SeaSpine (SPNE) 10-Q 2 Nov 17 2017 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2017	Oct. 30, 2017
Document Documentand Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3
Trading Symbol	SPNE
Entity Registrant Name	SeaSpine Holdings Corporation
Entity Central Index Key	1,637,761
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		13,429,128

CONDENSED COMBINED STATEMENT OF

CONDENSED COMBINED STATEMENT OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Income Statement [Abstract]
Total revenue, net	$ 31,742	$ 31,741	$ 97,832	$ 96,341
Cost of goods sold	12,176	13,881	39,342	42,094
Gross profit	19,566	17,860	58,490	54,247
Selling, general and administrative	23,674	23,803	71,893	76,166
Research and development	2,834	2,600	9,228	8,534
Intangible amortization	792	955	2,376	3,517
Total operating expenses	27,300	27,358	83,497	88,217
Operating loss	(7,734)	(9,498)	(25,007)	(33,970)
Other income (expense), net	215	(59)	387	(33)
Loss before income taxes	(7,519)	(9,557)	(24,620)	(34,003)
Benefit for income taxes	(57)	(103)	(12)	(559)
Net loss	$ (7,462)	$ (9,454)	$ (24,608)	$ (33,444)
Net loss per share, basic and diluted	$ (0.58)	$ (0.84)	$ (2.04)	$ (2.98)
Weighted average shares used to compute basic and diluted net loss per share	12,815	11,271	12,079	11,206

CONDENSED COMBINED STATEMENTS O

CONDENSED COMBINED STATEMENTS OF COMPREHENSIVE LOSS Statement - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Statement of Comprehensive Income [Abstract]
Net loss	$ (7,462)	$ (9,454)	$ (24,608)	$ (33,444)
Foreign currency translation adjustments	166	45	567	131
Comprehensive loss	$ (7,296)	$ (9,409)	$ (24,041)	$ (33,313)

CONDENSED COMBINED BALANCE SHEE

CONDENSED COMBINED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 16,689	$ 14,566
Trade accounts receivable, net of allowances of $519 and $483	19,822	20,982
Inventories	42,276	45,299
Prepaid expenses and other current assets	2,477	1,813
Total current assets	81,264	82,660
Property, plant and equipment, net	21,864	21,863
Intangible assets, net	36,859	41,785
Other assets	718	857
Total assets	140,705	147,165
Current liabilities:
Short-term debt	0	445
Accounts payable, trade	7,930	8,537
Accrued compensation	5,817	4,393
Accrued commissions	4,564	4,398
Contingent consideration liabilities	900	2,855
Other accrued expenses and current liabilities	3,979	3,790
Total current liabilities	23,190	24,418
Long-term borrowings under credit facility	0	3,835
Contingent consideration liabilities	3,632	5,125
Other liabilities	2,927	2,810
Total liabilities	29,749	36,188
Commitments and contingencies
Stockholders' equity:
Preferred stock, $0.01 par value; 15,000 authorized; no shares issued and outstanding at September 30, 2017 and December 31, 2016	0	0
Common stock, $0.01 par value; 60,000 authorized; 13,429 and 11,258 shares issued and outstanding at September 30, 2017 and December 31, 2016, respectively	134	113
Additional paid-in capital	204,752	180,753
Accumulated other comprehensive income	1,839	1,272
Accumulated deficit	(95,769)	(71,161)
Total stockholders' equity	110,956	110,977
Total liabilities and stockholders' equity	$ 140,705	$ 147,165

CONDENSED COMBINED BALANCE SHE5

CONDENSED COMBINED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Allowance for trade accounts receivable	$ 519	$ 483
Preferred Stock, Par or Stated Value Per Share	$ 0.01	$ 0.01
Preferred Stock, Shares Authorized	15,000,000	15,000,000
Preferred Stock, Shares Outstanding	0	0
Common Stock, Par or Stated Value Per Share	$ 0.01	$ 0.01
Common Stock, Shares Authorized	60,000,000	60,000,000
Common Stock, Shares, Issued	13,429,000	11,258,000
Common Stock, Shares, Outstanding	13,429,000	11,258,000

CONDENSED COMBINED STATEMENTS 6

CONDENSED COMBINED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
OPERATING ACTIVITIES:
Net loss	$ (24,608)	$ (33,444)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	8,184	8,984
Instrument replacement expense	1,146	950
Impairment of spinal instruments	0	919
Provision for excess and obsolete inventories	3,229	4,057
Amortization of debt issuance costs	104	105
Deferred income tax provision (benefit)	103	(80)
Stock-based compensation	4,505	5,406
Gain from change in fair value of contingent consideration liabilities	(897)	0
Changes in assets and liabilities:
Accounts receivable	1,405	4,182
Inventories	1,814	87
Prepaid expenses and other current assets	(653)	1,051
Other non-current assets	(11)	102
Accounts payable	(1,160)	(3,941)
Accrued commissions	166	(277)
Other accrued expenses and current liabilities	2,600	1,289
Other non-current liabilities	(36)	204
Net cash used in operating activities	(4,109)	(10,406)
INVESTING ACTIVITIES:
Purchases of property and equipment	(5,518)	(5,707)
Additions to technology assets	(200)	(1,150)
Net cash used in investing activities	(5,718)	(6,857)
FINANCING ACTIVITIES:
Proceeds from Lines of Credit	0	3,300
Proceeds from Short-term Debt	0	1,202
Repayments of credit facility	(4,020)	0
Repayments of short-term debt	(445)	(378)
Proceeds from Issuance of Shares under Incentive and Share-based Compensation Plans, Including Stock Options	488	356
Proceeds from issuance of common stock, net of offering costs- ATM transactions	15,557	0
Repurchases of common stock for income tax withheld upon vesting of restricted stock awards	(48)	(25)
Net cash provided by financing activities	11,532	4,455
Effect of exchange rate changes on cash and cash equivalents	418	187
Net change in cash and cash equivalents	2,123	(12,621)
Cash and cash equivalents at beginning of period	14,566	33,429
Cash and cash equivalents at end of period	16,689	20,808
Non-cash operating activities:
Settlement of bonus in payment of restricted stock units	970	0
Non-cash investing activities:
Property and equipment in liabilities	972	1,556
Fair Value of Assets Acquired	0	8,300
Business Combination, Consideration Transferred, Liabilities Incurred	0	8,300
Settlement of contingent closing consideration liabilities in connection with acquisition of business (see Note 8)	$ 2,548	$ 0

CONDENSED COMBINED STATEMENT O7

CONDENSED COMBINED STATEMENT OF EQUITY Statement - 9 months ended Sep. 30, 2017 - USD ($) $ in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Retained Earnings [Member]
Balance December 31, 2016 at Dec. 31, 2016	11,258,000	11,258,000
Balance December 31, 2016 at Dec. 31, 2016	$ 110,977	$ 113	$ 180,753	$ 1,272	$ (71,161)
Net loss	(24,608)				(24,608)
Foreign currency translation adjustment	567			567
Restricted stock awards/units issued		252,000
Restricted stock awards/units issued	970	$ 2	968
Issuance of common stock under employee stock purchase plan		71,000
Issuance of common stock under employee stock purchase plan	453	$ 1	452
Issuance of common stock- NLT Spine Ltd contingent closing consideration		350,000
Issuance of common stock- NLT Spine Ltd contingent closing consideration	2,548	$ 3	2,545
Issuance of common stock, net of offering costs- ATM transactions		1,500,000
Issuance of common stock, net of offering costs- ATM transactions	15,557	$ 15	15,542
Issuance of common stock- exercise of stock options		5,000
Issuance of common stock- exercise of stock options	35	$ 0	35
Repurchases of common stock for income tax withheld upon vesting of restricted stock awards		(7,000)
Repurchases of common stock for income tax withheld upon vesting of restricted stock awards	(48)		(48)
Stock-based compensation	$ 4,505		4,505
Balance September 30, 2017 at Sep. 30, 2017	13,429,000	13,429,000
Balance September 30, 2017 at Sep. 30, 2017	$ 110,956	$ 134	$ 204,752	$ 1,839	$ (95,769)

BUSINESS

BUSINESS	9 Months Ended
	Sep. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BUSINESS	BUSINESS AND BASIS OF PRESENTATION Business SeaSpine Holdings Corporation was incorporated in Delaware on February 12, 2015 in connection with the spin-off of the orthobiologics and spinal implant business of Integra LifeSciences Holdings Corporation, a diversified medical technology company. The spin-off occurred on July 1, 2015. Unless the context indicates otherwise, (i) references to "SeaSpine" or the "Company" refer to SeaSpine Holdings Corporation and its wholly-owned subsidiaries, and (ii) references to "Integra" refer to Integra LifeSciences Holdings Corporation and its subsidiaries other than SeaSpine. Basis of Presentation and Principles of Consolidation The Company prepared the unaudited interim condensed consolidated financial statements included in this report in accordance with accounting principles generally accepted in the U.S. (GAAP) for interim financial information and the rules and regulations of the Securities and Exchange Commission (SEC) related to quarterly reports on Form 10-Q. The Company’s financial statements are presented on a consolidated basis. The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. Intercompany accounts and transactions have been eliminated in consolidation. The unaudited interim condensed consolidated financial statements do not include all information and disclosures required by GAAP for annual audited financial statements and should be read in conjunction with the Company’s consolidated financial statements and notes thereto for the year ended December 31, 2016 included in the Company’s Annual Report on Form 10-K filed with the SEC. In the opinion of management, the unaudited interim condensed consolidated financial statements included in this report have been prepared on the same basis as the Company's audited consolidated financial statements and include all adjustments (consisting only of normal recurring adjustments) necessary for a fair statement of the financial position, results of operations, cash flows, and statement of equity for periods presented. The results for the three and nine months ended September 30, 2017 are not necessarily indicative of the results expected for the full year. The condensed consolidated balance sheet as of December 31, 2016 was derived from the audited consolidated financial statements for the year ended December 31, 2016.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Sep. 30, 2017
Accounting Policies [Abstract]
Significant Accounting Policies [Text Block]	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent liabilities, and the reported amounts of revenues and expenses. Significant estimates affecting amounts reported or disclosed in the consolidated financial statements include allowances for doubtful accounts receivable and sales returns and other credits, net realizable value of inventories, discount rates and estimated projected cash flows used to value and test impairments of identifiable intangible and long-lived assets, assumptions related to the timing and probability of product launch dates, discount rates matched to the estimated timing of payments, probability of success rates and discount adjustments on the related cash flows for contingent considerations in business combinations, depreciation and amortization periods for identifiable intangible and long-lived assets, computation of taxes, valuation allowances recorded against deferred tax assets, the valuation of stock-based compensation and loss contingencies. These estimates are based on historical experience and on various other assumptions that are believed to be reasonable under the current circumstances. Actual results could differ from these estimates. Recent Accounting Standards Not Yet Adopted The Company qualifies as an “emerging growth company” (EGC) pursuant to the provisions of the Jumpstart Our Business Startups (JOBS) Act and elected to take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act of 1933, as amended, which permits EGCs to defer compliance with new or revised accounting standards (the EGC extension) until non-issuers are required to comply with such standards. Accordingly, so long as the Company continues to qualify as an EGC, the Company will not have to adopt or comply with new or revised accounting standards until non-issuers are required to adopt or comply with such standards. In May 2014, the Financial Accounting Standards Board (FASB) issued Update No. 2014-09, Revenue from Contracts with Customers (Topic 606) . The new standard provides a five-step approach to be applied to all contracts with customers. The new standard also requires expanded disclosure about revenue recognition. The new standard as amended by ASU 2015-14 will be effective for the Company beginning on January 1, 2019, and for interim periods within annual periods beginning on January 1, 2020. The Company performed a preliminary assessment of the impact of this new standard on its consolidated financial statements. In assessing the impact, the Company has outlined all revenue streams, and has considered the five steps outlined in the standard for product sales, from which substantially all the Company's revenue is generated. The Company will continue to evaluate the future impact of the new standard throughout 2017. In February 2016, the FASB issued Update No. 2016-02, Leases (Topic 842) . The new standard requires lessees to recognize lease liabilities and corresponding right-of-use assets for all leases with lease terms of greater than twelve months. It also changes the definition of a lease and expands the disclosure requirements of lease arrangements. The new standard must be adopted using the modified retrospective approach. The standard will be effective for the Company beginning on January 1, 2020, and interim periods within annual periods beginning on January 1, 2021, with early adoption permitted. The Company does not plan to early adopt and expects to apply the transition practical expedients allowed by the standard. Note 11 to the Condensed Consolidated Financial Statements provides details on the Company’s current lease arrangements. While the Company continues to evaluate the impact of this new standard on its consolidated financial statements, the Company currently expects the primary impact will be to record right-of-use assets and lease liabilities for existing operating leases in the consolidated balance sheets. The Company does not currently expect the adoption of this new standard to have a material impact on its consolidated results of operations or cash flows. In August 2016, the FASB issued Update No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. This new standard addresses eight specific cash flow issues related to cash receipts and cash payments with the objective of reducing the existing diversity of presentation and classification in the statement of cash flows. The new standard will be effective for the Company beginning on January 1, 2019, and interim periods within annual periods beginning on January 1, 2020. Early adoption is permitted and should be applied using a retrospective transition method to each period presented. The Company is in the process of evaluating the impact of this standard on its consolidated financial statements. In May 2017, the FASB issued Update No. 2017-09, Compensation- Stock Compensation (Topic 718): Scope of Modification Accounting. The new standard provides guidance regarding which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting in Topic 718. The new standard will be effective for the Company beginning on January 1, 2018, and interim periods within annual periods beginning on January 1, 2018. The new standard should be applied prospectively to an award modified on or after the adoption date. The Company is in the process of evaluating the impact of this standard on its consolidated financial statements. Recently Adopted Accounting Standards In July 2015, the FASB issued Update No. 2015-11, Simplifying the Measurement of Inventory (Topic 330) . The new guidance requires an entity to measure inventory within the scope of the amendment at the lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The guidance was effective for the Company beginning on January 1, 2017, and interim periods within annual periods beginning on January 1, 2018. Adoption of this new guidance has had no impact on the Company’s consolidated financial statements. Net Loss Per Share Basic and diluted net loss per share was calculated using the weighted-average number of shares of common stock outstanding during the period. The weighted average number of shares used to compute diluted net loss per share excludes any assumed exercise of stock options, any assumed issuance of common stock under restricted stock awards and units, and any assumed issuances under the Company's 2015 Employee Stock Purchase Plan, as the effect, in each case, would be antidilutive. Common stock equivalents of 3.4 million shares for each of the three and nine months ended September 30, 2017 , and 2.9 million shares for each of the three and nine months ended September 30, 2016, were excluded from the calculation because of their antidilutive effect. Out-of-Period Adjustment In the third quarter of 2016, the Company recorded an adjustment to correct an error in the first quarter of 2016 reported amounts. This resulted in an increase to cost of goods sold by $0.6 million for the three months ended September 30, 2016. The error had the effect of overstating the inventory balance and understating the cost of goods sold, in each case, by $0.6 million for the three months ended March 31, 2016. The adjustment recorded in the third quarter of 2016 corrected the balance sheet and cost of goods sold for the nine months ended September 30, 2016. The impact to the periods presented and to the previously issued related financial statements was not material.

DEBT AND INTEREST

DEBT AND INTEREST	9 Months Ended
	Sep. 30, 2017
Debt Disclosure [Abstract]
Debt Disclosure [Text Block]	DEBT AND INTEREST Credit Agreement In December 2015, the Company entered into a three -year credit facility with Wells Fargo Bank, National Association, which was subsequently amended in October 2016 (as amended, the Credit Facility). The Credit Facility provides an asset-backed revolving line of credit of up to $30.0 million in borrowing capacity with a maturity date of December 24, 2018, which maturity date is subject to a one-time, one -year extension at the Company's election. In connection with the Credit Facility, the Company was required to become a guarantor and to provide a security interest in substantially all its assets for the benefit of the counterparty. Borrowings under the Credit Facility accrue interest at the rate then applicable to base rate loans (as customarily defined), unless and until converted into LIBOR rate loans (as customarily defined) in accordance with the terms of the Credit Facility. Borrowings bear interest at a floating annual rate equal to (a) during any month for which the Company's average excess availability (as customarily defined) is greater than $20.0 million , (i) base rate plus 1.25 percentage points for base rate loans and (ii) LIBOR rate plus 2.25 percentage points for LIBOR rate loans, (b) during any month for which the Company's average excess availability is greater than $10.0 million but less than or equal to $20.0 million , (i) base rate plus 1.50 percentage points for base rate loans and (ii) LIBOR rate plus 2.50 percentage points for LIBOR rate loans and (c) during any month for which the Company's average excess availability is less than or equal to $10.0 million , (i) base rate plus 1.75 percentage points for base rate loans and (ii) LIBOR rate plus 2.75 percentage points for LIBOR rate loans. The Company will also pay an unused line fee in an amount equal to 0.375% per annum of the unused Credit Facility amount. The unused line fee is due and payable on the first day of each month. In September 2016, the Company borrowed $3.3 million under the Credit Facility. The Company elected to have the LIBOR rate apply to the amount borrowed with an interest period of six months commencing on September 28, 2016, which was further extended for another interest period of six months commencing on March 28, 2017. During the three months ended September 30, 2017, the Company paid off the entire amount borrowed plus accrued interest, totaling $4.1 million . At September 30, 2017 , there were no amounts outstanding under the Credit Facility, and the Company had $18.2 million of current borrowing capacity thereunder. Debt issuance costs and legal fees related to the Credit Facility totaling $0.4 million were recorded as a deferred asset and are being amortized ratably over the term of the arrangement. The Credit Facility contains various customary affirmative and negative covenants, including prohibiting the Company from incurring indebtedness without the lender’s consent. The Credit Facility also includes a financial covenant that requires the Company to maintain a minimum fixed charge coverage ratio of 1.10 to 1.00 for the applicable measurement period, if the Company's Total Liquidity (as defined in the Credit Facility) is less than $5.0 million . The Company was in compliance with all applicable covenants at September 30, 2017 . The Credit Facility also includes customary events of default, including events of default relating to non-payment of amounts due under the Credit Facility, material inaccuracy of representations and warranties, violation of covenants, bankruptcy and insolvency, failure to comply with health care laws, violation of certain of the Company’s existing agreements, and the occurrence of a change of control. Under the Credit Facility, if an event of default occurs, the lender will have the right to terminate the commitments and accelerate the maturity of any loans outstanding. Insurance Premium Finance Agreements In July 2016, the Company entered into two insurance premium finance agreements (the Finance Agreements) with First Insurance Funding Corporation and AFCO Acceptance Corporation (the Lenders), under which the Lenders agreed to pay premiums, taxes and fees to insurance companies on the Company's behalf for various insurance policies. The Company financed an aggregate of $1.2 million under the Finance Agreements with annual interest rates between 2% and 4% . The Company recorded the total amounts due to the Lenders as short-term debt on the balance sheet. At June 30, 2017, the financed amount plus accrued interest was paid off and no amounts were outstanding under the Finance Agreements, and no additional amounts have been financed under the Finance Agreements since then.

TRANSACTIONS WITH INTEGRA

TRANSACTIONS WITH INTEGRA	9 Months Ended
	Sep. 30, 2017
Related Party Transactions [Abstract]
TRANSACTIONS WITH INTEGRA	TRANSACTIONS WITH INTEGRA Prior to the spin-off, and pursuant to certain supply agreements subsequent to the spin-off, SeaSpine purchased a portion of raw materials and finished goods from Integra for SeaSpine's Mozaik family of products, and SeaSpine contract manufactured certain finished goods for Integra. The Company's purchases of raw materials and Mozaik product finished goods from Integra totaled $0.1 million for each of the three months ended September 30, 2017 and 2016, and $0.4 million and $1.1 million for the nine months ended September 30, 2017 and 2016, respectively. The Company's sale of finished goods sold to Integra under its contract manufacturing arrangement was immaterial for each of the three months ended September 30, 2017 and 2016, and totaled $0.4 million and $0.2 million for the nine months ended September 30, 2017 and 2016, respectively. Pursuant to a transition services agreement, Integra and SeaSpine provided certain services to one another following the spin-off, and Integra and SeaSpine agreed to indemnify each other against certain liabilities arising from their respective businesses. Under this agreement, Integra provided the Company with certain support functions, including information technology, accounting and other financial functions, regulatory affairs and quality assurance, human resources and other administrative support. The Company incurred no costs under this agreement for either of the three or nine months ended September 30, 2017 , an immaterial amount for the three months ended September 30, 2016 , and approximately $0.3 million for the nine months ended September 30, 2016 .

INVENTORIES

INVENTORIES	9 Months Ended
	Sep. 30, 2017
Inventory, Net [Abstract]
INVENTORIES	INVENTORIES Inventories consisted of the following: September 30, 2017 December 31, 2016 (In thousands) Finished goods $ 31,182 $ 30,922 Work in process 8,214 10,554 Raw materials 2,880 3,823 $ 42,276 $ 45,299

PROPERTY, PLANT AND EQUIPMENT

PROPERTY, PLANT AND EQUIPMENT	9 Months Ended
	Sep. 30, 2017
Property, Plant and Equipment [Abstract]
PROPERTY, PLANT AND EQUIPMENT	PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment are stated at historical cost less accumulated depreciation and any impairment charges. The Company provides for depreciation using the straight-line method over the estimated useful lives of the assets. Leasehold improvements are amortized over the lesser of the lease term or the useful life. The cost of major additions and improvements is capitalized, while maintenance and repair costs that do not improve or extend the lives of the respective assets are charged to operations as incurred. The cost of computer software obtained for internal use is accounted for in accordance with the Accounting Standards Codification (ASC) 350-40, Internal-Use Software. The cost of purchased spinal instruments which the Company consigns to hospitals and independent sales agents to support surgeries is initially capitalized as construction in progress. The amount is either then reclassified to spinal instrument sets and depreciation is initiated when instruments are put together in a newly built set with spinal implants, or directly expensed for the instruments that are used to replace damaged instruments in an existing set. The depreciation expense and direct expense for replacement instruments are recorded in selling, general and administrative expense. Property, plant and equipment balances and corresponding useful lives were as follows: September 30, 2017 December 31, 2016 Useful Lives (In thousands) Leasehold improvement $ 5,320 $ 5,003 Lease Term Machinery and production equipment 7,014 6,826 3-10 years Spinal instrument sets 23,187 26,618 5 years Information systems and hardware 7,402 6,918 3-7 years Furniture and fixtures 1,102 1,058 3-5 years Construction in progress 7,505 7,828 Total 51,530 54,251 Less accumulated depreciation and amortization (29,666 ) (32,388 ) Property, plant and equipment, net $ 21,864 $ 21,863 Depreciation and amortization expenses totaled $1.0 million and $1.1 million for the three months ended September 30, 2017 and 2016, respectively, and $3.1 million and $3.4 million for the nine months ended September 30, 2017 and 2016, respectively. The cost of purchased instruments used to replace damaged instruments in existing sets and recorded directly to the instrument replacement expense totaled $0.4 million and $0.2 million for the three months ended September 30, 2017 and 2016, respectively, and $1.1 million and $1.0 million for the nine months ended September 30, 2017 and 2016, respectively. For the three and nine months ended September 30, 2016, the Company recorded impairment charges totaling $0.2 million and $0.9 million , respectively, against spinal instruments that are no longer expected to be placed into service. No impairment charges against spinal instruments were recorded for the three or nine months ended September 30, 2017 .

IDENTIFIABLE INTANGIBLE ASSETS

IDENTIFIABLE INTANGIBLE ASSETS	9 Months Ended
	Sep. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
IDENTIFIABLE INTANGIBLE ASSETS	IDENTIFIABLE INTANGIBLE ASSETS Identifiable intangible assets are initially recorded at fair value at the time of acquisition, generally using an income or cost approach. The Company capitalizes costs incurred to renew or extend the term of recognized intangible assets and amortizes those costs over their expected useful lives. The components of the Company’s identifiable intangible assets were as follows: September 30, 2017 Weighted Average Life Cost Accumulated Amortization Net (Dollars in thousands) Product technology 12 years $ 40,769 $ (24,967 ) $ 15,802 Customer relationships 12 years 56,830 (35,773 ) 21,057 Trademarks/brand names — 300 (300 ) — $ 97,899 $ (61,040 ) $ 36,859 December 31, 2016 Weighted Average Life Cost Accumulated Amortization Net (Dollars in thousands) Product technology 12 years $ 40,569 $ (22,218 ) $ 18,351 Customer relationships 12 years 56,830 (33,396 ) 23,434 Trademarks/brand names — 300 (300 ) — $ 97,699 $ (55,914 ) $ 41,785 Annual amortization expense (including amounts reported in cost of goods sold) is expected to be approximately $6.8 million in 2017 , $6.5 million in 2018 , $5.8 million in 2019 , $4.9 million in 2020 and $4.9 million in 2021 . Amortization expense totaled $1.7 million and $1.6 million for the three months ended September 30, 2017 and 2016, respectively, and included $0.9 million and $0.7 million , respectively, of amortization of product technology intangible assets that is presented within cost of goods sold. Amortization expense totaled $5.1 million and $5.6 million for the nine months ended September 30, 2017 and 2016, respectively, and included $2.7 million and $2.0 million , respectively, of amortization of product technology intangible assets that is presented within cost of goods sold.

BUSINESS COMBINATIONS (Notes)

BUSINESS COMBINATIONS (Notes)	9 Months Ended
	Sep. 30, 2017
Business Combinations [Abstract]
Business Combinations	BUSINESS COMBINATIONS In August 2016, the Company entered into an asset purchase agreement with N.L.T Spine Ltd. (NLT), and NLT Spine, Inc., a wholly owned subsidiary of NLT, pursuant to which the Company agreed to purchase certain of the assets of NLT’s medical device business, including substantially all of NLT’s medical device intellectual property related to the ownership, design, development, manufacture, marketing and commercial exploitation of certain expandable interbody devices. The acquisition was undertaken to increase the Company's product offering in expandable interbody devices. At the initial closing under the asset purchase agreement, the Company entered into (i) an exclusive license agreement with NLT, pursuant to which the Company received an exclusive, worldwide license to make, use, import, offer for sale, sell and otherwise commercially exploit NLT’s expandable interbody device products , (ii) a transition services agreement with NLT, pursuant to which NLT agreed to provide certain services with respect to the continued development of the acquired intellectual property and (iii) a non-competition and non-solicitation agreement with NLT, pursuant to which NLT and its affiliates agreed not to compete with the Company with respect to the acquired intellectual property, subject to certain exceptions. The purchase price consisted of an initial cash payment to NLT of $1.0 million , which was paid in September 2016 upon the initial closing, and the issuance in January 2017 of 350,000 shares of the Company’s common stock with a total fair value of $2.5 million at issuance as contingent closing consideration upon the satisfaction of certain conditions, including FDA 510(K) clearance of one of the acquired product technologies. In accordance with the terms of the asset purchase agreement, the number of shares issued was determined based on the volume weighted average closing price (VWAP) of the Company's common stock during the 20 trading day period ending one trading day prior to the issuance date, subject to a minimum and maximum VWAP of $10.00 and $ 17.00 , respectively. The VWAP over such 20 -trading day period was $7.58 and therefore $10.00 was used. The Company is also obligated to pay up to a maximum of $5.0 million in milestone payments, payable at the Company's election in cash or in shares of its common stock, which are contingent on the Company's achievement of four independent events related to the commercialization of the acquired product technologies. Additionally, the Company is required to pay royalty payments, in cash, to NLT equal to declining (over time) percentages of the Company’s future net sales of certain of the acquired product technologies not to exceed $43.0 million in the aggregate. The Company has the option to terminate any future obligation to make royalty payments by making a one-time cash payment to NLT of $18.0 million . The Company accounted for this transaction as a business combination in accordance with ASC 805 Business Combinations , and as such, the assets acquired have been recorded at their respective fair values. There were no liabilities assumed. The determination of fair value for the identifiable intangible assets acquired requires extensive use of estimates and judgments. Significant estimates include estimating cash flows and determining the appropriate discount rate, which are considered significant unobservable inputs (Level 3) under the fair value concepts defined in ASC 820. Intangible assets acquired were valued at $9.3 million as of the initial closing date and recorded as product technology intangible assets, which are being amortized ratably over a useful life of 10 years from the initial closing. Acquisition costs of $0.5 million incurred were recorded as selling, marketing and administrative expenses. The following table summarizes the estimated fair value of total consideration to be paid to NLT as of September 26, 2016, the date of the initial closing. The Company estimated the fair value of the contingent consideration, including contingent milestone payments and contingent royalty payments, using a probability weighted approach that considers the possible outcomes based on assumptions related to the timing and probability of the product launch dates, discount rates matched to the timing of payments, and probability of success rates and discount adjustments on the related cash flows. Subsequent to the acquisition date, at each reporting period, the contingent consideration liabilities will be remeasured at current fair value with changes to be recorded in the consolidated statements of operations. The total purchase price was allocated entirely to product technology intangible asset. (In thousands) Cash paid for purchase $ 1,000 Contingent closing consideration 2,930 Contingent milestone payments 2,310 Contingent royalty payments 3,010 Total purchase price $ 9,250 The unaudited pro forma financial information set forth below assumes that the NLT purchased assets had been acquired on January 1, 2016. The unaudited pro forma financial information includes the effect of estimated amortization charges for acquired intangible assets of $0.2 million and $0.6 million for the three and nine months ended September 30, 2016 , respectively, and the estimated research and development expenses for the purchased assets of $0.3 million and $0.8 million for the three and nine months ended September 30, 2016 , respectively, and excludes the non-recurring acquisition costs of $0.5 million for each of the three and nine months ended September 30, 2016. There was no adjustment to the total revenues. The unaudited pro forma information is presented for informational purposes only and is not indicative of the results of operations that would have been achieved if the acquisition had taken place at the beginning of the periods presented. The actual amortization charges for acquired intangible assets and research and development expenses for the purchased assets are included in the consolidated statement of operations for the three and nine months ended September 30, 2017, and therefore no adjustment was made to such statement. Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except per share data) 2016 2016 Operating loss $ (9,511 ) $ (34,945 ) Net loss (9,467 ) (34,419 ) Net loss per share, basic and diluted $ (0.84 ) $ (3.07 ) Weighted average shares used to compute basic and diluted net loss per share 11,271 11,206

FAIR VALUE MEASUREMENTS (Notes)

FAIR VALUE MEASUREMENTS (Notes)	9 Months Ended
	Sep. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value Disclosures [Text Block]	FAIR VALUE MEASUREMENTS The fair values of the Company’s assets and liabilities, including contingent consideration liabilities, are measured at fair value on a recurring basis, and are determined under the fair value categories as follows (in thousands): Total Quoted Price in Active Market (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) September 30, 2017: Contingent consideration liabilities- current $ 900 $ — $ — $ 900 Contingent consideration liabilities- non-current 3,632 — — 3,632 Total contingent consideration $ 4,532 $ — $ — $ 4,532 December 31, 2016: Contingent consideration liabilities- current $ 2,855 $ — $ — $ 2,855 Contingent consideration liabilities- non-current 5,125 — — 5,125 Total contingent consideration $ 7,980 $ — $ — $ 7,980 Contingent consideration liabilities are classified within Level 3 of the fair value hierarchy because they use significant unobservable inputs. For those liabilities, fair value is determined using a probability-weighted discounted cash flow model and significant inputs which are not observable in the market. The significant inputs include assumptions related to the timing and probability of the product launch dates, discount rates matched to the timing of payments, and probability of success rates. The following table sets forth the changes in the estimated fair value of the Company’s liabilities measured on a recurring basis using significant unobservable inputs (Level 3) for the three and nine months ended September 30, 2017. The gain from change in fair value of contingent closing consideration is the difference between the fair value of shares expected to be issued to NLT based on assumptions as of December 31, 2016, including the forecasted issuance date and stock price, and the fair value of the shares actually issued to NLT on January 31, 2017. The gain from change in fair value of contingent milestone and royalty payments resulted from updated estimated timing of payments, probability of success rates, the passage of time, updated discount rates matched to the estimated timing of payments, actual net sales of certain products for the three and nine months ended September 30, 2017, and lower estimated net sales for the remainder of 2017 and for future royalty payment periods. Three Months Ended September 30, 2017 (in thousands) Balance as of June 30, 2017 $ 5,777 Contingent consideration liabilities settled (3 ) Gain from change in fair value of contingent milestone and royalty payments recorded in selling, general and administrative expenses (1,242 ) Fair value at September 30, 2017 $ 4,532 Nine Months Ended September 30, 2017 (in thousands) Balance as of January 1, 2017 $ 7,980 Contingent consideration liabilities settled (2,551 ) Gain from change in fair value of contingent closing consideration recorded in other income (112 ) Gain from change in fair value of contingent milestone and royalty payments recorded in selling, general and administrative expenses (785 ) Fair value at September 30, 2017 $ 4,532

EQUITY AND STOCK-BASED COMPENSA

EQUITY AND STOCK-BASED COMPENSATION	9 Months Ended
	Sep. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
STOCK-BASED COMPENSATION	EQUITY AND STOCK-BASED COMPENSATION Common Stock On January 31, 2017, the Company issued 350,000 shares of common stock to NLT as the settlement of contingent closing consideration pursuant to the terms of the asset purchase agreement entered into with NLT in August 2016. The total fair value of such shares was $2.5 million at issuance. See Note 8, "Business Combinations" above. In August 2016, the Company entered into an equity distribution agreement (Distribution Agreement) with Piper Jaffray & Co. (Piper Jaffray), pursuant to which the Company may offer and sell shares of its common stock in “at the market” (ATM) offerings (as defined in Rule 415 of the Securities Act of 1933, as amended) having an aggregate offering price up to $25.0 million in gross proceeds from time to time through Piper Jaffray acting as sales agent. The shares offered and sold under the Distribution Agreement are covered by a registration statement on Form S-3 that was declared effective on August 24, 2016. Under the Distribution Agreement, the Company sold 1,500,000 shares of common stock at an average price per share of $10.78 and received net proceeds of approximately $15.6 million (net of $0.6 million of offering costs) during the nine months ended September 30, 2017. The Company intends to use the net proceeds for general corporate purposes, including paying down outstanding borrowings under the Credit Facility, sales and marketing expenditures aimed at growing its business, and research and development expenditures focused on product development. The Company has the capacity to issue additional shares of its common stock to generate up to $8.8 million of gross proceeds under the Distribution Agreement as of September 30, 2017. Future sales, if any, will depend on a variety of factors including, but not limited to, market conditions, the trading price of the Company’s common stock and the Company’s capital needs. Equity Award Plans As of June 30, 2015, Integra had stock options, restricted stock awards, performance stock awards, contract stock awards and restricted stock units outstanding under three plans, the 2000 Equity Incentive Plan, the 2001 Equity Incentive Plan, and the 2003 Equity Incentive Plan. In connection with the spin-off, Integra equity awards granted to individuals who became employees of SeaSpine were converted to equity awards denominated in SeaSpine common stock. In general, each post-conversion award is subject to the same terms and conditions as were applicable to the pre-conversion award. In May 2015, the Company adopted the 2015 Incentive Award Plan, which was subsequently amended and restated with approval of the Company's stockholders (as amended and restated, the 2015 Plan). Under the 2015 Plan, the Company can grant its employees and non-employee directors incentive stock options and non-qualified stock options, restricted stock, performance stock, dividend equivalent rights, stock appreciation rights, stock payment awards and other incentive awards. The Company may issue up to 3,509,500 shares of its common stock in respect of awards granted under the 2015 Plan. As of September 30, 2017 , there were 290,289 shares available to grant under the 2015 Plan. In 2016, the Company established the 2016 Employment Inducement Incentive Award Plan (the 2016 Plan). The plan is a broad-based incentive plan which allows for the issuance of stock-based awards, including non-qualified stock options, restricted stock awards, performance awards, restricted stock unit awards and stock appreciation rights, to any prospective officer or other employee who has not previously been an employee or director of SeaSpine or an affiliate or who is commencing employment with SeaSpine or an affiliate following a bona-fide period of non-employment by SeaSpine or an affiliate. An aggregate of 1,000,000 shares are reserved for issuance under the 2016 Plan. The Company has not awarded any shares under the 2016 Plan as of September 30, 2017 . Restricted Stock Awards and Restricted Stock Units The Company expenses the fair value of restricted stock awards and of restricted stock units on an accelerated basis over the vesting period or requisite service period, whichever is shorter. Stock-based compensation expense related to restricted stock awards and to restricted stock units includes an estimate for forfeitures. The expected forfeiture rate of all equity-based compensation is based on historical experience of pre-vesting forfeitures on awards by each homogenous group of shareowners. For awards granted to non-executive employees, the forfeiture rate is estimated to be 15% annually for the nine months ended September 30, 2017 and 12% annually for the nine months ended September 30, 2016 . There is no forfeiture rate applied to awards granted to non-employee directors or executive employees because their pre-vesting forfeitures are anticipated to be highly unlikely. As individual awards become fully vested, stock-based compensation expense is adjusted to recognize actual forfeitures. There were no shares of restricted stock awards granted to non-employee directors during either of the three months ended September 30, 2017 or 2016. There were 120,610 and 75,075 shares of restricted stock awards granted to non-employee directors during the nine months ended September 30, 2017 and 2016, respectively. There were 34,800 and 778,755 shares of restricted stock units granted to employees during the three and nine months ended September 30, 2017, respectively. Of the total restricted stock units granted to employees, 131,523 shares were issued in lieu of cash bonuses earned under the annual incentive program for corporate and individual performance in 2016. There were no restricted stock units granted during the three or nine months ended September 30, 2016. As of September 30, 2017 , there was approximately $3.2 million of total unrecognized compensation expense related to the unvested portions of restricted stock awards and of restricted stock units. This cost is expected to be recognized over a weighted-average period of approximately 1.2 years . Stock Options Stock option grants to employees generally have a requisite service period of four years, and stock option grants to non-employee directors generally have a requisite service period of one year. Both are subject to graded vesting. The Company records stock-based compensation expense associated with stock options on an accelerated basis over the various vesting periods within each grant and based on their fair value at the date of grant using the Black-Scholes-Merton option pricing model. There were zero and 43,500 stock options granted during the three months ended September 30, 2017 and 2016, respectively, and 21,500 and 900,524 stock options granted during the nine months ended September 30, 2017 and 2016, respectively. The following weighted-average assumptions were used in the calculation of fair value for options grants for the periods indicated. Three Months Ended September 30, Nine Months Ended September 30, 2016 2017 2016 Expected dividend yield 0 % 0 % 0 % Risk-free interest rate 1.1 % 2.0 % 1.3 % Expected volatility 38.1 % 35.7 % 38.3 % Expected term (in years) 5.1 5.1 4.9 The Company considered that it has never paid, and does not currently intend to pay, cash dividends. The risk-free interest rates are derived from the U.S. Treasury yield curve in effect on the date of grant for instruments with a remaining term similar to the expected term of the options. Due to the Company’s limited historical data, the expected volatility is calculated based upon the historical volatility of comparable companies in the medical device industry whose share prices are publicly available for a sufficient period of time. The expected term of "plain vanilla" options is calculated using the simplified method as prescribed by accounting guidance for stock-based compensation. A "plain vanilla" option is an option with the following characteristics: (1) the option is granted at-the-money; (2) exercisability is conditional only on satisfaction of a service condition through the vesting date; (3) employees who terminate their service prior to vesting forfeit the option; (4) employees who terminate their service after vesting are granted limited time to exercise their options; and (5) the option is nontransferable and non-hedgeable. The expected term of any other option is based on disclosures from similar companies with similar grants. In addition, the Company applies an expected forfeiture rate when amortizing stock-based compensation expense. The expected forfeiture rate of options is based on historical experience of pre-vesting forfeitures on awards by each homogenous group of shareowners. The forfeiture rate of options granted to non-executive employees is estimated to be 15% annually for the nine months ended September 30, 2017 , and 12% annually for the nine months ended September 30, 2016 . There is no forfeiture rate applied to options granted to non-employee directors or executive employees because their pre-vesting forfeitures are anticipated to be highly unlikely. As individual options become fully vested, stock-based compensation expense is adjusted to recognize actual forfeitures. As of September 30, 2017 , there was approximately $1.2 million of total unrecognized compensation expense related to unvested stock options. This cost is expected to be recognized over a weighted-average period of approximately 1.1 years. Employee Stock Purchase Plan In May 2015, the Company adopted the SeaSpine Holdings Corporation 2015 Employee Stock Purchase Plan, which was amended in December 2015 (as amended, the ESPP). Under the ESPP, eligible employees may purchase shares of the Company’s common stock through payroll deductions of up to 15% of eligible compensation during an offering period. Generally, each offering will be for a period of twenty-four months as determined by the Company's board of directors. There are four six-month purchase periods in each offering period for contributions to be made and to be converted into shares at the end of the purchase period. In no event may an employee purchase more than 2,500 shares per purchase period based on the closing price on the first trading date of an offering period or more than $25,000 worth of stock during any calendar year. The purchase price for shares to be purchased under the ESPP is 85% of the lesser of the market price of the Company's common stock on the first trading date of an offering period or on any purchase date during an offering period (June 30 or December 31). The ESPP authorizes the issuance of up to 400,000 shares of common stock pursuant to purchase rights granted to employees. The ESPP is intended to qualify as an “employee stock purchase plan” within the meaning of Section 423 of the Internal Revenue Code of 1986, as amended (the IRC). The first offering period under the ESPP commenced on January 1, 2016 and will end on December 31, 2017. However, the ESPP contains a restart feature, such that if the market price of the stock at the end of any six-month purchase period is lower than the market price at the original grant date of an offering period, that offering period will terminate after that purchase date, and a new two-year offering period will commence on the January 1 or July 1 immediately following the date the original offering period terminated. This restart feature was first triggered on the purchase date that occurred on June 30, 2016, such that the offering period that commenced on January 1, 2016 was terminated, and a new two-year offering period commenced on July 1, 2016. This restart feature was triggered again on the purchase date that occurred on December 31, 2016, such that the offering period that commenced on July 1, 2016 was terminated, and a new two-year offering period commenced on January 1, 2017 and will end on December 31, 2018. The Company applied share-based payment modification accounting to the awards that were initially valued at the grant date to determine the amount of any incremental fair value associated with the modified awards. The impact to stock-based compensation expense for modifications during the three and nine months ended September 30, 2017 was immaterial. During the nine months ended September 30, 2017 and 2016, there were 70,537 and 39,955 shares of common stock, respectively, purchased under the ESPP. The Company estimates the fair value of shares issued to employees under the ESPP using the Black-Scholes-Merton option-pricing model. The following weighted average assumptions were used in the calculation of fair value of shares under the ESPP at the grant date for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Expected dividend yield 0 % 0 % 0 % 0 % Risk-free interest rate 1.3 % 0.5 % 1.0 % 0.6 % Expected volatility 25.3 % 29.3 % 28.1 % 30.5 % Expected term (in years) 1.2 1.2 1.2 1.2

LEASES

LEASES	9 Months Ended
	Sep. 30, 2017
Leases [Abstract]
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]	LEASES The Company leases administrative, manufacturing, research, and distribution facilities and various manufacturing, office and transportation equipment through operating lease agreements. During the nine months ended September 30, 2017 , the Company entered into two lease agreements: one for an office located in Wayne, Pennsylvania, where the Company designs spinal implants and which facilitates the Company's interactions with customers in the Eastern United States, and another for an office located in Lyon, France, which serves as the Company's international sales and marketing office. The terms of these two lease agreements are through June 2022 and February 2026, respectively, and both have an average annual cost of less than $0.1 million . Future minimum lease payments under the Company's operating leases at September 30, 2017 are as follows: Payments Due by Calendar Year (In thousands) 2017 $ 535 2018 2,082 2019 2,130 2020 2,179 2021 2,221 Thereafter 8,474 Total minimum lease payments $ 17,621 Total lease expense for the three months ended September 30, 2017 and 2016 was $0.5 million and $0.7 million , respectively, and $1.6 million and $2.3 million for the nine months ended September 30, 2017 and 2016, respectively.

INCOME TAXES

INCOME TAXES	9 Months Ended
	Sep. 30, 2017
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES The following table provides a summary of the Company’s effective tax rate for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Reported tax rate 0.8 % 1.1 % — % 1.6 % The Company reported an income tax benefit for the three and nine months ended September 30, 2017 primarily related to the release of its ASC 740-10 ( Accounting for Uncertainty in Income Taxes ) liabilities due to the expiration of the statute of limitations, offset by income tax expenses related to foreign and state operations. The Company reported an income tax benefit for the three and nine months ended September 30, 2016 which was primarily the result of a refund of tax initially paid toward the income tax return for its U.S. subsidiary which was not part of the U.S consolidated tax group for the tax period January 1, 2015 through August 31, 2015 as well as the release of its ASC 740-10 liabilities due to the expiration of the statute of limitations. In addition, for all periods presented, the pretax losses incurred by the consolidated U.S. tax group received no corresponding tax benefit because the Company has concluded that it is more likely than not that the Company will be unable to realize the value of any resulting deferred tax assets. The Company will continue to assess its position in future periods to determine if it is appropriate to reduce a portion of its valuation allowance in the future.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2017
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES In consideration for certain technology, manufacturing, distribution, and selling rights and licenses granted to the Company, the Company has agreed to pay royalties on sales of certain products sold by the Company. The royalty payments that the Company made under these agreements are included in the consolidated statements of operations as a component of cost of goods sold. The Company is subject to various legal proceedings in the ordinary course of its business with respect to its products, its current or former employees, and its commercial relationships, some of which have been settled by the Company. In the opinion of management, such proceedings are either adequately covered by insurance or otherwise indemnified, or are not expected, individually or in the aggregate, to result in a material adverse effect on the Company's financial condition. However, it is possible that the Company's results of operations, financial position and cash flows in a particular period could be materially affected by these contingencies. The Company accrues for loss contingencies when it is deemed probable that a loss has been incurred and that loss is estimable. The amounts accrued are based on the full amount of the estimated loss before considering insurance proceeds, and do not include an estimate for legal fees expected to be incurred in connection with the loss contingency. While uncertainty exists, the Company does not believe there are any pending legal proceedings that would have a material impact on the Company’s financial position, cash flows or results of operations.

SEGMENT AND GEOGRAPHIC INFORMAT

SEGMENT AND GEOGRAPHIC INFORMATION	9 Months Ended
	Sep. 30, 2017
Segment Reporting [Abstract]
SEGMENT AND GEOGRAPHIC INFORMATION	SEGMENT AND GEOGRAPHIC INFORMATION Management assessed its segment reporting based on how it internally manages and reports the results of its business to its chief operating decision maker. Management reviews financial results, manages the business and allocates resources on an aggregate basis. Therefore, financial results are reported in a single operating segment: the development, manufacture and marketing of orthobiologics and of spinal implants. The Company reports revenue in two product categories: orthobiologics and spinal implants. Orthobiologics products consist of a broad range of advanced and traditional bone graft substitutes that are designed to improve bone fusion rates following surgery. The spinal implants portfolio consists of an extensive line of products for minimally invasive surgery, complex spine, deformity and degenerative procedures. Revenue, net consisted of the following: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Orthobiologics $ 16,333 $ 16,186 $ 51,073 $ 49,649 Spinal implants 15,409 15,555 46,759 46,692 Total revenue, net $ 31,742 $ 31,741 $ 97,832 $ 96,341 The Company attributes revenues to geographic areas based on the location of the customer. Total revenue by major geographic area consisted of the following: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 United States $ 28,245 $ 28,485 $ 87,209 $ 87,041 International 3,497 3,256 10,623 9,300 Total revenue, net $ 31,742 $ 31,741 $ 97,832 $ 96,341

SUMMARY OF SIGNIFICANT ACCOUN22

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Sep. 30, 2017
Accounting Policies [Abstract]
Use of Estimates	Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent liabilities, and the reported amounts of revenues and expenses. Significant estimates affecting amounts reported or disclosed in the consolidated financial statements include allowances for doubtful accounts receivable and sales returns and other credits, net realizable value of inventories, discount rates and estimated projected cash flows used to value and test impairments of identifiable intangible and long-lived assets, assumptions related to the timing and probability of product launch dates, discount rates matched to the estimated timing of payments, probability of success rates and discount adjustments on the related cash flows for contingent considerations in business combinations, depreciation and amortization periods for identifiable intangible and long-lived assets, computation of taxes, valuation allowances recorded against deferred tax assets, the valuation of stock-based compensation and loss contingencies. These estimates are based on historical experience and on various other assumptions that are believed to be reasonable under the current circumstances. Actual results could differ from these estimates.
Recently Issued and Adopted Accounting Standards	Recent Accounting Standards Not Yet Adopted The Company qualifies as an “emerging growth company” (EGC) pursuant to the provisions of the Jumpstart Our Business Startups (JOBS) Act and elected to take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act of 1933, as amended, which permits EGCs to defer compliance with new or revised accounting standards (the EGC extension) until non-issuers are required to comply with such standards. Accordingly, so long as the Company continues to qualify as an EGC, the Company will not have to adopt or comply with new or revised accounting standards until non-issuers are required to adopt or comply with such standards. In May 2014, the Financial Accounting Standards Board (FASB) issued Update No. 2014-09, Revenue from Contracts with Customers (Topic 606) . The new standard provides a five-step approach to be applied to all contracts with customers. The new standard also requires expanded disclosure about revenue recognition. The new standard as amended by ASU 2015-14 will be effective for the Company beginning on January 1, 2019, and for interim periods within annual periods beginning on January 1, 2020. The Company performed a preliminary assessment of the impact of this new standard on its consolidated financial statements. In assessing the impact, the Company has outlined all revenue streams, and has considered the five steps outlined in the standard for product sales, from which substantially all the Company's revenue is generated. The Company will continue to evaluate the future impact of the new standard throughout 2017. In February 2016, the FASB issued Update No. 2016-02, Leases (Topic 842) . The new standard requires lessees to recognize lease liabilities and corresponding right-of-use assets for all leases with lease terms of greater than twelve months. It also changes the definition of a lease and expands the disclosure requirements of lease arrangements. The new standard must be adopted using the modified retrospective approach. The standard will be effective for the Company beginning on January 1, 2020, and interim periods within annual periods beginning on January 1, 2021, with early adoption permitted. The Company does not plan to early adopt and expects to apply the transition practical expedients allowed by the standard. Note 11 to the Condensed Consolidated Financial Statements provides details on the Company’s current lease arrangements. While the Company continues to evaluate the impact of this new standard on its consolidated financial statements, the Company currently expects the primary impact will be to record right-of-use assets and lease liabilities for existing operating leases in the consolidated balance sheets. The Company does not currently expect the adoption of this new standard to have a material impact on its consolidated results of operations or cash flows. In August 2016, the FASB issued Update No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. This new standard addresses eight specific cash flow issues related to cash receipts and cash payments with the objective of reducing the existing diversity of presentation and classification in the statement of cash flows. The new standard will be effective for the Company beginning on January 1, 2019, and interim periods within annual periods beginning on January 1, 2020. Early adoption is permitted and should be applied using a retrospective transition method to each period presented. The Company is in the process of evaluating the impact of this standard on its consolidated financial statements. In May 2017, the FASB issued Update No. 2017-09, Compensation- Stock Compensation (Topic 718): Scope of Modification Accounting. The new standard provides guidance regarding which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting in Topic 718. The new standard will be effective for the Company beginning on January 1, 2018, and interim periods within annual periods beginning on January 1, 2018. The new standard should be applied prospectively to an award modified on or after the adoption date. The Company is in the process of evaluating the impact of this standard on its consolidated financial statements. Recently Adopted Accounting Standards In July 2015, the FASB issued Update No. 2015-11, Simplifying the Measurement of Inventory (Topic 330) . The new guidance requires an entity to measure inventory within the scope of the amendment at the lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The guidance was effective for the Company beginning on January 1, 2017, and interim periods within annual periods beginning on January 1, 2018. Adoption of this new guidance has had no impact on the Company’s consolidated financial statements.
Earnings Per Share	Basic and diluted net loss per share was calculated using the weighted-average number of shares of common stock outstanding during the period. The weighted average number of shares used to compute diluted net loss per share excludes any assumed exercise of stock options, any assumed issuance of common stock under restricted stock awards and units, and any assumed issuances under the Company's 2015 Employee Stock Purchase Plan, as the effect, in each case, would be antidilutive. Common stock equivalents of 3.4 million shares for each of the three and nine months ended September 30, 2017 , and 2.9 million shares for each of the three and nine months ended September 30, 2016, were excluded from the calculation because of their antidilutive effect.

INVENTORIES (Tables)

INVENTORIES (Tables)	9 Months Ended
	Sep. 30, 2017
Inventory, Net [Abstract]
Schedule of Inventory, Net	Inventories consisted of the following: September 30, 2017 December 31, 2016 (In thousands) Finished goods $ 31,182 $ 30,922 Work in process 8,214 10,554 Raw materials 2,880 3,823 $ 42,276 $ 45,299

PROPERTY, PLANT AND EQUIPMENT (

PROPERTY, PLANT AND EQUIPMENT (Tables)	9 Months Ended
	Sep. 30, 2017
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment	Property, plant and equipment balances and corresponding useful lives were as follows: September 30, 2017 December 31, 2016 Useful Lives (In thousands) Leasehold improvement $ 5,320 $ 5,003 Lease Term Machinery and production equipment 7,014 6,826 3-10 years Spinal instrument sets 23,187 26,618 5 years Information systems and hardware 7,402 6,918 3-7 years Furniture and fixtures 1,102 1,058 3-5 years Construction in progress 7,505 7,828 Total 51,530 54,251 Less accumulated depreciation and amortization (29,666 ) (32,388 ) Property, plant and equipment, net $ 21,864 $ 21,863

IDENTIFIABLE INTANGIBLE ASSETS

IDENTIFIABLE INTANGIBLE ASSETS (Tables)	9 Months Ended
	Sep. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Components of Company's Identifiable Intangible Assets	The components of the Company’s identifiable intangible assets were as follows: September 30, 2017 Weighted Average Life Cost Accumulated Amortization Net (Dollars in thousands) Product technology 12 years $ 40,769 $ (24,967 ) $ 15,802 Customer relationships 12 years 56,830 (35,773 ) 21,057 Trademarks/brand names — 300 (300 ) — $ 97,899 $ (61,040 ) $ 36,859 December 31, 2016 Weighted Average Life Cost Accumulated Amortization Net (Dollars in thousands) Product technology 12 years $ 40,569 $ (22,218 ) $ 18,351 Customer relationships 12 years 56,830 (33,396 ) 23,434 Trademarks/brand names — 300 (300 ) — $ 97,699 $ (55,914 ) $ 41,785

BUSINESS COMBINATIONS (Tables)

BUSINESS COMBINATIONS (Tables)	9 Months Ended
	Sep. 30, 2017
Business Combinations [Abstract]
Schedule of Business Acquisitions, by Acquisition	The following table summarizes the estimated fair value of total consideration to be paid to NLT as of September 26, 2016, the date of the initial closing. The Company estimated the fair value of the contingent consideration, including contingent milestone payments and contingent royalty payments, using a probability weighted approach that considers the possible outcomes based on assumptions related to the timing and probability of the product launch dates, discount rates matched to the timing of payments, and probability of success rates and discount adjustments on the related cash flows. Subsequent to the acquisition date, at each reporting period, the contingent consideration liabilities will be remeasured at current fair value with changes to be recorded in the consolidated statements of operations. The total purchase price was allocated entirely to product technology intangible asset. (In thousands) Cash paid for purchase $ 1,000 Contingent closing consideration 2,930 Contingent milestone payments 2,310 Contingent royalty payments 3,010 Total purchase price $ 9,250
Business Acquisition, Pro Forma Information	The unaudited pro forma financial information set forth below assumes that the NLT purchased assets had been acquired on January 1, 2016. The unaudited pro forma financial information includes the effect of estimated amortization charges for acquired intangible assets of $0.2 million and $0.6 million for the three and nine months ended September 30, 2016 , respectively, and the estimated research and development expenses for the purchased assets of $0.3 million and $0.8 million for the three and nine months ended September 30, 2016 , respectively, and excludes the non-recurring acquisition costs of $0.5 million for each of the three and nine months ended September 30, 2016. There was no adjustment to the total revenues. The unaudited pro forma information is presented for informational purposes only and is not indicative of the results of operations that would have been achieved if the acquisition had taken place at the beginning of the periods presented. The actual amortization charges for acquired intangible assets and research and development expenses for the purchased assets are included in the consolidated statement of operations for the three and nine months ended September 30, 2017, and therefore no adjustment was made to such statement. Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except per share data) 2016 2016 Operating loss $ (9,511 ) $ (34,945 ) Net loss (9,467 ) (34,419 ) Net loss per share, basic and diluted $ (0.84 ) $ (3.07 ) Weighted average shares used to compute basic and diluted net loss per share 11,271 11,206

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	9 Months Ended
	Sep. 30, 2017
Fair Value Disclosures [Abstract]
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block]	The fair values of the Company’s assets and liabilities, including contingent consideration liabilities, are measured at fair value on a recurring basis, and are determined under the fair value categories as follows (in thousands): Total Quoted Price in Active Market (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) September 30, 2017: Contingent consideration liabilities- current $ 900 $ — $ — $ 900 Contingent consideration liabilities- non-current 3,632 — — 3,632 Total contingent consideration $ 4,532 $ — $ — $ 4,532 December 31, 2016: Contingent consideration liabilities- current $ 2,855 $ — $ — $ 2,855 Contingent consideration liabilities- non-current 5,125 — — 5,125 Total contingent consideration $ 7,980 $ — $ — $ 7,980
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]	The following table sets forth the changes in the estimated fair value of the Company’s liabilities measured on a recurring basis using significant unobservable inputs (Level 3) for the three and nine months ended September 30, 2017. The gain from change in fair value of contingent closing consideration is the difference between the fair value of shares expected to be issued to NLT based on assumptions as of December 31, 2016, including the forecasted issuance date and stock price, and the fair value of the shares actually issued to NLT on January 31, 2017. The gain from change in fair value of contingent milestone and royalty payments resulted from updated estimated timing of payments, probability of success rates, the passage of time, updated discount rates matched to the estimated timing of payments, actual net sales of certain products for the three and nine months ended September 30, 2017, and lower estimated net sales for the remainder of 2017 and for future royalty payment periods. Three Months Ended September 30, 2017 (in thousands) Balance as of June 30, 2017 $ 5,777 Contingent consideration liabilities settled (3 ) Gain from change in fair value of contingent milestone and royalty payments recorded in selling, general and administrative expenses (1,242 ) Fair value at September 30, 2017 $ 4,532 Nine Months Ended September 30, 2017 (in thousands) Balance as of January 1, 2017 $ 7,980 Contingent consideration liabilities settled (2,551 ) Gain from change in fair value of contingent closing consideration recorded in other income (112 ) Gain from change in fair value of contingent milestone and royalty payments recorded in selling, general and administrative expenses (785 ) Fair value at September 30, 2017 $ 4,532

EQUITY AND STOCK-BASED COMPEN28

EQUITY AND STOCK-BASED COMPENSATION (Tables)	9 Months Ended
	Sep. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	Stock option grants to employees generally have a requisite service period of four years, and stock option grants to non-employee directors generally have a requisite service period of one year. Both are subject to graded vesting. The Company records stock-based compensation expense associated with stock options on an accelerated basis over the various vesting periods within each grant and based on their fair value at the date of grant using the Black-Scholes-Merton option pricing model. There were zero and 43,500 stock options granted during the three months ended September 30, 2017 and 2016, respectively, and 21,500 and 900,524 stock options granted during the nine months ended September 30, 2017 and 2016, respectively. The following weighted-average assumptions were used in the calculation of fair value for options grants for the periods indicated. Three Months Ended September 30, Nine Months Ended September 30, 2016 2017 2016 Expected dividend yield 0 % 0 % 0 % Risk-free interest rate 1.1 % 2.0 % 1.3 % Expected volatility 38.1 % 35.7 % 38.3 % Expected term (in years) 5.1 5.1 4.9
Schedule of Share-based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions [Table Text Block]	The Company estimates the fair value of shares issued to employees under the ESPP using the Black-Scholes-Merton option-pricing model. The following weighted average assumptions were used in the calculation of fair value of shares under the ESPP at the grant date for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Expected dividend yield 0 % 0 % 0 % 0 % Risk-free interest rate 1.3 % 0.5 % 1.0 % 0.6 % Expected volatility 25.3 % 29.3 % 28.1 % 30.5 % Expected term (in years) 1.2 1.2 1.2 1.2

LEASES (Tables)

LEASES (Tables)	9 Months Ended
	Sep. 30, 2017
Leases [Abstract]
Schedule of Future Minimum Lease Payments for Capital Leases	Future minimum lease payments under the Company's operating leases at September 30, 2017 are as follows: Payments Due by Calendar Year (In thousands) 2017 $ 535 2018 2,082 2019 2,130 2020 2,179 2021 2,221 Thereafter 8,474 Total minimum lease payments $ 17,621

INCOME TAXES (Tables)

INCOME TAXES (Tables)	9 Months Ended
	Sep. 30, 2017
Income Tax Disclosure [Abstract]
Schedule of effective income tax rate reconciliation	The following table provides a summary of the Company’s effective tax rate for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Reported tax rate 0.8 % 1.1 % — % 1.6 %

SEGMENT AND GEOGRAPHIC INFORM31

SEGMENT AND GEOGRAPHIC INFORMATION (Tables)	9 Months Ended
	Sep. 30, 2017
Segment Reporting [Abstract]
Total Revenue By Major Geographic Area	Revenue, net consisted of the following: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Orthobiologics $ 16,333 $ 16,186 $ 51,073 $ 49,649 Spinal implants 15,409 15,555 46,759 46,692 Total revenue, net $ 31,742 $ 31,741 $ 97,832 $ 96,341 The Company attributes revenues to geographic areas based on the location of the customer. Total revenue by major geographic area consisted of the following: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 United States $ 28,245 $ 28,485 $ 87,209 $ 87,041 International 3,497 3,256 10,623 9,300 Total revenue, net $ 31,742 $ 31,741 $ 97,832 $ 96,341

SUMMARY OF SIGNIFICANT ACCOUN32

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Narrative (Details) - USD ($) shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Mar. 31, 2016	Sep. 30, 2017	Sep. 30, 2016
Accounting Policies [Abstract]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount			3.4	2.9
Quantifying Misstatement in Current Year Financial Statements, Amount	$ 0.6	$ 0.6

DEBT AND INTEREST Credit Agreem

DEBT AND INTEREST Credit Agreement (Details)	Sep. 30, 2016USD ($)	Dec. 24, 2015USD ($)	Sep. 30, 2017USD ($)	Sep. 30, 2017USD ($)
Line of Credit Facility [Line Items]
Line of Credit , Increase (Decrease)	$ 3,300,000
Repayment of Long-Term Debt and Accrued Interest			$ 4,100,000
Document Period End Date				Sep. 30, 2017
Credit Agreement [Member]
Line of Credit Facility [Line Items]
Line of Credit Facility, Expiration Period		3 years
Line Of Credit Facility, Extension Period		1 year
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage				0.375%
Unamortized Debt Issuance Expense		$ 400,000
Debt Instrument, Covenant, Fixed Charge Ratio, Minimum			1.1	1.1
Debt Instrument, Covenant Description, Required Liquidity			$ 5,000,000	$ 5,000,000
Credit Agreement [Member] | Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity		$ 30,000,000
Line of Credit Facility, Remaining Borrowing Capacity			18,200,000	$ 18,200,000
Credit Agreement, Contingent Interest Rate Three [Member] | Base Rate [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Basis Spread on Variable Rate				1.75%
Credit Agreement, Contingent Interest Rate Three [Member] | London Interbank Offered Rate (LIBOR) [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Basis Spread on Variable Rate				2.75%
Credit Agreement. Contingent Interest Rate Two [Member] | Base Rate [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Basis Spread on Variable Rate				1.50%
Credit Agreement. Contingent Interest Rate Two [Member] | London Interbank Offered Rate (LIBOR) [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Basis Spread on Variable Rate				2.50%
Credit Agreement, Contingent Interest Rate One [Member] | Base Rate [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Basis Spread on Variable Rate				1.25%
Credit Agreement, Contingent Interest Rate One [Member] | London Interbank Offered Rate (LIBOR) [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Basis Spread on Variable Rate				2.25%
Maximum [Member] | Credit Agreement [Member]
Line of Credit Facility [Line Items]
Line of Credit Facility, Current Borrowing Capacity			20,000,000	$ 20,000,000
Minimum [Member] | Credit Agreement [Member]
Line of Credit Facility [Line Items]
Line of Credit Facility, Current Borrowing Capacity			$ 10,000,000	$ 10,000,000

DEBT AND INTEREST Short Term De

DEBT AND INTEREST Short Term Debt (Details) - USD ($) $ in Thousands	Jul. 31, 2016	Sep. 30, 2017	Dec. 31, 2016
Short-term Debt [Line Items]
Short-term debt		$ 0	$ 445
Short-term Debt, Maximum Amount Outstanding During Period	$ 1,200
Maximum [Member] | Short-term Debt [Member]
Short-term Debt [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	4.00%
Minimum [Member] | Short-term Debt [Member]
Short-term Debt [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	2.00%

TRANSACTIONS WITH INTEGRA Narra

TRANSACTIONS WITH INTEGRA Narrative (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2017	Sep. 30, 2016
Related Party Transaction [Line Items]
Purchases		$ (1,814)	$ (87)
Related party costs incurred during the period			300
Integra | Affiliated Entity
Related Party Transaction [Line Items]
Purchases	$ 100	400	1,100
Revenue from Related Parties		$ 400	$ 200

INVENTORIES Schedule of Invento

INVENTORIES Schedule of Inventories, net (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Inventory, Net [Abstract]
Finished goods	$ 31,182	$ 30,922
Work in process	8,214	10,554
Raw materials	2,880	3,823
Inventories, net	$ 42,276	$ 45,299

PROPERTY, PLANT AND EQUIPMENT P

PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment balances (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Property, Plant and Equipment [Line Items]
Depreciation	$ 1,000	$ 1,100	$ 3,100	$ 3,400
Total	51,530		51,530		$ 54,251
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment	29,666		29,666		32,388
Property, plant and equipment, net	21,864		21,864		21,863
Leasehold improvement
Property, Plant and Equipment [Line Items]
Total	5,320		$ 5,320		5,003
Leasehold improvement | Minimum
Property, Plant and Equipment [Line Items]
Useful Lives (in years)			1 year
Leasehold improvement | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful Lives (in years)			20 years
Machinery and production equipment
Property, Plant and Equipment [Line Items]
Total	7,014		$ 7,014		6,826
Machinery and production equipment | Minimum
Property, Plant and Equipment [Line Items]
Useful Lives (in years)			3 years
Machinery and production equipment | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful Lives (in years)			10 years
Spinal instrument sets
Property, Plant and Equipment [Line Items]
Total	23,187		$ 23,187		26,618
Spinal instrument sets | Minimum
Property, Plant and Equipment [Line Items]
Useful Lives (in years)			5 years
Spinal instrument sets | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful Lives (in years)			5 years
Information systems and hardware
Property, Plant and Equipment [Line Items]
Total	7,402		$ 7,402		6,918
Information systems and hardware | Minimum
Property, Plant and Equipment [Line Items]
Useful Lives (in years)			3 years
Information systems and hardware | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful Lives (in years)			7 years
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Total	1,102		$ 1,102		1,058
Furniture and fixtures | Minimum
Property, Plant and Equipment [Line Items]
Useful Lives (in years)			3 years
Furniture and fixtures | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful Lives (in years)			5 years
Construction in progress
Property, Plant and Equipment [Line Items]
Total	$ 7,505		$ 7,505		$ 7,828

PROPERTY, PLANT AND EQUIPMENT N

PROPERTY, PLANT AND EQUIPMENT Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Property, Plant and Equipment [Abstract]
Depreciation	$ 1,000	$ 1,100	$ 3,100	$ 3,400
Instrument replacement expense	$ 400	200	1,146	950
Impairment of spinal instruments		$ 200	$ 0	$ 919

IDENTIFIABLE INTANGIBLE ASSET39

IDENTIFIABLE INTANGIBLE ASSETS Narrative (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Finite-Lived Intangible Assets [Line Items]
Annual amortization expense expected to approximate in 2017	$ 6.8		$ 6.8
Annual amortization expense expected to approximate in 2018	6.5		6.5
Annual amortization expense expected to approximate in 2019	5.8		5.8
Annual amortization expense expected to approximate in 2020	4.9		4.9
Annual amortization expense expected to approximate in 2021	4.9		4.9
Intangible asset amortization	1.7	$ 1.6	5.1	$ 5.6
Product technology | Cost of goods sold
Finite-Lived Intangible Assets [Line Items]
Intangible asset amortization	$ 0.9	$ 0.7	$ 2.7	$ 2

IDENTIFIABLE INTANGIBLE ASSET40

IDENTIFIABLE INTANGIBLE ASSETS Components of Company's Identifiable Intangible Assets (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Finite-Lived Intangible Assets [Line Items]
Cost	$ 97,899		$ 97,699
Accumulated Amortization	(61,040)		(55,914)
Net	$ 36,859		41,785
Product technology
Finite-Lived Intangible Assets [Line Items]
Weighted Average Life (in years)	12 years	12 years
Cost	$ 40,769		40,569
Accumulated Amortization	(24,967)		(22,218)
Net	$ 15,802		18,351
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Weighted Average Life (in years)	12 years	12 years
Cost	$ 56,830		56,830
Accumulated Amortization	(35,773)		(33,396)
Net	21,057		23,434
Trademarks/brand names
Finite-Lived Intangible Assets [Line Items]
Cost	300		300
Accumulated Amortization	(300)		(300)
Net	$ 0		$ 0

BUSINESS COMBINATIONS Narrative

BUSINESS COMBINATIONS Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands	Sep. 26, 2016	Jan. 31, 2017	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Business Acquisition, Contingent Consideration [Line Items]
Business Combination, Consideration Transferred	$ 1,000
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares		350,000
Business Acquisition, Equity Interest Issued or Issuable, Value Assigned		$ 2,500
Business Combination, Trading Period For Determination Of Volume Weighted Average Closing Price		20 days
Volume Weighted Average Closing Price (in dollars per share)		$ 7.58
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles	$ 9,300
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	10 years
Amortization of Intangible Assets			$ 1,700	$ 1,600	$ 5,100	$ 5,600
Research and development			$ 2,834	2,600	$ 9,228	8,534
Business Acquisition, Transaction Costs	$ 500
Minimum [Member]
Business Acquisition, Contingent Consideration [Line Items]
Volume Weighted Average Closing Price (in dollars per share)		10
Maximum [Member]
Business Acquisition, Contingent Consideration [Line Items]
Volume Weighted Average Closing Price (in dollars per share)		$ 17
Pro Forma [Member]
Business Acquisition, Contingent Consideration [Line Items]
Amortization of Intangible Assets				200		600
Research and development				300		800
Business Acquisition, Transaction Costs				$ 500		$ 500
Contingent milestone payments
Business Acquisition, Contingent Consideration [Line Items]
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High	5,000
Contingent royalty payments
Business Acquisition, Contingent Consideration [Line Items]
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High	43,000
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, Low	$ 18,000

BUSINESS COMBINATIONS Prelimina

BUSINESS COMBINATIONS Preliminary estimated fair values of NLTs assets acquired and liabilities assumed (Details) $ in Thousands	Sep. 26, 2016USD ($)
Business Acquisition [Line Items]
Business Combination, Consideration Transferred	$ 1,000
Total purchase price	9,250
Common Stock [Member]
Business Acquisition [Line Items]
Business Combination, Contingent Consideration, Liability	2,930
Contingent milestone payments
Business Acquisition [Line Items]
Business Combination, Contingent Consideration, Liability	2,310
Contingent royalty payments
Business Acquisition [Line Items]
Business Combination, Contingent Consideration, Liability	$ 3,010

BUSINESS COMBINATIONS Results o

BUSINESS COMBINATIONS Results of operations and financial position of the NLT Purchased Assets (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Operating Income (Loss)	$ (7,734)	$ (9,498)	$ (25,007)	$ (33,970)
Net loss	$ (7,462)	$ (9,454)	$ (24,608)	$ (33,444)
Net loss per share, basic and diluted (in dollars per share)	$ (0.58)	$ (0.84)	$ (2.04)	$ (2.98)
Weighted Average Number of Shares Outstanding, Basic and Diluted	12,815	11,271	12,079	11,206
Pro Forma [Member]
Operating Income (Loss)		$ (9,511)		$ (34,945)
Net loss		$ (9,467)		$ (34,419)
Net loss per share, basic and diluted (in dollars per share)		$ (0.84)		$ (3.07)

FAIR VALUE MEASUREMENTS Fair Va

FAIR VALUE MEASUREMENTS Fair Value on Recurring Basis (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2017	Jun. 30, 2017	Dec. 31, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Contingent Consideration Liability, Current, Fair Value Disclosure	$ 900	$ 900		$ 2,855
Contingent Consideration Liability, Noncurrent, Fair Value Disclosure	3,632	3,632		5,125
Contingent Consideration Liability, Fair Value Disclosure	4,532	4,532		7,980
Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Contingent Consideration Liability, Current, Fair Value Disclosure	0	0		0
Contingent Consideration Liability, Noncurrent, Fair Value Disclosure	0	0		0
Contingent Consideration Liability, Fair Value Disclosure	0	0		0
Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Contingent Consideration Liability, Current, Fair Value Disclosure	0	0		0
Contingent Consideration Liability, Noncurrent, Fair Value Disclosure	0	0		0
Contingent Consideration Liability, Fair Value Disclosure	0	0		0
Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Contingent Consideration Liability, Current, Fair Value Disclosure	900	900		2,855
Contingent Consideration Liability, Noncurrent, Fair Value Disclosure	3,632	3,632		5,125
Contingent Consideration Liability, Fair Value Disclosure	4,532	4,532	$ 5,777	$ 7,980
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Purchases	$ 3	$ 2,551

FAIR VALUE MEASUREMENTS Changes

FAIR VALUE MEASUREMENTS Changes in Contingent Consideration Liabilities (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2017	Dec. 31, 2016
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Contingent Consideration Liability, Current, Fair Value Disclosure	$ 900	$ 900	$ 2,855
Fair value of contingent consideration liability, beginning of period		7,980
Fair value of contingent consideration liability, end of period	4,532	4,532
Contingent Consideration Liability, Noncurrent, Fair Value Disclosure	3,632	3,632	5,125
Fair Value, Inputs, Level 1 [Member]
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Contingent Consideration Liability, Current, Fair Value Disclosure	0	0	0
Fair value of contingent consideration liability, beginning of period		0
Fair value of contingent consideration liability, end of period	0	0
Contingent Consideration Liability, Noncurrent, Fair Value Disclosure	0	0	0
Fair Value, Inputs, Level 3 [Member]
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Contingent Consideration Liability, Current, Fair Value Disclosure	900	900	2,855
Fair value of contingent consideration liability, beginning of period	5,777	7,980
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Purchases	(3)	(2,551)
Fair value of contingent consideration liability, end of period	4,532	4,532
Contingent Consideration Liability, Noncurrent, Fair Value Disclosure	3,632	3,632	5,125
Fair Value, Inputs, Level 2 [Member]
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Contingent Consideration Liability, Current, Fair Value Disclosure	0	0	0
Fair value of contingent consideration liability, beginning of period		0
Fair value of contingent consideration liability, end of period	0	0
Contingent Consideration Liability, Noncurrent, Fair Value Disclosure	0	0	$ 0
Other Income [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings		(112)
Selling, General and Administrative Expenses [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings	$ (1,242)	$ (785)

EQUITY AND STOCK-BASED COMPEN46

EQUITY AND STOCK-BASED COMPENSATION Common Stock (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	9 Months Ended
	Jan. 31, 2017	Sep. 30, 2017	Sep. 30, 2016
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares	350,000
Business Acquisition, Equity Interest Issued or Issuable, Value Assigned	$ 2,500
Proceeds from issuance of common stock, net of offering costs- ATM transactions		$ 15,557	$ 0
ATM offering [Member]
CommonStockSharesToBeIssuedValue		$ 8,800
Stock Issued During Period, Shares, New Issues		1,500,000
Shares Issued, Price Per Share		$ 10.78
Proceeds from issuance of common stock, net of offering costs- ATM transactions		$ 15,600
Adjustments to Additional Paid in Capital, Stock Issued, Issuance Costs		600
Maximum [Member] | ATM offering [Member]
CommonStockSharesToBeIssuedValue		$ 25,000

EQUITY AND STOCK-BASED COMPEN47

EQUITY AND STOCK-BASED COMPENSATION Equity Award Plans (Details)	9 Months Ended
	Sep. 30, 2017shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized	3,509,500
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	290,289
2016 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	1,000,000

EQUITY AND STOCK-BASED COMPEN48

EQUITY AND STOCK-BASED COMPENSATION Restricted Stock Awards and Restricted Stock Units Narrative (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2017	Sep. 30, 2016
Restricted Stock Awards and Performance Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Forfeiture Rate		15.00%	12.00%
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	$ 3.2	$ 3.2
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition		1 year 2 months
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock Issued During Period, Shares, Restricted Stock Award, Gross		120,610	75,075
Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock Issued During Period, Shares, Restricted Stock Award, Gross	34,800	778,755
2016 Bonus RSU [Member] | Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock Issued During Period, Shares, Restricted Stock Award, Gross		131,523

EQUITY AND STOCK-BASED COMPEN49

EQUITY AND STOCK-BASED COMPENSATION Stock Options Weighted-Average Assumptions (Details) - Employee Stock Option [Member]	3 Months Ended	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate	0.00%	0.00%	0.00%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate	1.10%	2.00%	1.30%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate	38.10%	35.70%	38.30%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term	5 years 1 month	5 years 1 month	4 years 11 months

EQUITY AND STOCK-BASED COMPEN50

EQUITY AND STOCK-BASED COMPENSATION Stock Options Activity (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	0	43,500	21,500	900,524
Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Forfeiture Rate			15.00%	12.00%
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	$ 1.2		$ 1.2
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition			1 year 1 month

EQUITY AND STOCK-BASED COMPEN51

EQUITY AND STOCK-BASED COMPENSATION Employee Stock Purchase Plan Weighted- Average Assumptions (Details) - Employee Stock Purchase Plan [Member]	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate	0.00%	0.00%	0.00%	0.00%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate	1.30%	0.50%	1.00%	0.60%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate	25.30%	29.30%	28.10%	30.50%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term	1 year 2 months	1 year 2 months	1 year 2 months	1 year 2 months

EQUITY AND STOCK-BASED COMPEN52

EQUITY AND STOCK-BASED COMPENSATION Employee Stock Purchase Plan Narrative (Details) - Employee Stock Purchase Plan [Member] - Employee Stock [Member] - USD ($)	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Employee Stock Purchase Plan, Maximum Contributions Per Employee, Percent	15.00%
Share-based Compensation Arrangement by Share-based Payment Award, Maximum Number of Shares Per Employee	2,500
Employee Stock Purchase Plan, Maximum Annual Contributions Per Employee	$ 25,000
Employee Stock Purchase Plan, Stock Purchase Price, Percentage of Market Price	85.00%
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	400,000
Share-based Compensation Arrangement by Share-based Payment Award, Shares Purchased for Award	100,000	0

LEASES Operating lease annual p

LEASES Operating lease annual payment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Operating Leased Assets [Line Items]
2,017	$ 535		$ 535
2,018	2,082		2,082
2,019	2,130		2,130
2,020	2,179		2,179
2,021	2,221		2,221
Thereafter	8,474		8,474
Total minimum lease payments	17,621		17,621
Operating Leases, Rent Expense	$ 500	$ 700	1,600	$ 2,300
Property Subject to Operating Lease [Member]
Operating Leased Assets [Line Items]
Payments for Rent			$ 100

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Income Tax Disclosure [Abstract]
Benefit for income taxes	$ (57)	$ (103)	$ (12)	$ (559)
Reported tax rate (as a percent)	0.80%	1.10%	0.00%	1.60%

SEGMENT AND GEOGRAPHIC INFORM55

SEGMENT AND GEOGRAPHIC INFORMATION Narrative (Detail)	9 Months Ended
	Sep. 30, 2017product
Segment Reporting [Abstract]
Number of product categories	2

SEGMENT AND GEOGRAPHIC INFORM56

SEGMENT AND GEOGRAPHIC INFORMATION Revenue (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Segment Reporting Information [Line Items]
Revenues	$ 31,742	$ 31,741	$ 97,832	$ 96,341
United States
Segment Reporting Information [Line Items]
Revenues	28,245	28,485	87,209	87,041
International
Segment Reporting Information [Line Items]
Revenues	3,497	3,256	10,623	9,300
Orthobiologics
Segment Reporting Information [Line Items]
Revenues	16,333	16,186	51,073	49,649
Spinal implants
Segment Reporting Information [Line Items]
Revenues	$ 15,409	$ 15,555	$ 46,759	$ 46,692