived intangibles: | ||||||
Impairment of intangible assets | $ (135,714) |
Goodwill And Other Intangible87
Goodwill And Other Intangibles - Schedule Of Estimated Amortization Of Intangibles (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2,018 | $ 598,603 |
2,019 | 506,857 |
2,020 | 469,339 |
2,021 | 450,854 |
2,022 | $ 436,811 |
Goodwill And Other Intangible88
Goodwill And Other Intangibles - Impairments Narrative (Details) - USD ($) $ in Thousands | Oct. 01, 2017 | Oct. 01, 2016 | Oct. 01, 2015 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Goodwill [Line Items] | |||||||||||||||||
Goodwill impairment charges (reduction) | $ 288,744 | $ 2,676,350 | |||||||||||||||
Net goodwill impairment charge | $ 673,500 | ||||||||||||||||
Impairment of intangible assets | 790,311 | ||||||||||||||||
Asset impairment charges | $ 130,400 | $ 94,900 | $ 725,000 | $ 204,000 | $ 3,518,100 | $ 93,500 | $ 40,000 | $ 129,600 | 1,154,376 | 3,781,165 | $ 1,140,709 | ||||||
Non-cash intangible asset impairment charge | 455,821 | ||||||||||||||||
2016 US Generic Pharmaceuticals Restructuring | Asset Impairment Charges | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Impairment of intangible assets | 107,200 | ||||||||||||||||
U.S. Generic Pharmaceuticals | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Goodwill impairment charges (reduction) | 0 | 2,342,549 | 181,000 | ||||||||||||||
Impairment of intangible assets | 125,300 | 54,200 | $ 268,200 | 72,700 | 507,200 | ||||||||||||
Asset impairment charges | $ 40,000 | 29,300 | |||||||||||||||
U.S. Generic Pharmaceuticals | 2017 US Generic Pharmaceuticals Restructuring | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Asset impairment charges | 57,500 | ||||||||||||||||
U.S. Generic Pharmaceuticals | 2016 US Generic Pharmaceuticals Restructuring | Asset Impairment Charges | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Asset impairment charges | $ 100,300 | ||||||||||||||||
U.S. Branded Pharmaceuticals | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Discount rate applied to estimated cash flows | 9.50% | ||||||||||||||||
Goodwill impairment charges (reduction) | $ (6,500) | $ 680,000 | $ 5,500 | 180,430 | 1,880 | ||||||||||||
Asset impairment charges | $ 24,100 | $ 31,500 | |||||||||||||||
U.S. Branded Pharmaceuticals | Accounting Standards Update, 2017-04 | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Asset impairment charges | 180,400 | ||||||||||||||||
U.S. Branded Pharmaceuticals | Opana | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Asset impairment charges | 20,600 | ||||||||||||||||
U.S. Branded Pharmaceuticals | Sumavel DosePro | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Asset impairment charges | 72,800 | ||||||||||||||||
U.S. Branded Pharmaceuticals | BELBUCA | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Goodwill impairment charges (reduction) | 1,900 | 37,600 | |||||||||||||||
U.S. Branded Pharmaceuticals | Natesto, Testim, And Stendra Intangible Assets | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Goodwill impairment charges (reduction) | 152,000 | ||||||||||||||||
U.S. Branded Pharmaceuticals | Stendra | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Goodwill impairment charges (reduction) | $ 9,500 | ||||||||||||||||
International Pharmaceuticals | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Goodwill impairment charges (reduction) | 108,314 | 331,921 | |||||||||||||||
Non-cash intangible asset impairment charge | $ 285,500 | $ 16,200 | 14,600 | ||||||||||||||
International Pharmaceuticals | Serelaxin In-Process Research and Development Intangible Assets | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Impairment of intangible assets | 45,500 | ||||||||||||||||
Somar | Disposal Group, Held-for-sale, Not Discontinued Operations | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Asset impairment charges | $ 11,900 | ||||||||||||||||
Somar | Disposal Group, Held-for-sale, Not Discontinued Operations | International Pharmaceuticals | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Goodwill impairment charges (reduction) | 25,700 | ||||||||||||||||
Impairment of intangible assets | $ 89,500 | ||||||||||||||||
Minimum | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Discount rate applied to estimated cash flows | 10.00% | ||||||||||||||||
Minimum | Fair Value, Inputs, Level 3 | Goodwill and Indefinite-lived Intangible Assets | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Discount rate applied to estimated cash flows | 9.50% | 8.50% | 9.00% | ||||||||||||||
Maximum | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Discount rate applied to estimated cash flows | 22.00% | ||||||||||||||||
Maximum | Fair Value, Inputs, Level 3 | Goodwill and Indefinite-lived Intangible Assets | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Discount rate applied to estimated cash flows | 12.50% | 11.00% | 16.00% | ||||||||||||||
Paladin Labs Inc. | U.S. Branded Pharmaceuticals | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Asset impairment charges | $ 500 | ||||||||||||||||
Paladin Labs Inc. | International Pharmaceuticals | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Discount rate applied to estimated cash flows | 10.00% | ||||||||||||||||
Goodwill impairment charges (reduction) | 272,600 | $ 85,800 | |||||||||||||||
Asset impairment charges | $ 82,600 | ||||||||||||||||
Grupo Farmacéutico Somar [Member] | International Pharmaceuticals | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Goodwill impairment charges (reduction) | 33,000 | ||||||||||||||||
Litha Joint Venture Investment | International Pharmaceuticals | |||||||||||||||||
Goodwill [Line Items] | |||||||||||||||||
Goodwill impairment charges (reduction) | $ 26,300 |
License And Collaboration Agr89
License And Collaboration Agreements (BioSpecifics Technologies Corp) (Narrative) (Details) | 1 Months Ended |
Jun. 30, 2004 | |
Minimum | |
License And Collaboration Agreements [Line Items] | |
Royalty rate on net sales | 5.00% |
Maximum | |
License And Collaboration Agreements [Line Items] | |
Royalty rate on net sales | 15.00% |
Accounts Payable And Accrued 90
Accounts Payable And Accrued Expenses (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Accrued Liabilities [Abstract] | ||
Trade accounts payable | $ 85,348 | $ 126,712 |
Returns and allowances | 291,034 | 332,455 |
Rebates | 168,333 | 227,706 |
Chargebacks | 14,604 | 33,092 |
Accrued interest | 130,257 | 128,254 |
Accrued payroll and related benefits | 113,908 | 115,224 |
Accrued royalties and other distribution partner payables | 63,114 | 191,433 |
Acquisition-related contingent consideration—short-term | 70,543 | 109,373 |
Other | 159,684 | 189,835 |
Total | $ 1,096,825 | $ 1,454,084 |
Debt (Components Of Total Indeb
Debt (Components Of Total Indebtedness) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Debt Instrument [Line Items] | ||
Principal Amount | $ 8,382,980 | $ 8,398,930 |
Carrying Amount | 8,276,237 | 8,272,503 |
Less current portion, net | 34,205 | 131,125 |
Principal amount of total long-term debt, less current portion, net | 8,348,775 | 8,267,805 |
Carrying amount of total long-term debt, less current portion, net | 8,242,032 | 8,141,378 |
Fair value of long term debt | $ 7,500,000 | $ 7,800,000 |
7.25% Senior Notes due 2022 | ||
Debt Instrument [Line Items] | ||
Effective interest rate (as percent) | 7.91% | 7.91% |
Principal Amount | $ 400,000 | $ 400,000 |
Carrying Amount | $ 390,974 | $ 389,150 |
Interest rate (as percent) | 7.25% | |
5.75% Senior Notes due 2022 | ||
Debt Instrument [Line Items] | ||
Effective interest rate (as percent) | 6.04% | 6.04% |
Principal Amount | $ 700,000 | $ 700,000 |
Carrying Amount | $ 692,855 | $ 691,339 |
Interest rate (as percent) | 5.75% | |
5.375% Senior Notes due 2023 | ||
Debt Instrument [Line Items] | ||
Effective interest rate (as percent) | 5.62% | 5.62% |
Principal Amount | $ 750,000 | $ 750,000 |
Carrying Amount | $ 742,048 | $ 740,733 |
Interest rate (as percent) | 5.375% | |
6.00% Senior Notes due 2023 | ||
Debt Instrument [Line Items] | ||
Effective interest rate (as percent) | 6.28% | 6.28% |
Principal Amount | $ 1,635,000 | $ 1,635,000 |
Carrying Amount | $ 1,613,446 | $ 1,610,280 |
Interest rate (as percent) | 6.00% | |
5.875% Senior Secured Notes due 2024 | ||
Debt Instrument [Line Items] | ||
Effective interest rate (as percent) | 6.14% | 0.00% |
Principal Amount | $ 300,000 | $ 0 |
Carrying Amount | $ 295,513 | $ 0 |
Interest rate (as percent) | 5.875% | |
6.00% Senior Notes due 2025 | ||
Debt Instrument [Line Items] | ||
Effective interest rate (as percent) | 6.27% | 6.27% |
Principal Amount | $ 1,200,000 | $ 1,200,000 |
Carrying Amount | $ 1,181,243 | $ 1,179,203 |
Interest rate (as percent) | 6.00% | |
Term Loan A Facility Due 2019 | ||
Debt Instrument [Line Items] | ||
Effective interest rate (as percent) | 0.00% | 2.95% |
Principal Amount | $ 0 | $ 941,875 |
Carrying Amount | $ 0 | $ 932,824 |
Term Loan B Facility Due 2022 | ||
Debt Instrument [Line Items] | ||
Effective interest rate (as percent) | 0.00% | 4.06% |
Principal Amount | $ 0 | $ 2,772,000 |
Carrying Amount | $ 0 | $ 2,728,919 |
Term Loan B Facility Due 2024 | ||
Debt Instrument [Line Items] | ||
Effective interest rate (as percent) | 5.46% | 0.00% |
Principal Amount | $ 3,397,925 | $ 0 |
Carrying Amount | $ 3,360,103 | $ 0 |
Other debt | ||
Debt Instrument [Line Items] | ||
Effective interest rate (as percent) | 1.50% | 1.50% |
Principal Amount | $ 55 | $ 55 |
Carrying Amount | $ 55 | $ 55 |
Debt (Credit Facility) (Narrati
Debt (Credit Facility) (Narrative) (Details) $ in Millions | Dec. 31, 2017USD ($) |
Revolving Credit Facility | |
Line of Credit Facility [Line Items] | |
Credit facility, remaining borrowing capacity | $ 996.8 |
Debt Debt (Senior Notes and Sen
Debt Debt (Senior Notes and Senior Secured Notes) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
By or before December 31, 2017 | Minimum | |
Debt Instrument, Redemption [Line Items] | |
Redemption price (as percent) | 105.875% |
By or before December 31, 2017 | Maximum | |
Debt Instrument, Redemption [Line Items] | |
Redemption price (as percent) | 106.00% |
By or before December 31, 2017 | Full Redemption | |
Debt Instrument, Redemption [Line Items] | |
Redemption price (as percent) | 100.00% |
By or before December 31, 2017 | Partial Redemption | |
Debt Instrument, Redemption [Line Items] | |
Redemption price (as percent) | 35.00% |
After December 31, 2017 | Minimum | |
Debt Instrument, Redemption [Line Items] | |
Redemption price (as percent) | 100.00% |
After December 31, 2017 | Maximum | |
Debt Instrument, Redemption [Line Items] | |
Redemption price (as percent) | 104.50% |
Debt (April 2017 Refinancing) (
Debt (April 2017 Refinancing) (Details) | Apr. 27, 2017USD ($) | Jun. 30, 2017USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) |
Debt Instrument [Line Items] | ||||
Principal amount | $ 8,382,980,000 | $ 8,398,930,000 | ||
Debt issuance costs | $ 56,700,000 | |||
Deferred debt issuance costs | $ 10,100,000 | $ 51,700,000 | ||
2017 Credit Agreement | Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Debt instrument term | 5 years | |||
Principal amount | $ 1,000,000,000 | |||
Debt issuance costs | $ 10,500,000 | |||
Debt instrument maximum leverage ratio | 2.5 | |||
Debt instrument secured leverage ratio | 3.5 | |||
Debt instrument unsecured leverage ratio | 6.5 | |||
2017 Credit Agreement | Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Minimum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (as percent) | 1.50% | |||
2017 Credit Agreement | Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Maximum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (as percent) | 3.00% | |||
2017 Credit Agreement | Revolving Credit Facility | Alternative Base Rate | Minimum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (as percent) | 0.50% | |||
2017 Credit Agreement | Revolving Credit Facility | Alternative Base Rate | Maximum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (as percent) | 2.00% | |||
2017 Credit Agreement | Term Loan Facility | ||||
Debt Instrument [Line Items] | ||||
Debt instrument term | 7 years | |||
Principal amount | $ 3,415,000,000 | |||
Debt issuance costs | $ 41,300,000 | |||
2017 Credit Agreement | Term Loan Facility | London Interbank Offered Rate (LIBOR) | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (as percent) | 4.25% | |||
Basis spread floor (as percent) | 0.75% | |||
2017 Credit Agreement | Term Loan Facility | Alternative Base Rate | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (as percent) | 3.75% | |||
Basis spread floor (as percent) | 1.75% | |||
2017 Credit Agreement | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Principal amount | $ 1,100,000,000 | |||
2017 Credit Agreement | Senior Secured Notes | ||||
Debt Instrument [Line Items] | ||||
Debt issuance costs | $ 4,900,000 | |||
Senior Secured Notes Due 2024 | ||||
Debt Instrument [Line Items] | ||||
Redemption price (as percent) | 101.00% | |||
Senior Secured Notes Due 2024 | Prior to April 15, 2020 | ||||
Debt Instrument [Line Items] | ||||
Redemption price, percentage of principal amount redeemed (as percent) | 100.00% | |||
Redemption price (as percent) | 105.875% | |||
Senior Secured Notes Due 2024 | Maximum | Prior to April 15, 2020 | ||||
Debt Instrument [Line Items] | ||||
Redemption price, percentage of principal amount redeemed (as percent) | 35.00% | |||
Senior Secured Notes Due 2024 | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Principal amount | $ 300,000,000 | |||
Interest rate (as percent) | 5.875% | |||
Letter of Credit | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 50,000,000 | |||
Swing line loans | 75,000,000 | |||
Bridge Loan | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Maximum Borrowing Capacity | 50,000,000 | |||
Swing line loans | $ 75,000,000 |
Debt (Percentage Of Outstanding
Debt (Percentage Of Outstanding Principal Balance Of Non-Recourse Notes) (Details) - Senior Secured Notes Due 2024 | Apr. 27, 2017 |
Debt Instrument [Line Items] | |
Redemption price (as percent) | 101.00% |
2,020 | |
Debt Instrument [Line Items] | |
Redemption price (as percent) | 102.938% |
2,021 | |
Debt Instrument [Line Items] | |
Redemption price (as percent) | 101.469% |
2022 and thereafter | |
Debt Instrument [Line Items] | |
Redemption price (as percent) | 100.00% |
Debt (Maturities On Long-Term D
Debt (Maturities On Long-Term Debt For Each Of The Next Five Years) (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Debt Instrument [Line Items] | ||
2,018 | $ 34,205,000 | |
2,019 | 34,150,000 | |
2,020 | 34,150,000 | |
2,021 | 34,150,000 | |
2,022 | 1,134,150,000 | |
Principal amount | 8,382,980,000 | $ 8,398,930,000 |
Senior Notes | 2017 Credit Agreement | ||
Debt Instrument [Line Items] | ||
Principal amount | 1,100,000,000 | |
Senior Notes | Senior Notes Maturing Due 2022 | ||
Debt Instrument [Line Items] | ||
Principal amount | $ 750,000,000 |
Commitments And Contingencies97
Commitments And Contingencies (Narrative) (Details) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | 13 Months Ended | ||||||||
Oct. 31, 2017patentproduct | Aug. 31, 2017USD ($)defendant | Oct. 31, 2015motion | Aug. 31, 2015 | Sep. 30, 2013company | Dec. 31, 2017USD ($)case | Jun. 30, 2017USD ($)claim | Dec. 31, 2017USD ($)productcase | Dec. 31, 2017USD ($)case | Dec. 31, 2016USD ($) | Dec. 31, 2012patent | Oct. 30, 2013 | Feb. 20, 2018claim | |
Loss Contingencies [Line Items] | |||||||||||||
Reserve for loss contingencies | $ 1,298,200 | $ 1,298,200 | $ 1,298,200 | ||||||||||
Increase in legal reserves | 200,000 | ||||||||||||
Current portion of legal settlement accrual | $ 1,087,793 | $ 1,087,793 | $ 1,087,793 | $ 1,015,932 | |||||||||
Number of cases alleging personal injury and/or wrongful death | case | 8 | 8 | 8 | ||||||||||
Vaginal Mesh Cases | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Product liability accrual increase | $ 775,500 | ||||||||||||
Number of expected claims to be covered | claim | 22,000 | ||||||||||||
Current portion of legal settlement accrual | $ 876,700 | $ 876,700 | $ 876,700 | ||||||||||
Payments to plaintiffs and qualified settlement funds | 2,900,000 | ||||||||||||
Settlement funds | $ 313,814 | $ 313,814 | $ 313,814 | 275,987 | |||||||||
Testosterone Cases | Subsequent Event | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Pending claims, number | claim | 1,300 | ||||||||||||
Unapproved Drug Litigation | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Number of additional defendants | company | 50 | ||||||||||||
Opioid-Related Matters | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Pending claims, number | case | 465 | 465 | 465 | ||||||||||
Number of cases filed by hospitals, health systems, unions, welfare funds or other third-party | case | 25 | 25 | 25 | ||||||||||
Pricing Matters Cases | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Number of products involved in claims | product | 18 | ||||||||||||
Bier v. Endo International plc, et al. | Current and Former Directors and Officers | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Number of additional defendants | defendant | 4 | ||||||||||||
Opana | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Lawsuit filing period | 45 days | ||||||||||||
Stay of approval period, hatch-waxman act | 30 months | ||||||||||||
AMS | Vaginal Mesh Cases | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Product liability accrual, period expense | $ 1,087,200 | $ 1,087,200 | $ 1,087,200 | ||||||||||
Loss contingency, claims settled, number | case | 71,000 | ||||||||||||
Par Pharmaceutical, Inc. | Pricing Matters Cases | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Number of products involved in claims | product | 6 | 6 | |||||||||||
Par Pharmaceutical, Inc. | VASOSTRICT Related Matters | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Number of patents allegedly infringed upon | patent | 5 | ||||||||||||
Endo Pharmaceuticals Inc. | Opana | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Settlement awarded | $ 25,000 | ||||||||||||
Jubilant HollisterStier Laboratories LLC | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Long-term purchase commitment | $ 5,600 | $ 6,300 | |||||||||||
Judicial Ruling | Opana | |||||||||||||
Loss Contingencies [Line Items] | |||||||||||||
Number of patents found infringed upon | patent | 2 | ||||||||||||
Period for generic product to be withdrawn | 60 days | 60 days | |||||||||||
Number of post-trial motions | motion | 2 |
Commitments And Contingencies -
Commitments And Contingencies - Schedule of Loss Contingencies (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Qualified Settlement Funds | |||
Cash contributions to Qualified Settlement Funds | $ 668,306 | $ 831,131 | $ 743,132 |
Mesh Liability Accrual | |||
Ending balance | 1,298,200 | ||
Vaginal Mesh Cases | |||
Qualified Settlement Funds | |||
Beginning balance | 275,987 | ||
Cash contributions to Qualified Settlement Funds | 668,306 | ||
Cash distributions to settle disputes from Qualified Settlement Funds | (632,176) | ||
Other | 1,697 | ||
Ending balance | 313,814 | 275,987 | |
Vaginal Mesh Cases | Mesh Product Liability Accrual | |||
Mesh Liability Accrual | |||
Beginning balance | 963,117 | ||
Additional charges | 775,474 | ||
Cash distributions to settle disputes from Qualified Settlement Funds | (632,176) | ||
Cash distributions to settle disputes | (19,243) | ||
Ending balance | $ 1,087,172 | $ 963,117 |
Commitments And Contingencies99
Commitments And Contingencies - Summary Of Minimum Future Rental Payments Required Under Operating Leases and Capital Leases (Details) ft² in Thousands, $ in Thousands | Dec. 31, 2017USD ($)ft² |
Capital Leases | |
2,018 | $ 6,713 |
2,019 | 6,633 |
2,020 | 6,564 |
2,021 | 6,681 |
2,022 | 6,831 |
Thereafter | 14,126 |
Total minimum lease payments | 47,548 |
Less: Amount representing interest | 4,168 |
Total present value of minimum payments | 43,380 |
Less: Current portion of such obligations | 6,713 |
Long-term capital lease obligations | $ 36,667 |
Area of real estate property | ft² | 90 |
Future minimum sublease rentals | $ 25,200 |
Operating Leases | |
2,018 | 13,888 |
2,019 | 14,120 |
2,020 | 13,505 |
2,021 | 11,758 |
2,022 | 11,212 |
Thereafter | 23,703 |
Total minimum lease payments | $ 88,186 |
Commitments And Contingencie100
Commitments And Contingencies - Leases (Narrative) (Details) $ in Millions | Oct. 28, 2011renewal_options | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Number of renewal options | renewal_options | 3 | |||
Additional period of renewal for lease agreement | 60 months | |||
Direct financing lease obligations | $ 38.4 | |||
Expenses incurred under operating leases | 18.7 | $ 22.2 | $ 20.1 | |
Accounts Payable | ||||
Direct financing lease obligations | 4.6 | |||
Other Liabilities | ||||
Direct financing lease obligations | $ 33.8 |
Other Comprehensive Income (101
Other Comprehensive Income (Loss) (Schedule Of Tax Effects Allocated To Each Component Of Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Before- Tax Amount | $ 143,317 | $ 16,673 | $ (235,519) |
Tax Benefit (Expense) | 296 | 14,136 | (21,189) |
OTHER COMPREHENSIVE INCOME (LOSS) | 143,613 | 30,809 | (256,708) |
Net unrealized gain (loss) on securities | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Before Reclassification, Before Tax Amount | (811) | (1,588) | 2,349 |
Before Reclassification, Tax Benefit (Expense) | 296 | 674 | (50) |
Before Reclassification, Net-of-Tax Amount | (515) | (914) | 2,299 |
Reclassification, Before Tax Amount | 0 | (6) | 0 |
Reclassification, Tax Benefit (Expense) | 0 | 0 | 0 |
Reclassification, Net-of-Tax Amount | 0 | (6) | 0 |
Before- Tax Amount | (811) | (1,594) | 2,349 |
Tax Benefit (Expense) | 296 | 674 | (50) |
OTHER COMPREHENSIVE INCOME (LOSS) | (515) | (920) | 2,299 |
Net unrealized gain (loss) on foreign currency | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Before Reclassification, Before Tax Amount | 31,202 | 18,267 | (263,425) |
Before Reclassification, Tax Benefit (Expense) | 0 | 13,462 | (21,297) |
Before Reclassification, Net-of-Tax Amount | 31,202 | 31,729 | (284,722) |
Reclassification, Before Tax Amount | 112,926 | 0 | 25,557 |
Reclassification, Tax Benefit (Expense) | 0 | 0 | 158 |
Reclassification, Net-of-Tax Amount | 112,926 | 0 | 25,715 |
Before- Tax Amount | 144,128 | 18,267 | (237,868) |
Tax Benefit (Expense) | 0 | 13,462 | (21,139) |
OTHER COMPREHENSIVE INCOME (LOSS) | $ 144,128 | $ 31,729 | $ (259,007) |
Other Comprehensive Income (102
Other Comprehensive Income (Loss) (Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Change in other comprehensive loss, net of tax | $ 484,880 | $ 2,701,589 | $ 5,967,976 | $ 2,408,213 |
Net unrealized gains | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Change in other comprehensive loss, net of tax | 380 | 895 | ||
Foreign currency translation loss | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Change in other comprehensive loss, net of tax | (210,201) | (354,329) | ||
Accumulated other comprehensive loss | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Change in other comprehensive loss, net of tax | $ (209,821) | $ (353,434) | $ (384,205) | $ (124,088) |
Shareholders' Equity (Narrative
Shareholders' Equity (Narrative) (Details) - USD ($) | Sep. 25, 2015 | Jun. 10, 2015 | Jan. 29, 2015 | Nov. 30, 2015 | Dec. 31, 2017 | Dec. 31, 2015 | Dec. 31, 2016 | Apr. 30, 2015 | Feb. 11, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Euro deferred shares, shares issued | 4,000,000 | 4,000,000 | 4,000,000 | ||||||
Euro deferred shares, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 | ||||||
Share price (in dollars per share) | $ 83.25 | ||||||||
Unrecognized compensation cost | $ 58,200,000 | ||||||||
2015 Share Buyback Program | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share repurchase program, authorized amount | $ 2,500,000,000 | ||||||||
Share repurchases | $ 250,000,000 | ||||||||
Share repurchases (in shares) | 4,400,000 | ||||||||
Over-Allotment Option | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Ordinary shares issued (in shares) | 3,603,603 | ||||||||
Auxilium Pharmaceuticals, Inc. | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Aggregate consideration transferred | $ 2,600,000,000 | ||||||||
Fair value of shares issued as part of acquisition | $ 1,520,000,000 | ||||||||
Ordinary shares issued, value | $ 1,519,320,000 | ||||||||
Auxilium Pharmaceuticals, Inc. | Ordinary Shares | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Ordinary shares issued (in shares) | 18,609,835 | 18,609,835 | |||||||
Ordinary shares issued, value | $ 2,000 | ||||||||
Par Pharmaceutical Holdings, Inc. | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Aggregate consideration transferred | $ 8,140,000,000 | ||||||||
Ordinary shares issued (in shares) | 18,069,899 | 27,627,628 | |||||||
Ordinary shares issued, value | $ 1,325,248,000 | ||||||||
Equity consideration | $ 1,330,000,000 | ||||||||
Par Pharmaceutical Holdings, Inc. | Ordinary Shares | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Ordinary shares issued (in shares) | 18,069,899 | ||||||||
Ordinary shares issued, value | $ 2,000 | ||||||||
Par Pharmaceutical Holdings, Inc. | Endo International | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Ordinary shares issued, value | $ 2,300,000,000 | ||||||||
Nonvested Stock Options | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Weighted average remaining requisite service period, non-vested stock options | 2 years 6 months | ||||||||
Unrecognized compensation cost | $ 21,100,000 | ||||||||
Performance Stock Units | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Service period | 3 years | ||||||||
Minimum | Restricted Stock Units (RSUs) | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Vesting period | 3 years | ||||||||
Maximum | Restricted Stock Units (RSUs) | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Vesting period | 4 years |
Shareholders' Equity (Schedule
Shareholders' Equity (Schedule of Buy-out of Noncontrolling Interests) (Details) - Litha Healthcare Group Limited $ in Thousands | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Stockholders' Equity [Line Items] | |
Buy-out of noncontrolling interests, net of contributions | $ (39,608) |
Accumulated Other Comprehensive (Loss) Income | |
Stockholders' Equity [Line Items] | |
Buy-out of noncontrolling interests, net of contributions | (3,904) |
Noncontrolling Interests | |
Stockholders' Equity [Line Items] | |
Buy-out of noncontrolling interests, net of contributions | (32,732) |
Additional Paid-in Capital | |
Stockholders' Equity [Line Items] | |
Buy-out of noncontrolling interests, net of contributions | $ (2,972) |
Shared-based Compensation (Narr
Shared-based Compensation (Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 24 Months Ended | |||
Jun. 30, 2017 | Sep. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2015 | Jun. 30, 2015 | |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Stock-based compensation expense | $ 50,149,000 | $ 59,769,000 | $ 98,788,000 | ||||
Acceleration of Auxilium employee equity awards at closing | 37,600,000 | ||||||
Unrecognized compensation cost | 58,200,000 | ||||||
Tax benefit from exercise of stock options | $ 0 | $ 0 | $ 11,700,000 | ||||
Stock Options | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Target amount of share-based compensation awards, stock options (in shares) | 5,288,675 | 2,578,105 | 794,757 | ||||
Expiration period | 10 years | ||||||
Dividend yield | 0.00% | 0.00% | 0.00% | ||||
Exercise price range, lower range limit (in dollars per share) | $ 7.55 | ||||||
Exercise price range, upper range limit (in dollars per share) | $ 89.68 | ||||||
Options exercised intrinsic value | $ 1,300,000 | $ 27,200,000 | |||||
Options grated, weighted average grant date fair value (in dollars per share) | $ 4.73 | $ 11.46 | $ 21.09 | ||||
Stock Options | Minimum | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Vesting period | 3 years | ||||||
Stock Options | Maximum | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Vesting period | 4 years | ||||||
Nonvested Stock Options | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Unrecognized compensation cost | $ 21,100,000 | ||||||
Weighted average remaining requisite service period, non-vested stock options | 2 years 6 months | ||||||
Restricted Stock Units (RSUs) | Minimum | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Vesting period | 3 years | ||||||
Restricted Stock Units (RSUs) | Maximum | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Vesting period | 4 years | ||||||
Performance Stock Units | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Service period | 3 years | ||||||
PSU award percentage using free cash flow performance metric | 50.00% | ||||||
PSU award percentage using TSR metric | 50.00% | ||||||
Performance cycle | 3 years | 3 years | 3 years | ||||
Performance Stock Units | Minimum | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Award adjustment rate | 0.00% | 0.00% | 0.00% | ||||
Performance Stock Units | Maximum | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Award adjustment rate | 200.00% | 300.00% | 300.00% | ||||
Restricted Stock Units (RSUs) and Performance Stock Units (PSUs) | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Target amount of share-based compensation awards (in shares) | 4,168,477 | 1,582,429 | 927,214 | ||||
Weighted average remaining requisite service period, non-vested restricted stock units | 2 years 1 month 6 days | ||||||
Nonvested Restricted Stock Units And Performance Stock Units | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Restricted and performance stock units, weighted average grant date fair value (in dollars per share) | $ 11.42 | $ 43.52 | $ 72.34 | $ 72.34 | |||
Nonvested Restricted Stock | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Unrecognized compensation cost | $ 30,800,000 | $ 6,300,000 | |||||
AMS | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Stock-based compensation expense | $ 11,400,000 | ||||||
2015 Stock Incentive Plan | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Number of shares authorized | 10,000,000 | ||||||
Number of shares available for grant | 8,822,860 | ||||||
2010 Stock Incentive Plan | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Number of shares available for grant | 5,000,000 | ||||||
Endo International PLC Amended and Restated 2015 Stock Incentive Plan [Member] | Stock Incentive Plan | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Additional ordinary shares authorized for issuance (in shares) | 10,000,000 | ||||||
Plan | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Target amount of share-based compensation awards, stock options (in shares) | 1,000,000 | ||||||
Plan | Performance Stock Units | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Target amount of share-based compensation awards (in shares) | 300,000 | ||||||
Plan | Nonvested Restricted Stock | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||||||
Target amount of share-based compensation awards (in shares) | 100,000 |
Shared-based Compensation (Sche
Shared-based Compensation (Schedule Of Allocation Of Stock-Based Compensation) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | $ 50,149 | $ 59,769 | $ 98,788 |
Selling, general and administrative expenses | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | 38,292 | 54,176 | 79,928 |
Research and development expenses | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | 4,197 | 2,440 | 2,388 |
Cost of revenues | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | 7,660 | 2,040 | 2,241 |
Discontinued Operations | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | $ 0 | $ 1,113 | $ 14,231 |
Shared-based Compensation (Summ
Shared-based Compensation (Summary Of Activity Under Stock Incentive Plans) (Details) - Stock Options - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Number of Shares | |||
Outstanding, beginning balance (in shares) | 4,325,209 | 2,768,567 | 3,063,352 |
Granted (in shares) | 5,288,675 | 2,578,105 | 794,757 |
Exercised (in shares) | (62,589) | (880,885) | |
Forfeited (in shares) | (623,987) | (858,556) | (201,397) |
Expired (in shares) | (741,767) | (100,318) | (7,260) |
Outstanding, ending balance (in shares) | 8,248,130 | 4,325,209 | 2,768,567 |
Vested and expected to vest (in shares) | 7,633,410 | ||
Exercisable (in shares) | 1,826,250 | ||
Weighted Average Exercise Price | |||
Outstanding, weighted average exercise price, beginning balance (in dollars per share) | $ 41.70 | $ 51.56 | $ 40.15 |
Granted, weighted average exercise price (in dollars per share) | 10.42 | 35.45 | 77.27 |
Exercised, weighted average exercise price (in dollars per share) | 31.19 | 30.93 | |
Forfeited, weighted average exercise price (in dollars per share) | 28.32 | 52.27 | 72.24 |
Expired, weighted average exercise price (in dollars per share) | 40.29 | 60.71 | 45.20 |
Outstanding, weighted average exercise price, ending balance (in dollars per share) | 22.79 | $ 41.70 | $ 51.56 |
Vested and expected to vest, end of period, weighted average exercise price (in dollars per share) | 23.46 | ||
Exercisable, end of period, weighted average exercise price (in dollars per share) | $ 42.39 | ||
Weighted Average Remaining Contractual Term and Aggregate Intrinsic Value | |||
Outstanding, weighted average remaining contractual term | 7 years 10 months 13 days | ||
Vested and expected to vest, weighted average remaining contractual term | 7 years 9 months 4 days | ||
Exercisable, weighted average remaining contractual term | 3 years 11 months 27 days | ||
Outstanding, aggregate intrinsic value | $ 493,979 | ||
Vested and expected to vest, aggregate intrinsic value | 435,456 | ||
Exercisable, aggregate intrinsic value | $ 0 |
Shared-based Compensation (Stoc
Shared-based Compensation (Stock Option Assumption) (Details) - Stock Options | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected term (years) | 4 years | 4 years | 4 years |
Risk-free interest rate | 1.70% | 1.10% | 1.30% |
Dividend yield | 0.00% | 0.00% | 0.00% |
Expected volatility | 58.00% | 43.00% | 32.00% |
Shared-based Compensation (S109
Shared-based Compensation (Summary Of Restricted Stock Units and Performance Stock Units Activity) (Details) - Restricted Stock Units (RSUs) and Performance Stock Units (PSUs) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Number of Shares | |||
Outstanding, Beginning Balance | 1,685,060 | 1,806,853 | 1,654,753 |
Granted | 4,168,477 | 1,582,429 | 927,214 |
Forfeited | (552,981) | (975,994) | (251,351) |
Vested | (575,883) | (728,228) | (523,763) |
Outstanding, Ending Balance | 4,724,673 | 1,685,060 | 1,806,853 |
Vested and expected to vest, end of period, Number of Shares | 4,337,839 | ||
Aggregate Intrinsic Value | |||
Outstanding, end of period | $ 36,616,216 | ||
Vested and expected to vest | $ 33,618,256 |
Other (Income) Expense, Net (De
Other (Income) Expense, Net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Other Expense (Income) [Line Items] | |||
Foreign currency (gain) loss, net | $ (2,801) | $ 2,991 | $ (23,058) |
Equity loss (earnings) from investments accounted for under the equity method, net | 898 | (1,190) | 3,217 |
Other-than-temporary impairment of equity investment | 0 | 0 | 18,869 |
Legal settlement | 0 | 0 | (12,500) |
Costs associated with unused financing commitments | 0 | 0 | 78,352 |
Other miscellaneous, net | (15,120) | (2,139) | (1,189) |
Other (income) expense, net | (17,023) | $ (338) | 63,691 |
Litha Joint Venture Investment | |||
Other Expense (Income) [Line Items] | |||
Gain on sale of business | $ 10,100 | ||
Equity Method Investments | $ 18,900 |
Income Taxes (Components Of Inc
Income Taxes (Components Of Income Before Income Tax By Geography) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
United States | $ (1,866,222) | $ (4,309,211) | $ (626,740) |
International | 383,218 | 385,355 | (811,124) |
LOSS FROM CONTINUING OPERATIONS BEFORE INCOME TAX | $ (1,483,004) | $ (3,923,856) | $ (1,437,864) |
Income Taxes (Narrative) (10K)
Income Taxes (Narrative) (10K) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating Loss Carryforwards [Line Items] | |||||
Provisional tax benefit related to Tax Cuts And Jobs Act Of 2017 | $ 36,200 | $ 36,216 | $ 0 | $ 0 | |
Worthless stock deduction | 636,100 | 674,200 | |||
Valuation allowance | 8,062,975 | 8,062,975 | 4,841,209 | ||
Increase (decrease) in valuation allowance | 3,221,800 | (4,414,200) | |||
Undistributed earnings of foreign subsidiaries | 169,800 | 169,800 | |||
Unrecognized income tax benefits | 415,951 | 415,951 | 424,601 | 316,247 | $ 105,330 |
Unrecognized tax benefits that would impact effective tax rate | 289,900 | 289,900 | 435,400 | ||
Accrued interest and penalties | 19,185 | 19,185 | 19,000 | ||
Interest and penalties | 1,400 | 5,100 | $ 1,600 | ||
Losses Within Jurisdictions, Primarily Luxembourg [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Increase (decrease) in valuation allowance | 3,310,800 | ||||
Jurisdictions Where Unable to Support Recognition of Deferred Tax Assets | |||||
Operating Loss Carryforwards [Line Items] | |||||
Increase (decrease) in valuation allowance | 3,950,100 | ||||
State Tax Benefits | |||||
Operating Loss Carryforwards [Line Items] | |||||
Increase (decrease) in valuation allowance | 21,500 | 67,100 | |||
Remeasurement Of Certain Tax Assets [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Increase (decrease) in valuation allowance | $ 590,200 | ||||
Deferred Tax Assets on US Generics | |||||
Operating Loss Carryforwards [Line Items] | |||||
Increase (decrease) in valuation allowance | $ 400,800 | ||||
Minimum | |||||
Operating Loss Carryforwards [Line Items] | |||||
Statues Of Limitation | 3 years | ||||
Maximum | |||||
Operating Loss Carryforwards [Line Items] | |||||
Statues Of Limitation | 10 years | ||||
Accounting Standards Update 2016-16 | New Accounting Pronouncement, Early Adoption, Effect | Accounting Standards Update 2016-16 | |||||
Operating Loss Carryforwards [Line Items] | |||||
Deferred tax assets, net | $ 479,700 | $ 479,700 |
Income Taxes (Schedule of Incom
Income Taxes (Schedule of Income Tax) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
Current, federal | $ (86,478) | $ 18,369 | $ (308,909) |
Current, state | (6,462) | 9,501 | (5,600) |
Current, international | (1,224) | 22,851 | 16,722 |
Total current income tax | (94,164) | 50,721 | (297,787) |
Deferred, federal | (124,682) | (661,484) | (779,757) |
Deferred, state | (3,225) | (239) | (70,221) |
Deferred, international | (28,222) | (83,619) | (9,376) |
Total deferred income tax | (156,129) | (745,342) | (859,354) |
Excess tax benefits of stock compensation exercised | 0 | (5,463) | 19,676 |
Valuation allowance | 0 | 0 | 0 |
INCOME TAX | $ (250,293) | $ (700,084) | $ (1,137,465) |
Income Taxes (Schedule Of Recon
Income Taxes (Schedule Of Reconciliation Of Income Tax At Federal Statutory Income Tax Rate To Total Income Tax Provision) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | ||||
Notional U.S. federal income tax provision at the statutory rate | $ (519,051) | $ (1,373,350) | $ (503,271) | |
State income tax, net of federal benefit | (11,473) | 5,182 | (45,823) | |
U.S. tax reform impact | $ (36,200) | (36,216) | 0 | 0 |
Uncertain tax positions | 58,120 | (18,111) | 30,974 | |
Residual tax on non-U.S. net earnings | (1,350,811) | (301,666) | (359,831) | |
Effects of outside basis differences | 0 | (636,134) | (786,130) | |
Non-deductible goodwill impairment | 60,808 | 926,881 | 248,403 | |
Change in valuation allowance | 1,648,836 | 762,604 | 278,339 | |
Intra-entity transfers of assets | (53,509) | (92,859) | 0 | |
International Pharmaceuticals segment divestitures | (56,092) | 0 | 0 | |
Other | 9,095 | 27,369 | (126) | |
INCOME TAX | $ (250,293) | $ (700,084) | $ (1,137,465) |
Income Taxes (Schedule Of Defer
Income Taxes (Schedule Of Deferred Tax Assets And Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred tax assets: | ||
Accrued expenses and customer allowances | $ 299,142 | $ 232,101 |
Compensation related to stock options | 20,108 | 24,246 |
Deferred interest expense | 46,230 | 57,440 |
Fixed assets and intangible assets | 484,313 | 55,473 |
Loss on capital assets | 49,585 | 9,904 |
Net operating loss carryforward | 7,183,651 | 4,410,386 |
Uncertain tax positions | 32,356 | 30,262 |
Research and development credit carryforward | 4,838 | 4,244 |
Tax credit carryforwards | 1,516 | 4,520 |
Uncertain tax positions | 4,364 | 10,562 |
Total gross deferred income tax assets | 8,126,103 | 4,839,138 |
Deferred tax liabilities: | ||
Other | (2,042) | 0 |
Outside basis difference | (92,635) | (182,409) |
Total gross deferred income tax liabilities | (94,677) | (182,409) |
Valuation allowance | (8,062,975) | (4,841,209) |
Net deferred income tax liability | $ (31,549) | $ (184,480) |
Income Taxes (Tax Credit Carryf
Income Taxes (Tax Credit Carryforwards) (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Foreign | Ireland | |
Tax Credit Carryforward [Line Items] | |
Operating loss carryforwards | $ 43,965 |
Foreign | Luxembourg | |
Tax Credit Carryforward [Line Items] | |
Operating loss carryforwards | 6,847,805 |
Domestic | |
Tax Credit Carryforward [Line Items] | |
Operating loss carryforwards | 115,518 |
Domestic | Capital Loss Carryforward | |
Tax Credit Carryforward [Line Items] | |
Operating loss carryforwards | 27,114 |
State | |
Tax Credit Carryforward [Line Items] | |
Operating loss carryforwards | 172,439 |
State | Capital Loss Carryforward | |
Tax Credit Carryforward [Line Items] | |
Operating loss carryforwards | $ 20,920 |
Income Taxes (Valuation Allowan
Income Taxes (Valuation Allowances) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Valuation Allowance [Line Items] | ||
Valuation allowance | $ 8,062,975 | $ 4,841,209 |
Foreign | Canada | ||
Valuation Allowance [Line Items] | ||
Valuation allowance | 2,228 | |
Foreign | Ireland | ||
Valuation Allowance [Line Items] | ||
Valuation allowance | 99,194 | |
Foreign | Luxembourg | ||
Valuation Allowance [Line Items] | ||
Valuation allowance | 6,847,805 | |
Domestic | United States | ||
Valuation Allowance [Line Items] | ||
Valuation allowance | $ 1,110,172 |
Income Taxes (Schedule Of Re118
Income Taxes (Schedule Of Reconciliation Of Change In Uncertain Tax Benefits) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Unrecognized tax benefits, beginning balance | $ 424,601 | $ 316,247 | $ 105,330 |
Gross additions for current year positions | 44,293 | 142,778 | 65,439 |
Gross reductions for prior period positions | (64,887) | (35,888) | (234) |
Gross additions for prior period positions | 22,765 | 2,111 | 3,460 |
Decrease due to lapse of statute of limitations | (13,151) | (3,085) | (75) |
Additions related to acquisitions | 0 | 2,350 | 150,152 |
Currency translation adjustment | (7,825) | ||
Currency translation adjustment | 2,330 | 88 | |
Unrecognized tax benefits, ending balance | 415,951 | 424,601 | 316,247 |
Accrued interest and penalties | 19,185 | $ 19,000 | |
Total UTB balance including accrued interest and penalties | 435,136 | $ 443,600 | |
Current portion | 17,100 | ||
Non-current portion | $ 418,036 |
Savings And Investment Plan 119
Savings And Investment Plan And Deferred Compensation Plans (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Savings And Investment Plan And Deferred Compensation [Line Items] | |||
Contributions towards defined contribution savings and investment plans | $ 9.4 | $ 11.5 | $ 8.6 |
Endo 401(k) Plan | |||
Savings And Investment Plan And Deferred Compensation [Line Items] | |||
Maximum annual contributions per employee (percent) | 4.00% | ||
Endo 401(k) Plan, Matching Tier One | |||
Savings And Investment Plan And Deferred Compensation [Line Items] | |||
Employer matching contribution (percent) | 100.00% | ||
Percentage of employees gross pay | 3.00% | ||
Endo 401(k) Plan, Matching Tier Two | |||
Savings And Investment Plan And Deferred Compensation [Line Items] | |||
Employer matching contribution (percent) | 50.00% | ||
Percentage of employees gross pay | 2.00% |
Net Loss Per Share (Reconciliat
Net Loss Per Share (Reconciliation Of The Numerator And Denominator Of Basic And Diluted Net Loss Per Share) (Details) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Numerator: | |||||||||||
Loss from continuing operations | $ (1,232,711) | $ (3,223,772) | $ (300,399) | ||||||||
Less: Net income (loss) from continuing operations attributable to noncontrolling interests | 0 | 16 | (283) | ||||||||
Loss from continuing operations attributable to Endo International plc ordinary shareholders | $ (271,581) | $ (99,687) | $ (696,020) | $ (165,423) | $ (3,333,325) | $ (191,496) | $ 389,812 | $ (88,763) | (1,232,711) | (3,223,788) | (300,116) |
Loss from discontinued operations attributable to Endo International plc ordinary shareholders, net of tax | (96,836) | 3,017 | (700,498) | (8,405) | (4,531) | (27,423) | (46,216) | (45,108) | (802,722) | (123,278) | (1,194,926) |
NET LOSS ATTRIBUTABLE TO ENDO INTERNATIONAL PLC | $ (368,417) | $ (96,670) | $ (1,396,518) | $ (173,828) | $ (3,337,856) | $ (218,919) | $ 343,578 | $ (133,869) | $ (2,035,433) | $ (3,347,066) | $ (1,495,042) |
Denominator: | |||||||||||
For basic per share data—weighted average shares (shares) | 223,322 | 223,299 | 223,158 | 223,014 | 222,870 | 222,767 | 222,667 | 222,302 | 223,198 | 222,651 | 197,100 |
Dilutive effect of ordinary share equivalents (shares) | 0 | 0 | 0 | ||||||||
Dilutive effect of various convertible notes and warrants (shares) | 0 | 0 | 0 | ||||||||
For diluted per share data—weighted average shares (shares) | 223,322 | 223,299 | 223,158 | 223,014 | 222,870 | 222,767 | 222,863 | 222,302 | 223,198 | 222,651 | 197,100 |
Quarterly Financial Data (Un121
Quarterly Financial Data (Unaudited) (Schedule Of Quarterly Financial Data) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Total revenues | $ 768,640 | $ 786,887 | $ 875,731 | $ 1,037,600 | $ 1,241,513 | $ 884,335 | $ 920,887 | $ 963,539 | |||
Gross profit | 262,995 | 272,365 | 336,330 | 368,638 | 484,935 | 326,863 | 288,669 | 274,834 | |||
Loss from continuing operations | (271,581) | (99,687) | (696,020) | (165,423) | (3,333,325) | (191,496) | 389,812 | (88,763) | $ (1,232,711) | $ (3,223,788) | $ (300,116) |
Discontinued operations, net of tax | (96,836) | 3,017 | (700,498) | (8,405) | (4,531) | (27,423) | (46,216) | (45,108) | (802,722) | (123,278) | (1,194,926) |
Net loss attributable to Endo International plc | $ (368,417) | $ (96,670) | $ (1,396,518) | $ (173,828) | $ (3,337,856) | $ (218,919) | $ 343,578 | $ (133,869) | $ (2,035,433) | $ (3,347,066) | $ (1,495,042) |
Continuing operations, basic (in dollars per share) | $ (1.22) | $ (0.45) | $ (3.12) | $ (0.74) | $ (14.96) | $ (0.86) | $ 1.75 | $ (0.40) | $ (5.52) | $ (14.48) | $ (1.52) |
Discontinued operations, basic (in dollars per share) | (0.43) | 0.02 | (3.14) | (0.04) | (0.02) | (0.12) | (0.21) | (0.20) | (3.60) | (0.55) | (6.07) |
Basic (in dollars per share) | (1.65) | (0.43) | (6.26) | (0.78) | (14.98) | (0.98) | 1.54 | (0.60) | (9.12) | (15.03) | (7.59) |
Continuing operations, diluted (in dollars per share) | (1.22) | (0.45) | (3.12) | (0.74) | (14.96) | (0.86) | 1.75 | (0.40) | (5.52) | (14.48) | (1.52) |
Discontinued operations, diluted (in dollars per share) | (0.43) | 0.02 | (3.14) | (0.04) | (0.02) | (0.12) | (0.21) | (0.20) | (3.60) | (0.55) | (6.07) |
Diluted (in dollars per share) | $ (1.65) | $ (0.43) | $ (6.26) | $ (0.78) | $ (14.98) | $ (0.98) | $ 1.54 | $ (0.60) | $ (9.12) | $ (15.03) | $ (7.59) |
Weighted average shares—Basic (shares) | 223,322 | 223,299 | 223,158 | 223,014 | 222,870 | 222,767 | 222,667 | 222,302 | 223,198 | 222,651 | 197,100 |
Weighted average shares—Diluted (shares) | 223,322 | 223,299 | 223,158 | 223,014 | 222,870 | 222,767 | 222,863 | 222,302 | 223,198 | 222,651 | 197,100 |
Asset impairment charges | $ 130,400 | $ 94,900 | $ 725,000 | $ 204,000 | $ 3,518,100 | $ 93,500 | $ 40,000 | $ 129,600 | $ 1,154,376 | $ 3,781,165 | $ 1,140,709 |
Acquisition-related and integration items | 26,400 | 16,600 | 4,200 | 10,900 | 7,400 | 19,500 | 48,200 | 12,600 | 58,086 | 87,601 | 105,250 |
Change in fair value of contingent consideration | 26,400 | 15,400 | 2,000 | 6,200 | (1,000) | 11,600 | 23,900 | (10,700) | 49,949 | 23,823 | (65,640) |
Severance costs | 84,500 | 80,700 | 24,600 | 22,700 | 37,100 | 9,800 | 22,200 | 38,500 | 53,000 | 57,900 | 60,200 |
Litigation-related and other contingencies, net | $ 200,000 | (12,400) | (2,600) | $ 900 | (4,800) | 18,300 | 5,300 | 5,200 | 185,990 | 23,950 | 37,082 |
Loss on extinguishment of debt | $ 51,700 | 51,734 | 0 | 67,484 | |||||||
Inventory step-up | $ 13,900 | $ 14,200 | $ 29,100 | $ 68,500 | $ 390 | $ 108,768 | $ 232,461 | ||||
Assets Impaired Second Quarter Of 2017 | |||||||||||
Asset impairment charges | $ 14,200 |
SCHEDULE II--Valuation and Q122
SCHEDULE II--Valuation and Qualifying Accounts (Details) - Valuation Allowance for Deferred Tax Assets - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | $ 4,841,209 | $ 426,991 | $ 40,646 |
Additions, Costs and Expenses | 3,811,982 | 4,416,478 | 386,087 |
Deductions, Write-offs | 0 | (2,039) | (17,106) |
Other | (590,216) | (221) | 17,364 |
Balance at End of Period | $ 8,062,975 | $ 4,841,209 | $ 426,991 |