Spectranetics (SPNC) 10-Q 1 Nov 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Oct. 24, 2016
Document and Entity Information [Abstract]
Entity Registrant Name	SPECTRANETICS CORP
Entity Central Index Key	789,132
Document Type	10-Q
Document Period End Date	Sep. 30, 2016
Amendment Flag	false
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		43,203,038

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 58,895	$ 84,594
Trade accounts receivable, less allowance for doubtful accounts and sales returns of $1,549 and $1,906, respectively	41,661	43,359
Inventories, net	26,698	25,155
Prepaid expenses and other current assets	6,308	5,171
Total current assets	133,562	158,279
Property and equipment, net	44,851	44,719
Goodwill	149,547	152,616
Other intangible assets, net	101,148	110,456
Other assets	2,754	1,929
Total assets	431,862	467,999
Current liabilities:
Borrowings under revolving line of credit	21,288	24,232
Accounts payable	5,779	4,150
Accrued liabilities	31,957	33,676
Deferred revenue	1,615	1,621
Total current liabilities	60,639	63,679
Convertible senior notes, net of debt issuance costs	224,837	224,076
Term loan, net of debt issuance costs	59,646	59,601
Accrued liabilities, net of current portion	1,655	1,759
Deferred income taxes	2,175	1,915
Total liabilities	348,952	351,030
Commitments and contingencies (Note 9)
Stockholders’ equity:
Preferred stock, $.001 par value; authorized 5,000,000 shares; none issued	0	0
Common stock, $.001 par value; authorized 120,000,000 shares; issued and outstanding 43,202,313 and 42,659,234 shares, respectively	43	42
Additional paid-in capital	327,779	313,442
Accumulated other comprehensive loss	(4,798)	(1,910)
Accumulated deficit	(240,114)	(194,605)
Total stockholders’ equity	82,910	116,969
Total liabilities and stockholders’ equity	$ 431,862	$ 467,999

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Statement of Financial Position [Abstract]
Trade accounts receivable, less allowance for doubtful accounts and sales returns	$ 1,549	$ 1,906
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	120,000,000	120,000,000
Common stock, shares issued	43,202,313	42,659,234
Common stock, shares outstanding	43,202,313	42,659,234

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Statement of Comprehensive Income [Abstract]
Revenue	$ 68,265	$ 61,660	$ 198,897	$ 180,759
Cost of products sold	16,884	15,809	49,949	46,776
Gross profit	51,381	45,851	148,948	133,983
Operating expenses:
Selling, general and administrative	40,737	34,116	122,169	106,620
Research, development and other technology	16,739	15,926	50,733	47,847
Acquisition transaction, integration and legal costs	823	5,403	1,615	26,900
Intangible asset amortization	2,903	3,290	9,308	10,072
Contingent consideration expense	41	387	208	2,471
Change in fair value of contingent consideration liability	0	(4,256)	0	(22,056)
Intangible asset impairment	0	2,496	0	2,496
Medical device excise tax	0	916	0	2,543
Total operating expenses	61,243	58,278	184,033	176,893
Operating loss	(9,862)	(12,427)	(35,085)	(42,910)
Other expense:
Interest expense	(3,322)	(1,884)	(9,958)	(5,406)
Foreign currency transaction gain (loss)	4	(6)	21	(255)
Total other expense	(3,318)	(1,890)	(9,937)	(5,661)
Loss before income tax expense	(13,180)	(14,317)	(45,022)	(48,571)
Income tax expense	132	176	487	443
Net loss	$ (13,312)	$ (14,493)	$ (45,509)	$ (49,014)
Net loss per share —
Basic and diluted	$ (0.31)	$ (0.34)	$ (1.06)	$ (1.16)
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments	$ 92	$ 20	$ (2,888)	$ (457)
Comprehensive loss, net of tax	$ (13,220)	$ (14,473)	$ (48,397)	$ (49,471)
Weighted average common shares outstanding —
Basic and diluted	43,054,322	42,556,248	42,852,771	42,368,538

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Cash flows from operating activities:
Net loss	$ (45,509)	$ (49,014)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	20,555	19,675
Stock-based compensation expense	10,288	9,038
Amortization of debt issuance costs	851	738
Provision for excess and obsolete inventories	975	806
Contingent consideration expense	208	2,471
Deferred income taxes	293	354
Payment of contingent consideration	(2,300)	0
Change in fair value of contingent consideration liability	0	(22,056)
Intangible asset impairment	0	2,496
Net change in operating assets and liabilities	(5,556)	(7,276)
Net cash used in operating activities	(20,195)	(42,768)
Cash flows from investing activities:
Capital expenditures	(3,865)	(8,329)
Payments for acquisitions	0	(30,000)
Net cash used in investing activities	(3,865)	(38,329)
Cash flows from financing activities:
(Repayments on) proceeds from line of credit, net	(2,944)	23,110
Proceeds from the exercise of stock options and employee stock purchase plan	4,050	4,487
Payment of contingent consideration	(2,788)	(143)
Net cash (used in) provided by financing activities	(1,682)	27,454
Effect of exchange rate changes on cash	43	(141)
Net decrease in cash and cash equivalents	(25,699)	(53,784)
Cash and cash equivalents at beginning of period	84,594	95,505
Cash and cash equivalents at end of period	58,895	41,721
Supplemental disclosures of cash flow information:
Cash paid for interest	7,574	3,171
Cash paid for income taxes	$ 412	$ 306

General

General	9 Months Ended
	Sep. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
General	GENERAL The accompanying condensed consolidated financial statements include the accounts of The Spectranetics Corporation, a Delaware corporation, and its wholly-owned subsidiaries. These entities are collectively referred to as the “Company.” All intercompany balances and transactions have been eliminated in consolidation. The Company develops, manufactures, markets, and distributes medical devices used in minimally invasive procedures within the cardiovascular system. The Company’s products are available in over 65 countries and are used to cross, prepare, and treat arterial blockages in the legs and heart and to remove pacemaker and defibrillator cardiac leads. In June 2014, the Company acquired AngioScore, Inc. (“AngioScore”), a leading developer, manufacturer and marketer of cardiovascular, specialty balloon catheters, and in January 2015, the Company acquired Stellarex™ (“Stellarex”) drug-coated balloon (“DCB”) assets from Covidien LP. The Company prepares its condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). Management must make certain estimates, judgments, and assumptions based upon the information available. These estimates and assumptions affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the periods presented. Significant items subject to such estimates and assumptions include the carrying amount of property and equipment, intangible assets and goodwill, valuation allowances and reserves for receivables, inventories, deferred income tax assets, contingent consideration liabilities for acquisitions, stock-based compensation expense, estimated clinical trial expenses, accrued estimates for incurred but not reported claims under partially self-insured employee health benefit programs, and loss contingencies, including those related to litigation. Actual results could differ from those estimates. The information included in the accompanying condensed consolidated interim financial statements is unaudited and should be read with the audited financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015 . In the opinion of management, all adjustments necessary for a fair presentation of the assets, liabilities and results of operations for the interim periods presented have been reflected herein and are of a normal, recurring nature. The results of operations for interim periods are not necessarily indicative of the results to be expected for the entire year. Certain prior period amounts have been reclassified to conform to the current period presentation. Recent Accounting Pronouncements In August 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments , which clarifies how companies present and classify certain cash receipts and cash payments in the statement of cash flows. The amendments in ASU 2016-15 are effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. The Company is in the process of determining the timing of adoption and assessing the impact of ASU 2016-15 on its consolidated statements of cash flows. In March 2016, the FASB issued ASU 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting . ASU 2016-09 simplifies several aspects related to the accounting for share-based payment transactions, including the accounting for income taxes, forfeitures, statutory tax withholding requirements and classification on the statement of cash flows. For public business entities, ASU 2016-09 is effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. Early adoption is permitted. The Company is in the process of determining the timing and method of adoption and assessing the impact of ASU 2016-09 on its results of operations, financial position, and consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) , which requires a lessee to recognize on its balance sheet the assets and liabilities for the rights and obligations created by leases with a lease term of more than twelve months. Leases will continue to be classified as either financing or operating, with classification affecting the recognition, measurement and presentation of expenses and cash flows arising from a lease. Lessor accounting is largely unchanged from previous GAAP. However, changes were made to align the guidance with the lessee guidance and the new revenue recognition guidance under ASU 2014-09 referenced below. For public business entities, ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, and requires a modified retrospective approach to adoption for lessees related to capital and operating leases existing at, or entered into after, the earliest comparative period presented in the financial statements. Early adoption is permitted. The Company is in the process of determining the timing and method of adoption and assessing the impact of ASU 2016-02 on its results of operations, financial position, and consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers , which will replace most existing revenue recognition guidance in U.S. GAAP. The core principle of ASU 2014-09 is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. To achieve this core principle, ASU 2014-09 contains a five-step model that includes identifying the contract with a customer, identifying the performance obligations in the contract, determining the transaction price, allocating the transaction price to the performance obligations, and recognizing revenue when (or as) an entity satisfies a performance obligation. ASU 2014-09 requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. In April 2016, the FASB issued ASU 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing . ASU 2016-10 provides for amendments to ASU 2014-09, reducing the complexity when applying the guidance for identifying performance obligations and improving the operability and understandability of the license implementation guidance. In May 2016, the FASB issued ASU 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients . ASU 2016-12 provides for amendments to ASU 2014-09, amending the guidance on transition, collectability, noncash consideration and the presentation of sales and other similar taxes. ASU 2016-12 clarifies that, for a contract to be considered completed at transition, all (or substantially all) of the revenue must have been recognized under legacy U.S. GAAP. In addition, ASU 2016-12 clarifies how an entity should evaluate the collectability threshold and when an entity can recognize nonrefundable consideration received as revenue if an arrangement does not meet the standard’s contract criteria. Under ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date , issued in August 2015, these amendments are effective for public business entities for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2017 and both retrospective and cumulative effect methods of adoption are allowed. The Company plans to adopt these standards for the fiscal year beginning after December 15, 2017, and is in the process of determining the timing and method of adoption and assessing the impact of ASU 2014-09 and its related amendments on its results of operations, financial position, and consolidated financial statements. The Company has considered all other recently issued accounting pronouncements and does not believe they are of significance, or potential significance, to the Company.

Composition of Certain Financia

Composition of Certain Financial Statement Items	9 Months Ended
	Sep. 30, 2016
Balance Sheet Related Disclosures [Abstract]
Composition of Certain Financial Statement Items	COMPOSITION OF CERTAIN FINANCIAL STATEMENT ITEMS Inventories Inventories, net, consisted of the following (in thousands): September 30, December 31, Raw materials $ 10,325 $ 10,838 Work in process 4,553 2,914 Finished goods 11,820 11,403 $ 26,698 $ 25,155 Property and Equipment Property and equipment, net, consisted of the following (in thousands): September 30, 2016 December 31, 2015 Equipment held for rental or loan $ 61,772 $ 55,774 Manufacturing equipment and computers 39,847 37,862 Leasehold improvements 10,002 8,984 Furniture and fixtures 5,097 4,841 Building and improvements 1,306 1,306 Land 270 270 Less: accumulated depreciation (73,443 ) (64,318 ) $ 44,851 $ 44,719 Accrued Liabilities Accrued liabilities consisted of the following (in thousands): September 30, 2016 December 31, 2015 Accrued payroll and employee-related expenses $ 19,750 $ 15,797 Accrued clinical study expense 2,635 3,868 Accrued interest 2,482 913 Deferred rent 1,453 1,485 Accrued royalties 1,196 1,044 Accrued legal costs 1,075 713 Accrued sales, income and excise taxes 907 1,318 Contingent consideration 273 5,153 Other accrued expenses 3,841 5,144 Total accrued liabilities 33,612 35,435 Less: long-term portion (1,655 ) (1,759 ) Accrued liabilities, current portion $ 31,957 $ 33,676 Contingent Consideration The Company recorded contingent liabilities as part of the AngioScore acquisition in June 2014 and the product acquisition from Upstream Peripheral Technologies, Ltd. (“Upstream”) in January 2013. The following table presents changes to the Company’s acquisition-related contingent consideration liability for the nine -month period ended September 30, 2016: Contingent Consideration Liability Beginning balance, January 1, 2016 $ 5,153 Contingent consideration payments (5,088 ) Contingent consideration accretion expense 208 Ending balance, September 30, 2016 $ 273 In connection with the AngioScore acquisition, the Company agreed to pay additional contingent merger consideration, a portion of which included a cash payment of $5.0 million if the Drug-Coated AngioSculpt product (“AngioSculptX™”) received European CE mark approval by December 31, 2016. At the acquisition date, the Company measured the liability by applying the probability-weighted scenario method. The Company used various key assumptions, such as the probability of achievement of the agreed milestones and the discount rate, in our determination of the fair value of contingent consideration. The Company received the European CE mark approval during the third quarter of 2016 and made a contingent consideration payment of $5.0 million , $2.7 million of which was classified as a cash flow from financing activities, as it was included as part of the initial measurement of the fair value of the consideration transferred. The remaining $2.3 million of the payment was classified as a cash flow from operating activities, as it was reflected in earnings as accretion expense and a change in the fair value of the contingent consideration liability. As of September 30, 2016 , the remaining contingent consideration liability relates to the Upstream product acquisition that occurred in the first quarter of 2013. The purchase agreement with Upstream provides for contingent consideration payments for revenue-based earn-outs through the fourth quarter of 2016 and intellectual property milestones that could be achieved on or before January 7, 2022.

Goodwill and Intangible Assets

Goodwill and Intangible Assets	9 Months Ended
	Sep. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	GOODWILL AND INTANGIBLE ASSETS The change in the carrying amount of goodwill by reporting unit for the nine months ended September 30, 2016 was as follows (in thousands). U.S. Medical International Medical Total Balance as of December 31, 2015 $ 130,410 $ 22,206 $ 152,616 Impact of changes in foreign currency and other — (3,069 ) (3,069 ) Balance as of September 30, 2016 $ 130,410 $ 19,137 $ 149,547 Goodwill is allocated to the Company’s reporting units based on an analysis of both the relative historical and expected benefits. Goodwill denominated in foreign currencies within International Medical is remeasured in U.S. dollars at the applicable period-end exchange rate. There have been no events or circumstances since the last analysis as of December 31, 2015 to indicate that the amount of goodwill may not be recoverable. Acquired intangible assets consisted of the following (in thousands): September 30, 2016 December 31, 2015 Acquired as part of Stellarex acquisition: (1) In-process research and development $ 13,680 $ 13,680 Technology 9,000 9,000 Trademark and trade names 400 400 Transition services agreement 530 530 Acquired as part of AngioScore acquisition: (2) Technology 73,510 73,510 Customer relationships 23,320 23,320 Trademark and trade names 4,380 4,380 In-process research and development — 1,254 AngioSculptX 1,254 — Distributor relationships 1,940 1,940 Non-compete agreements 580 580 Acquired as part of Upstream acquisition (3) Technology 2,172 2,172 Non-compete agreement 200 200 Patents 530 530 Less: accumulated amortization (30,348 ) (21,040 ) $ 101,148 $ 110,456 ___________________ (1) In January 2015, the Company acquired Stellarex DCB assets, which included, among other things, the intellectual property, machinery and equipment, and inventories used in connection with the Stellarex DCB catheter. (2) In June 2014, the Company acquired AngioScore, Inc. (3) In January 2013, the Company acquired certain product lines from Upstream. As part of the acquisition, the Company acquired core technology intangible assets and an intangible asset related to non-compete agreements. In August 2016, the Company received European CE mark approval of AngioSculptX. The technology related to AngioSculptX was valued at its estimated fair value at the acquisition date and classified as in-process research and development (“IPR&D”), which is accounted for as an indefinite-lived intangible asset until completion or abandonment of the project. Upon receiving CE mark approval, which allows for commercialization of the product in Europe, the project was considered complete, and the Company capitalized the IPR&D as a finite-lived intangible asset that will be amortized over its estimated ten-year useful life.

Debt

Debt	9 Months Ended
	Sep. 30, 2016
Debt Disclosure [Abstract]
Debt	DEBT The following table summarizes the Company’s total outstanding debt as of September 30, 2016 and December 31, 2015 and the maturity dates of the Company’s borrowing arrangements: As of (amounts in thousands) September 30, 2016 December 31, 2015 Maturity Date Weighted Average Interest Rate Convertible Senior Notes $ 230,000 $ 230,000 June 1, 2034 2.625% Unamortized debt issuance costs (5,163 ) (5,924 ) 224,837 224,076 Term Loan Facility 60,000 60,000 December 7, 2020 8.02% Unamortized debt issuance costs (354 ) (399 ) 59,646 59,601 Revolving Loan Facility 21,288 24,232 December 7, 2020 4.97% Total $ 305,771 $ 307,909 Convertible Notes On June 3, 2014, the Company sold $230 million aggregate principal amount of 2.625% Convertible Senior Notes due 2034 (the “Notes”) under an underwriting agreement dated May 28, 2014. Interest is paid semi-annually in arrears on December 1 and June 1 of each year. The Notes mature on June 1, 2034, unless earlier converted, redeemed, or repurchased in accordance with the terms of the Notes. The initial conversion rate of the Notes is 31.9020 shares of the Company’s common stock per $1,000 principal amount of Notes (which is equivalent to an initial conversion price of approximately $31.35 per share). The conversion rate is subject to adjustment upon the occurrence of certain events specified in the indenture governing the Notes. Holders may surrender their Notes for conversion at any time prior to the close of business on the second scheduled trading day immediately preceding the stated maturity date. On or after June 5, 2018 and prior to June 5, 2021, the Company may redeem any or all of the Notes in cash if the closing price of the Company’s common stock exceeds 130% of the conversion price then in effect for a specified number of days, and on or after June 5, 2021, the Company may redeem the Notes without any such condition. Holders of the Notes may require the Company to repurchase all or a portion of their Notes on each of June 5, 2021, June 5, 2024 and June 5, 2029, or following a fundamental change (as defined in the indenture governing the Notes), in each case, at a repurchase price in cash equal to 100% of the principal amount of the Notes being repurchased plus accrued and unpaid interest to, but excluding, the date of repurchase. The Notes are subject to customary events of default, which may result in the acceleration of the maturity of the Notes. The Notes are the Company’s senior unsecured obligations and rank senior in right of payment to any of the Company’s indebtedness that is expressly subordinated in right of payment to the Notes, rank equally in right of payment with any of the Company’s unsecured indebtedness that is not so subordinated, are effectively junior in right of payment to any of the Company’s secured indebtedness to the extent of the value of the assets securing such indebtedness and are structurally subordinated to all indebtedness and other liabilities of the Company’s subsidiaries. The Company received $222.5 million from the issuance of the Notes, net of $7.5 million of debt issuance costs incurred. The debt issuance costs are being amortized over a seven year period using the effective interest method and are included in the line “Convertible senior notes, net of debt issuance costs” on the condensed consolidated balance sheets. The Company used all of the net proceeds to fund the acquisition of AngioScore. Term Loan Facility and Revolving Loan Facility On December 7, 2015, the Company entered into a term credit and security agreement (the “Term Loan Credit Agreement”) and a revolving credit and security agreement (the “Revolving Loan Credit Agreement,” and together with the Term Loan Credit Agreement, the “Credit Agreements”) with MidCap Financial Trust and the other lenders party thereto. The Credit Agreements replaced the Credit and Security Agreement (the “Wells Fargo Credit Agreement”) entered into by the Company and Wells Fargo Bank, National Association on February 25, 2011. The Term Loan Credit Agreement provides for a five -year $60 million term loan facility (the “Term Loan Facility”) and the Revolving Loan Credit Agreement provides for a five -year $50 million revolving loan facility (the “Revolving Loan Facility”). The Revolving Loan Facility may be increased to up to $70 million , subject to lender approval. The obligations of the Company under the Credit Agreements are secured by a lien on substantially all of the assets of the Company. The Term Loan Facility bears interest at the LIBOR Rate (as defined in the Term Loan Credit Agreement) plus an applicable margin of 7.50% per annum; provided that the applicable margin will be reduced to 6.50% if the Company’s EBITDA (as defined in the Term Loan Credit Agreement) is equal to or greater than $6 million for a specified prior period and no default or event of default has occurred and is occurring. The Company may prepay all or a portion of the Term Loan Facility, subject to certain conditions and a prepayment fee, as specified in the Credit Agreements. The Term Loan Facility is subject to an exit fee of 4.0% of the amount advanced under the Term Loan Facility. Interest-only payments are due during the first 24 months of the Term Loan Facility, payable monthly in arrears, with principal payments beginning thereafter in equal monthly installments until maturity, provided that the Company may postpone making principal payments for an additional 12 months if certain conditions are met and the Administrative Agent and lenders agree to such extension. If the Administrative Agent and lenders do not agree to such extension, the prepayment fee and unearned portion of the exit fee will be waived. The Company may borrow under the Revolving Loan Facility subject to borrowing base limitations, which allow the Company to borrow based on the value of eligible accounts receivable and inventory balances. As of September 30, 2016 , the borrowing base was $36.3 million , based on the Company’s accounts receivable and inventory balances. Amounts drawn under the Revolving Loan Facility bear interest at the LIBOR Rate (as defined in the Revolving Loan Credit Agreement) plus 4.45% per annum, payable monthly in arrears, while the undrawn portion is subject to an unused line fee of 0.5% per annum. The Revolving Loan Facility is subject to a minimum balance, such that the Company pays the greater of (i) interest accrued on the actual amount drawn under the Revolving Loan Facility and (ii) interest accrued on 35% of the average borrowing base prior to the first anniversary of the Revolving Loan Facility and 50% of the average borrowing base thereafter. The Company may prepay and re-borrow amounts borrowed under the revolving line of credit without penalty. The Credit Agreements require the Company to maintain minimum cash and cash equivalents of not less than $10 million and achieve net revenue in excess of certain specified thresholds. These agreements also contain certain restrictive covenants that limit and in some circumstances prohibit, the Company’s ability to, among other things, incur additional debt, sell, lease or transfer its assets, pay dividends on the Company’s common stock, make capital expenditures and investments, guarantee debt or obligations, create liens, repurchase common stock, enter into transactions with affiliates and enter into certain merger, consolidation or other reorganization transactions. The Company was in compliance with its debt covenants as of September 30, 2016 . The Credit Agreements contain customary events of default, including the failure to make required payments, the failure to comply with certain covenants or other agreements, the occurrence of a material adverse change, failure to pay certain other indebtedness and certain events of bankruptcy or insolvency. Upon the occurrence and continuation of an event of default, amounts due under the Credit Agreements may be accelerated. The Company had no events of default as of September 30, 2016 . As of September 30, 2016 , the Term Loan Facility and Revolving Loan Facility had outstanding balances of $60.0 million and $21.3 million , respectively. At September 30, 2016 , the interest rate on the Term Loan Facility was 8.02% , and the weighted average interest rate on the Revolving Loan Facility was 4.97% .

Stock-Based Compensation

Stock-Based Compensation	9 Months Ended
	Sep. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock-Based Compensation	STOCK-BASED COMPENSATION The Company maintains equity plans that provide for the grant of options, stock appreciation rights, restricted stock awards, restricted stock units, performance stock units (“PSUs”), dividend equivalents, cash incentive awards and other stock-based awards. The plans provide that stock options may be granted with exercise prices not less than the fair market value at the date of grant. Options granted through September 30, 2016 generally vest over four years and expire ten years from the date of grant. Restricted stock awards granted to non-employee members of the Board of Directors vest over one year . Restricted stock units granted to certain employees of the Company vest over four years . Each PSU represents the right to receive one share of the Company’s common stock upon the occurrence of certain specified events. On March 15, 2016, the Company’s Board of Directors adopted, and stockholders approved at the Company’s annual meeting of stockholders in June 2016, The Spectranetics Corporation 2016 Incentive Award Plan (the “2016 Plan”), which authorizes the issuance for award grants of 2,500,000 shares of the Company’s common stock, plus the number of shares of common stock remaining available for future grants under the Company’s Amended and Restated 2006 Incentive Award Plan (the “2006 Plan”) on the date the Company’s stockholders approved the 2016 Plan. No further awards will be made under the 2006 Plan. The Compensation Committee of the Board of Directors approved a grant of PSUs to certain of the Company’s officers in June 2014 and a grant of PSUs to the Company’s Chief Financial Officer in September 2015 upon the commencement of her employment (the “2014 PSUs”). The 2014 PSUs vest based on achieving specified performance measurements over a three -year “cliff” performance period plus an additional one year “cliff” time vesting. Earned 2014 PSUs vest 75% upon completion of the three -year performance period and 25% one year after the performance period. The 2014 PSUs have payout opportunities of between 0% and 250% . The performance targets include a compounded annual growth rate for revenue over a three-year period and Adjusted EBITDA for the year ended December 31, 2016. In June 2016, the Board of Directors approved the grant of PSUs (the “2016 PSUs”) to the Company’s named executive officers and certain other employees pursuant to the 2016 Plan. The 2016 PSUs provide, among other things, that (i) the 2016 PSUs have an initial performance period of up to four years from the date of grant during which the target number of 2016 PSUs awarded to each recipient may be earned if approval of the Company’s Stellarex products is received from the U.S. Food and Drug Administration (“FDA”); (ii) the 2016 PSUs have a supplemental performance period of six calendar quarters following the calendar quarter in which FDA approval of the Company’s Stellarex products is received, and during which up to an additional 100% of the target number of 2016 PSUs may be earned depending on the degree to which the Company’s Stellarex products achieve specified U.S. market share goals; and (iii) no 2016 PSUs will be earned (and no supplemental performance period will occur) if the Company’s Stellarex products do not receive FDA approval during the initial four year performance period. At September 30, 2016 , there were 3.0 million shares available for future issuance under the Company’s incentive award plans, assuming issuance of common stock underlying all outstanding PSUs at target performance, and 1.3 million shares available, assuming issuance of common stock underlying all outstanding PSUs at maximum performance. Valuation and Expense Information The Company recognized stock-based compensation expense of $3.7 million and $3.1 million for the three months ended September 30, 2016 and 2015 , respectively, and $10.3 million and $9.0 million for the nine months ended September 30, 2016 and 2015 , respectively. This expense consisted of compensation expense related to (1) employee stock options based on the value of share-based payment awards that are ultimately expected to vest during the period, (2) restricted stock awards issued to certain of the Company’s directors, (3) restricted stock units issued to certain of the Company’s employees, (4) PSUs issued to certain of the Company’s officers and other employees, and (5) the fair value of shares issued under the Company’s employee stock purchase plan. Stock-based compensation expense is recognized based on awards ultimately expected to vest and is reduced for estimated forfeitures. The Company recognizes compensation expense for non-performance related awards on a straight-line basis over the service period. With respect to the PSUs, the number of shares that vest and are issued to the recipient is based upon the Company’s performance as measured against the specified targets over the relevant performance period for each PSU grant as determined by the Compensation Committee of the Board of Directors. The Company estimates the fair value of the PSUs based on its closing stock price on the date of grant and its estimates of achieving such performance targets and records compensation expense on a graded vesting attribution method, which recognizes compensation cost on a straight-line basis over each separately vesting portion of the awards. Over the performance period, the number of shares of common stock that will ultimately vest and be issued and the related compensation expense is adjusted based upon the Company’s estimate of achieving such performance targets. The number of shares delivered to recipients and the related compensation cost recognized as an expense will be based on the actual performance metrics as set forth in the applicable PSU award agreement. The fair value of each share option award is estimated on the date of grant using the Black-Scholes pricing model based on assumptions noted in the following table. The Company’s employee stock options have various restrictions including vesting provisions and restrictions on transfers and hedging, among others, and are often exercised prior to their contractual expiration. Expected volatilities used in the fair value estimate are based on the historical volatility of the Company’s common stock. The Company uses historical data to estimate share option exercises, expected term and employee departure behavior used in the Black-Scholes pricing model. The risk-free rate for periods within the contractual term of the share option is based on the U.S. Treasury yield in effect at the time of grant. The following is a summary of the assumptions used for the stock options granted during the three and nine months ended September 30, 2016 and 2015 , respectively, using the Black-Scholes pricing model: Three Months Ended Nine Months Ended 2016 2015 2016 2015 Expected life (years) 5.77 5.72 5.77 5.71 Risk-free interest rate 1.16 % 1.38 % 1.21 % 1.57 % Expected volatility 46.51 % 45.80 % 46.29 % 42.69 % Expected dividend yield — — — — The weighted average grant date fair value of options granted during the three months ended September 30, 2016 and 2015 was $10.43 and $5.98 , respectively, and during the nine months ended September 30, 2016 and 2015 was $6.84 and $10.36 , respectively. The following table summarizes stock option activity during the nine months ended September 30, 2016 : Shares Weighted Average Exercise Price Weighted Avg. Remaining Contractual Term (In Years) Aggregate Intrinsic Value Options outstanding at January 1, 2016 2,566,088 $ 14.04 Granted 988,304 15.49 Exercised (189,917 ) 10.17 Forfeited (117,458 ) 17.90 Options outstanding at September 30, 2016 3,247,017 $ 14.57 6.64 $ 34,764,889 Options exercisable at September 30, 2016 1,871,292 $ 12.17 4.97 $ 24,388,695 The aggregate intrinsic value in the preceding table represents the total pre-tax intrinsic value based on the Company’s closing stock price of $25.09 as of September 30, 2016 that would have been received by the option holders had all option holders exercised their options as of that date. The total number of shares underlying in-the-money options exercisable as of September 30, 2016 was approximately 1.8 million . The total intrinsic value of options exercised was $1.8 million and $8.2 million during the nine months ended September 30, 2016 and 2015 , respectively. The following table summarizes restricted stock award activity during the nine months ended September 30, 2016 : Shares Weighted Average Grant Date Fair Value Restricted stock awards outstanding at January 1, 2016 26,463 $ 27.41 Awarded 48,643 18.71 Vested/released (26,463 ) 27.41 Restricted stock awards outstanding at September 30, 2016 48,643 $ 18.71 The following table summarizes restricted stock unit activity during the nine months ended September 30, 2016 : Shares Weighted Average Grant Date Fair Value Restricted stock units outstanding at January 1, 2016 204,893 $ 24.08 Awarded 190,776 14.98 Vested/released (63,791 ) 22.95 Forfeited (40,435 ) 21.58 Restricted stock units outstanding at September 30, 2016 291,443 $ 18.72 The following table summarizes PSU activity during the nine months ended September 30, 2016 : Shares Weighted Average Grant Date Fair Value Performance stock units outstanding at January 1, 2016 496,656 $ 22.82 Awarded 275,330 18.16 Vested/released (59,799 ) 23.43 Forfeited (42,983 ) 23.43 Performance stock units outstanding at September 30, 2016 669,204 $ 20.81 As of September 30, 2016 , there was $21.0 million of total unrecognized compensation expense related to non-vested share-based compensation arrangements granted under the Company’s incentive award plans, using the Company’s current estimate of performance for the PSUs, which could be higher or lower in the future based on the actual achievement of performance targets. This expense is based on an assumed future forfeiture rate of approximately 6.68% per year for stock options and restricted stock units for Company employees and is expected to be recognized over a weighted-average period of approximately 2.6 years. Employee Stock Purchase Plan On December 9, 2015, the Company’s Board of Directors adopted, and stockholders approved at the Company’s annual meeting of stockholders in June 2016, an amendment to The Spectranetics Corporation 2010 Employee Stock Purchase Plan (“ESPP”) to increase the number of shares of common stock available for sale under the ESPP by 1,000,000 shares. The amendment was effective as of January 1, 2016, the first day of the 2016 semi-annual offering period under the ESPP. The ESPP, as amended, provides for the sale of up to 1,700,000 shares of common stock to eligible employees, limited to the lesser of 2,500 shares per employee per six -month period or a fair market value of $25,000 per employee per calendar year. Stock purchased under the ESPP is restricted from sale for one year following the date of purchase. Stock can be purchased from amounts accumulated through payroll deductions during each six -month period. The purchase price is equal to 85% of the lower of the fair market value of the Company’s common stock at the beginning or end of the respective six -month offering period. This discount does not exceed the maximum discount rate permitted for plans of this type under Section 423 of the Internal Revenue Code of 1986, as amended. The ESPP is compensatory for financial reporting purposes. At September 30, 2016 , there were approximately 0.9 million shares available for future issuance under the ESPP. The fair value of the shares offered within the semi-annual purchase periods under the ESPP is determined on the date of grant using the Black-Scholes option-pricing model. The expected term of six months is based upon the offering period of the ESPP. Expected volatility is determined based on the historical volatility from daily share price observations for the Company’s stock covering a period commensurate with the expected term of the ESPP. The risk-free interest rate is based on the six-month U.S. Treasury daily yield rate. The expected dividend yield is based on the Company’s historical practice of electing not to pay dividends to its stockholders. The Company recognized compensation expense related to the ESPP of $0.3 million and $0.2 million for the three months ended September 30, 2016 and 2015 , respectively, and $1.0 million and $0.6 million for the nine months ended September 30, 2016 and 2015 , respectively.

Net Loss Per Share

Net Loss Per Share	9 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Net Loss Per Share	NET LOSS PER SHARE Basic net loss per share is computed by dividing net loss by the weighted average number of common shares outstanding (excluding shares of restricted stock). Shares issued during the period and shares reacquired during the period are weighted for the portion of the period they were outstanding. Diluted net loss per share is computed in a manner consistent with that of basic net loss per share, while giving effect to all potentially dilutive common shares outstanding during the period, which include the assumed exercise of stock options and the assumed vesting of restricted stock using the treasury stock method, and the assumed conversion of shares under the Notes using the “if-converted” method. Options to purchase common stock, the vesting of restricted stock and PSUs, and shares issuable upon conversion of the Notes are considered to be potentially dilutive common shares but have been excluded from the calculation of diluted net loss per share as their effect is anti-dilutive for the three and nine months ended September 30, 2016 and 2015 as a result of the net losses incurred in those periods. Therefore, diluted net loss per share was the same as basic net loss per share for the three and nine months ended September 30, 2016 and 2015 . Stock options, restricted stock awards, restricted stock units, PSUs, and shares issuable upon the conversion of the Notes outstanding at September 30, 2016 and 2015 , which are excluded from the computation of diluted net loss per share for the three and nine months ended September 30, 2016 and 2015 , are shown in the table below: Nine Months Ended September 30, 2016 2015 Options to purchase common stock 3,247,017 2,633,314 Non-vested restricted stock awards and restricted stock units 340,086 237,329 Non-vested PSUs 669,204 513,398 Shares issuable upon conversion of the Notes 7,337,459 7,337,459 Potentially dilutive common shares 11,593,766 10,721,500 A summary of the net loss per share calculation is shown below for the periods indicated (in thousands, except share and per share amounts): Three Months Ended Nine Months Ended 2016 2015 2016 2015 Net loss $ (13,312 ) $ (14,493 ) $ (45,509 ) $ (49,014 ) Common shares outstanding: Historical common shares outstanding at beginning of period 42,902,831 42,458,577 42,632,771 42,034,063 Weighted average common shares issued 151,491 97,671 220,000 334,475 Weighted average common shares outstanding — basic and diluted 43,054,322 42,556,248 42,852,771 42,368,538 Net loss per share — basic and diluted $ (0.31 ) $ (0.34 ) $ (1.06 ) $ (1.16 )

Segment Reporting

Segment Reporting	9 Months Ended
	Sep. 30, 2016
Segment Reporting [Abstract]
Segment Reporting	SEGMENT REPORTING The Company operates in one distinct line of business consisting of developing, manufacturing, marketing, and distributing disposable products and a proprietary excimer laser system to treat certain vascular and coronary conditions. Within this line of business, the Company has two operating segments, which are identified on a geographic basis: (1) U.S. Medical and (2) International Medical. U.S. Medical and International Medical offer substantially the same products and services but operate in different geographic regions, have different distribution networks, and different regulatory environments. The primary performance measure for the operating segments is revenue. Additional information regarding each operating segment is discussed below. U. S. Medical Products offered by this segment include medical devices used in minimally invasive procedures within the cardiovascular system, including fiber-optic devices and non-fiber-optic products (disposables), an excimer laser system (equipment), and the service of the excimer laser system (service). The Company is subject to product approvals from the FDA and Health Canada. The Company’s products are used in multiple vascular procedures, including peripheral atherectomy, crossing arterial blockages, coronary atherectomy and thrombectomy, and the removal of cardiac lead wires from patients with pacemakers and cardiac defibrillators. This segment’s customers are primarily located in the United States and Canada. U.S. Medical also includes the corporate headquarters of the Company. All manufacturing, research and development, and corporate administrative functions are performed within this operating segment. For the three and nine months ended September 30, 2016 and 2015 , a portion of research, development and other technology expenses, and general and administrative expenses incurred in the U.S. has been allocated to International Medical based on a percentage of revenue because these expenses support the Company’s ability to generate revenue within the International Medical segment. Manufacturing activities are performed within the U.S. Medical segment. Revenue associated with intersegment product transfers to International Medical was $3.2 million and $3.1 million for the three months ended September 30, 2016 and 2015 , respectively, and $10.1 million and $9.6 million for the nine months ended September 30, 2016 and 2015 , respectively. Revenue is based upon transfer prices, which provide for intersegment profit eliminated upon consolidation. International Medical The International Medical segment has its headquarters in the Netherlands, and serves Europe, the Middle East, Asia Pacific, Latin America, and Puerto Rico. Products offered by this segment are substantially the same as those offered by U.S. Medical, except that Stellarex DCB and AngioSculptX products are available for sale in Europe and certain other international markets but are not yet approved for sale in the U.S. The Company is subject to product approvals from various international regulatory bodies. The International Medical segment is engaged primarily in distribution activities. Certain U.S.-incurred research, development and other technology expenses, and general and administrative expenses have been allocated to International Medical based on a percentage of revenue because these expenses support the Company’s ability to generate revenue within the International Medical segment. Summary financial information relating to operating segment operations is shown below. Intersegment transfers as well as intercompany assets and liabilities are excluded from the information provided (in thousands): Three Months Ended Nine Months Ended 2016 2015 2016 2015 Revenue: U.S. Medical: Disposable products $ 54,548 $ 49,491 $ 158,863 $ 143,771 Laser, service, and other 2,458 2,445 7,459 8,358 Subtotal 57,006 51,936 166,322 152,129 International Medical: Disposable products 9,974 8,840 28,652 25,391 Laser, service, and other 1,285 884 3,923 3,239 Subtotal 11,259 9,724 32,575 28,630 Total revenue $ 68,265 $ 61,660 $ 198,897 $ 180,759 Three Months Ended Nine Months Ended 2016 2015 2016 2015 Segment operating loss: U.S. Medical $ (9,903 ) $ (12,360 ) $ (32,080 ) $ (42,460 ) International Medical 41 (67 ) (3,005 ) (450 ) Total operating loss $ (9,862 ) $ (12,427 ) $ (35,085 ) $ (42,910 ) As of September 30, 2016 December 31, 2015 Segment assets: U.S. Medical $ 395,364 $ 430,956 International Medical 36,498 37,043 Total assets $ 431,862 $ 467,999 For the three and nine months ended September 30, 2016 and 2015 , no individual customer represented 10% or more of consolidated revenue. No individual country, other than the United States, represented 10% or more of consolidated revenue for the three and nine months ended September 30, 2016 or 2015 . Revenue by Product Line Three Months Ended Nine Months Ended (in thousands) 2016 2015 2016 2015 Revenue Disposable products: Vascular intervention $ 45,906 $ 40,370 $ 134,036 $ 117,513 Lead management 18,616 17,961 53,479 51,649 Total disposable products 64,522 58,331 187,515 169,162 Laser, service, and other 3,743 3,329 11,382 11,597 Total revenue $ 68,265 $ 61,660 $ 198,897 $ 180,759

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2016
Income Tax Disclosure [Abstract]
Income Taxes	INCOME TAXES The Company recorded income tax expense of $0.1 million and $0.2 million for the three months ended September 30, 2016 and 2015 , respectively, and $0.5 million and $0.4 million for the nine months ended September 30, 2016 and 2015 , respectively, consisting of current foreign and state income tax expense and deferred federal and state income tax expense. The Company’s deferred U.S. federal and state tax expense in 2016 primarily represents an increase in the deferred tax liability related to the difference between tax and book accounting for the portion of its goodwill that is tax-deductible, which is amortized over 15 years for tax purposes but not amortized for book purposes. Given its continuing tax losses, the Company does not expect to incur current U.S. federal tax expense or benefit against its pretax income during the year ending December 31, 2016 . As of December 31, 2015, the Company had gross deferred tax assets of approximately $90.9 million . The Company maintains a valuation allowance against substantially all of its deferred tax assets, in excess of its nettable deferred tax liabilities, that it does not consider to meet the more-likely-than-not criteria for recognition. In assessing the realizability of deferred tax assets (“DTAs”), management considers whether it is more-likely-than-not that some portion or all of the DTAs will not be realized. The Company’s ability to realize the benefit of its DTAs in future periods will depend on the generation of future taxable income during the periods in which temporary differences become deductible. Management considers the Company’s projected future taxable income, reversal of deferred tax liabilities and tax planning strategies in making this assessment. Because the Company expects to generate losses during the Stellarex development period through 2017, it believes that it will not be generating sufficient taxable income to realize DTAs. The Company will continue to assess the need for a valuation allowance in future periods and does not expect to reduce the valuation allowance against its DTAs until it has a sufficient historical trend of taxable income and can predict future income with a higher degree of certainty. In the event there is a change in circumstances in the future that would affect the utilization of the Company’s DTAs, the tax provision in that period would be adjusted by the amount of the assets then deemed to be realizable.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	COMMITMENTS AND CONTINGENCIES Litigation The Company is from time to time subject to, and is presently involved in, various pending or threatened legal actions and proceedings, including those that arise in the ordinary course of its business. Such matters are subject to many uncertainties and to outcomes the financial impacts of which are not predictable with assurance and that may not be known for extended periods of time. The Company records a liability in its consolidated financial statements for costs related to claims, settlements, and judgments where management has assessed that a loss is probable and an amount can be reasonably estimated. The Company’s significant legal proceedings are discussed below. The costs associated with such proceedings or other legal proceedings that may be commenced could have a material adverse effect on the Company’s future consolidated results of operations, financial position, or cash flows. For certain cases described herein, management is unable to provide a meaningful estimate of the possible loss, if any, or range of possible loss because, among other reasons, (i) the proceedings are in various stages; (ii) damages may not have been sought; (iii) damages may be determined to be unsupported; (iv) there is uncertainty as to the outcome of pending appeals or motions; (v) there are significant factual issues to be resolved; and/or (vi) there are novel legal issues or unsettled legal theories to be presented or a large number of parties. For these cases, however, the Company does not believe, based on currently available information, that the outcomes of these proceedings will have a material adverse effect on the Company’s financial condition, though the outcomes could be material to the Company’s operating results for any particular period, depending, in part, upon the operating results for such period. TriReme Patent Infringement and Breach of Fiduciary Duty In July 2012, AngioScore sued TriReme Medical, Inc. (“TriReme”), Eitan Konstantino (“Konstantino”), Quattro Vascular Pte, Ltd. (“Quattro”), and QT Vascular Ltd. (“QT Vascular”), in the U.S. District Court for the Northern District of California (the “Court”), alleging patent infringement (the “Northern District of California Action”). In this action, AngioScore, the plaintiff, sought injunctive relief and damages. In June 2014, AngioScore amended its complaint (i) to allege that TriReme’s Chief Executive Officer, Konstantino, who is a former founder, officer, and member of the board of directors of AngioScore, breached his fiduciary duties to AngioScore by developing the Chocolate balloon catheter while he served as a member of the AngioScore board of directors, and (ii) to add claims against the other defendants for aiding and abetting that breach. Trial on the breach of fiduciary duty case occurred in April 2015. In July 2015, the Court ruled in favor of AngioScore, finding that Konstantino breached his fiduciary duties to AngioScore, that TriReme and Quattro aided and abetted that breach, and that QT Vascular is liable for the acts of TriReme and Quattro. In its ruling, the Court found that Konstantino breached his fiduciary duties to AngioScore by developing the Chocolate balloon catheter while serving on the AngioScore board of directors and failing to present that corporate opportunity to AngioScore. Konstantino subsequently launched the product through TriReme, Quattro and QT Vascular. The Court awarded AngioScore $20.034 million against all defendants plus disgorgement from Konstantino of all benefits he accrued from his breach of fiduciary duties, including amounts he received for assigning his intellectual property rights to the Chocolate balloon, a royalty on past and future sales of the Chocolate balloon, and all of his shares and options in QT Vascular. Trial on the patent infringement case was held in September 2015. The jury found against AngioScore in the patent infringement case and found that certain of the asserted claims of the patent are invalid. The patent infringement verdict has no impact on the Court’s findings or award of damages in connection with the breach of fiduciary duty claims or the ability of AngioScore to recover fees and costs advanced to Konstantino, as discussed below. The Court entered judgment in both the breach of fiduciary duty case and the patent infringement case in October 2015. The defendants filed an appeal of the rulings with the United States Court of Appeals for the Federal Circuit (the “Federal Circuit”). On July 21, 2016, the Federal Circuit reversed the breach of fiduciary duty and state law rulings on procedural grounds, finding that the Court lacked jurisdiction to hear the state law claims. The Federal Circuit also affirmed the Court’s ruling that the defendants are not entitled to attorneys’ fees in the patent infringement case. No part of the potential financial award associated with this matter has been previously reflected in the Company’s financial statements. The Company has filed with the Federal Circuit a petition for rehearing of the order reversing the trial court’s breach of fiduciary duty and state law rulings. TriReme Inventorship In June 2014, TriReme sued AngioScore in the Court seeking to change the inventorship of certain patents owned by AngioScore. TriReme alleged that an Israeli physician, Chaim Lotan, should be named as a co-inventor on three patents owned by AngioScore. Dr. Lotan allegedly assigned any rights he may have had in the three patents to TriReme. AngioScore moved to dismiss this litigation in January 2015, asserting that Dr. Lotan previously assigned any rights he may have had in the patents to AngioScore in 2003. In March 2015, the Court granted AngioScore’s motion to dismiss this case. TriReme appealed the Court’s ruling, and on February 5, 2016, an appellate court reversed the Court’s ruling dismissing the case and remanded the case for further proceedings, which are ongoing. Konstantino Indemnification and Advancement of Fees In May 2014, AngioScore sued Konstantino in the Superior Court for the County of Alameda, State of California, seeking a declaratory judgment that AngioScore owes no indemnification obligations to Konstantino under the indemnification agreement between AngioScore and Konstantino (the “AngioScore Indemnification Agreement”) resulting from AngioScore’s claim that Konstantino breached his fiduciary duties to AngioScore while serving as a member of the board of directors of AngioScore (the “Alameda Action”). In November 2014, the court stayed the Alameda Action pending the outcome of the Northern District of California Action. In May 2014, Konstantino sued AngioScore in the Delaware Court of Chancery (the “Delaware Action”) seeking a ruling that, under the AngioScore Indemnification Agreement, AngioScore must indemnify and advance Konstantino’s attorneys’ fees and costs related to the defense of the breach of fiduciary duty claims in the Northern District of California Action and the Alameda Action and his pursuit of the Delaware Action for advancement of fees. In June 2014, AngioScore filed counter-claims against Konstantino for violating the AngioScore Indemnification Agreement, which requires, in part, that he cooperate in identifying other sources of advancement, and AngioScore filed a third-party complaint against TriReme, Quattro, and QT Vascular seeking contribution from the defendant companies for amounts advanced to Konstantino. Konstantino filed a motion for summary judgment that he is entitled to advancement from AngioScore and, in August 2014, the court granted the motion. In September 2014, AngioScore filed amended counterclaims and an amended third-party complaint that included additional defendant TriReme Singapore. The defendant companies filed a motion to dismiss the amended third-party complaint on the grounds that it failed to state a claim and the court does not have jurisdiction over three of the defendant companies that were incorporated in Singapore. In October 2015, the court denied the defendant companies’ motion to dismiss, and AngioScore filed a motion for summary judgment against the defendant companies seeking reimbursement and contribution of fees AngioScore advanced to Konstantino. In November 2015, the court granted in part AngioScore’s motion and ordered that TriReme is liable for 50% of advanced fees and costs, and must pay all fees and costs to be advanced moving forward until such fees and costs equal the fees and costs paid by AngioScore. Thereafter, the fees and costs will be advanced 50% by TriReme and 50% by AngioScore. The Company cannot at this time determine the likelihood of any outcome and, as of September 30, 2016 , has no amounts accrued for potential damages. During the nine months ended September 30, 2016, the Company incurred $1.5 million in legal fees associated with these matters. These expenses are included within the “Acquisition transaction, integration and legal costs” line of the condensed consolidated statements of operations and comprehensive loss. Shareholder Litigation On August 27, 2015, a person purporting to represent a class of persons who purchased securities of the Company between February 19, 2015 and July 23, 2015 filed a lawsuit against the Company and certain of its officers in the United States District Court for the District of Colorado. The lawsuit asserts claims under Sections 10(b) and 20 of the Securities Exchange Act of 1934, alleging that certain of the Company’s public statements concerning its projected revenue for 2015 were false and misleading. On December 18, 2015, the court appointed lead plaintiff and lead counsel. On March 1, 2016, plaintiffs filed an amended complaint, including additional allegations challenging certain statements in addition to those concerning the Company’s projected revenue for 2015. The class period in the amended complaint runs from February 27, 2014 to July 23, 2015. The Company believes that the lawsuit is without merit and is defending itself vigorously. In June 2016, the Company filed a motion to dismiss the amended complaint, plaintiffs filed their response in July 2016, and the Company filed its reply brief in August 2016. The Company cannot at this time determine the likelihood of any outcome or whether the impact will be material and, as of September 30, 2016 , has no amounts accrued for potential damages in this case. An adverse outcome in the lawsuit could have a material adverse effect on the Company’s business, results of operations or financial condition. Other The Company is involved in other legal proceedings in the normal course of business and does not expect them to have a material adverse effect on its business. Voluntary Recall In late October 2016, the Company initiated a voluntary recall of specific lots produced since April 2016 of its ELCA Coronary Laser Atherectomy Catheter, Turbo Elite Laser Atherectomy Catheter, and Bridge Occlusion Balloon products. The recall is due to potentially compromised integrity of sterile packaging of the products caused by pinholes in the outer package. The decision to initiate this recall was not based on any reported adverse events or customer complaints. The FDA was informed of this action and agreed to the Company’s recall plan to replace units impacted. In addition, the Company is in the process of making required communications to various regulatory bodies outside of the United States. A manufacturing change has been implemented to correct the issue. The Company does not anticipate that this recall will materially impact its financial statements.

Composition of Certain Financ15

Composition of Certain Financial Statement Items (Tables)	9 Months Ended
	Sep. 30, 2016
Balance Sheet Related Disclosures [Abstract]
Schedule of Inventories	Inventories, net, consisted of the following (in thousands): September 30, December 31, Raw materials $ 10,325 $ 10,838 Work in process 4,553 2,914 Finished goods 11,820 11,403 $ 26,698 $ 25,155
Schedule of Property and Equipment	Property and equipment, net, consisted of the following (in thousands): September 30, 2016 December 31, 2015 Equipment held for rental or loan $ 61,772 $ 55,774 Manufacturing equipment and computers 39,847 37,862 Leasehold improvements 10,002 8,984 Furniture and fixtures 5,097 4,841 Building and improvements 1,306 1,306 Land 270 270 Less: accumulated depreciation (73,443 ) (64,318 ) $ 44,851 $ 44,719
Schedule of Accrued Liabilities	Accrued liabilities consisted of the following (in thousands): September 30, 2016 December 31, 2015 Accrued payroll and employee-related expenses $ 19,750 $ 15,797 Accrued clinical study expense 2,635 3,868 Accrued interest 2,482 913 Deferred rent 1,453 1,485 Accrued royalties 1,196 1,044 Accrued legal costs 1,075 713 Accrued sales, income and excise taxes 907 1,318 Contingent consideration 273 5,153 Other accrued expenses 3,841 5,144 Total accrued liabilities 33,612 35,435 Less: long-term portion (1,655 ) (1,759 ) Accrued liabilities, current portion $ 31,957 $ 33,676
Schedule of Changes in Contingent Consideration	The following table presents changes to the Company’s acquisition-related contingent consideration liability for the nine -month period ended September 30, 2016: Contingent Consideration Liability Beginning balance, January 1, 2016 $ 5,153 Contingent consideration payments (5,088 ) Contingent consideration accretion expense 208 Ending balance, September 30, 2016 $ 273

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Goodwill	The change in the carrying amount of goodwill by reporting unit for the nine months ended September 30, 2016 was as follows (in thousands). U.S. Medical International Medical Total Balance as of December 31, 2015 $ 130,410 $ 22,206 $ 152,616 Impact of changes in foreign currency and other — (3,069 ) (3,069 ) Balance as of September 30, 2016 $ 130,410 $ 19,137 $ 149,547
Schedule of Acquired Intangible Assets	Acquired intangible assets consisted of the following (in thousands): September 30, 2016 December 31, 2015 Acquired as part of Stellarex acquisition: (1) In-process research and development $ 13,680 $ 13,680 Technology 9,000 9,000 Trademark and trade names 400 400 Transition services agreement 530 530 Acquired as part of AngioScore acquisition: (2) Technology 73,510 73,510 Customer relationships 23,320 23,320 Trademark and trade names 4,380 4,380 In-process research and development — 1,254 AngioSculptX 1,254 — Distributor relationships 1,940 1,940 Non-compete agreements 580 580 Acquired as part of Upstream acquisition (3) Technology 2,172 2,172 Non-compete agreement 200 200 Patents 530 530 Less: accumulated amortization (30,348 ) (21,040 ) $ 101,148 $ 110,456 ___________________ (1) In January 2015, the Company acquired Stellarex DCB assets, which included, among other things, the intellectual property, machinery and equipment, and inventories used in connection with the Stellarex DCB catheter. (2) In June 2014, the Company acquired AngioScore, Inc. (3) In January 2013, the Company acquired certain product lines from Upstream. As part of the acquisition, the Company acquired core technology intangible assets and an intangible asset related to non-compete agreements.

Debt (Tables)

Debt (Tables)	9 Months Ended
	Sep. 30, 2016
Debt Disclosure [Abstract]
Schedule of Outstanding Debt	The following table summarizes the Company’s total outstanding debt as of September 30, 2016 and December 31, 2015 and the maturity dates of the Company’s borrowing arrangements: As of (amounts in thousands) September 30, 2016 December 31, 2015 Maturity Date Weighted Average Interest Rate Convertible Senior Notes $ 230,000 $ 230,000 June 1, 2034 2.625% Unamortized debt issuance costs (5,163 ) (5,924 ) 224,837 224,076 Term Loan Facility 60,000 60,000 December 7, 2020 8.02% Unamortized debt issuance costs (354 ) (399 ) 59,646 59,601 Revolving Loan Facility 21,288 24,232 December 7, 2020 4.97% Total $ 305,771 $ 307,909

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of Stock Options, Valuation Assumptions	The following is a summary of the assumptions used for the stock options granted during the three and nine months ended September 30, 2016 and 2015 , respectively, using the Black-Scholes pricing model: Three Months Ended Nine Months Ended 2016 2015 2016 2015 Expected life (years) 5.77 5.72 5.77 5.71 Risk-free interest rate 1.16 % 1.38 % 1.21 % 1.57 % Expected volatility 46.51 % 45.80 % 46.29 % 42.69 % Expected dividend yield — — — —
Summary of Stock Options, Activity	The following table summarizes stock option activity during the nine months ended September 30, 2016 : Shares Weighted Average Exercise Price Weighted Avg. Remaining Contractual Term (In Years) Aggregate Intrinsic Value Options outstanding at January 1, 2016 2,566,088 $ 14.04 Granted 988,304 15.49 Exercised (189,917 ) 10.17 Forfeited (117,458 ) 17.90 Options outstanding at September 30, 2016 3,247,017 $ 14.57 6.64 $ 34,764,889 Options exercisable at September 30, 2016 1,871,292 $ 12.17 4.97 $ 24,388,695
Summary of Restricted Stock and Restricted Stock Unit Activity	The following table summarizes restricted stock award activity during the nine months ended September 30, 2016 : Shares Weighted Average Grant Date Fair Value Restricted stock awards outstanding at January 1, 2016 26,463 $ 27.41 Awarded 48,643 18.71 Vested/released (26,463 ) 27.41 Restricted stock awards outstanding at September 30, 2016 48,643 $ 18.71 The following table summarizes restricted stock unit activity during the nine months ended September 30, 2016 : Shares Weighted Average Grant Date Fair Value Restricted stock units outstanding at January 1, 2016 204,893 $ 24.08 Awarded 190,776 14.98 Vested/released (63,791 ) 22.95 Forfeited (40,435 ) 21.58 Restricted stock units outstanding at September 30, 2016 291,443 $ 18.72
Summary of PSU Activity	The following table summarizes PSU activity during the nine months ended September 30, 2016 : Shares Weighted Average Grant Date Fair Value Performance stock units outstanding at January 1, 2016 496,656 $ 22.82 Awarded 275,330 18.16 Vested/released (59,799 ) 23.43 Forfeited (42,983 ) 23.43 Performance stock units outstanding at September 30, 2016 669,204 $ 20.81

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	9 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	Stock options, restricted stock awards, restricted stock units, PSUs, and shares issuable upon the conversion of the Notes outstanding at September 30, 2016 and 2015 , which are excluded from the computation of diluted net loss per share for the three and nine months ended September 30, 2016 and 2015 , are shown in the table below: Nine Months Ended September 30, 2016 2015 Options to purchase common stock 3,247,017 2,633,314 Non-vested restricted stock awards and restricted stock units 340,086 237,329 Non-vested PSUs 669,204 513,398 Shares issuable upon conversion of the Notes 7,337,459 7,337,459 Potentially dilutive common shares 11,593,766 10,721,500
Schedule of Earnings Per Share, Basic and Diluted	A summary of the net loss per share calculation is shown below for the periods indicated (in thousands, except share and per share amounts): Three Months Ended Nine Months Ended 2016 2015 2016 2015 Net loss $ (13,312 ) $ (14,493 ) $ (45,509 ) $ (49,014 ) Common shares outstanding: Historical common shares outstanding at beginning of period 42,902,831 42,458,577 42,632,771 42,034,063 Weighted average common shares issued 151,491 97,671 220,000 334,475 Weighted average common shares outstanding — basic and diluted 43,054,322 42,556,248 42,852,771 42,368,538 Net loss per share — basic and diluted $ (0.31 ) $ (0.34 ) $ (1.06 ) $ (1.16 )

Segment Reporting (Tables)

Segment Reporting (Tables)	9 Months Ended
	Sep. 30, 2016
Segment Reporting [Abstract]
Schedule of Revenue by Reporting Segments	Summary financial information relating to operating segment operations is shown below. Intersegment transfers as well as intercompany assets and liabilities are excluded from the information provided (in thousands): Three Months Ended Nine Months Ended 2016 2015 2016 2015 Revenue: U.S. Medical: Disposable products $ 54,548 $ 49,491 $ 158,863 $ 143,771 Laser, service, and other 2,458 2,445 7,459 8,358 Subtotal 57,006 51,936 166,322 152,129 International Medical: Disposable products 9,974 8,840 28,652 25,391 Laser, service, and other 1,285 884 3,923 3,239 Subtotal 11,259 9,724 32,575 28,630 Total revenue $ 68,265 $ 61,660 $ 198,897 $ 180,759
Schedule of Operating Profit (Loss) by Reporting Segments	Three Months Ended Nine Months Ended 2016 2015 2016 2015 Segment operating loss: U.S. Medical $ (9,903 ) $ (12,360 ) $ (32,080 ) $ (42,460 ) International Medical 41 (67 ) (3,005 ) (450 ) Total operating loss $ (9,862 ) $ (12,427 ) $ (35,085 ) $ (42,910 )
Schedule of Assets by Reporting Segment	As of September 30, 2016 December 31, 2015 Segment assets: U.S. Medical $ 395,364 $ 430,956 International Medical 36,498 37,043 Total assets $ 431,862 $ 467,999
Schedule of Revenue from External Customers by Products and Services	Revenue by Product Line Three Months Ended Nine Months Ended (in thousands) 2016 2015 2016 2015 Revenue Disposable products: Vascular intervention $ 45,906 $ 40,370 $ 134,036 $ 117,513 Lead management 18,616 17,961 53,479 51,649 Total disposable products 64,522 58,331 187,515 169,162 Laser, service, and other 3,743 3,329 11,382 11,597 Total revenue $ 68,265 $ 61,660 $ 198,897 $ 180,759

General (Details) (Details)

General (Details) (Details)	Sep. 30, 2016country
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of Countries in which Entity Operates	65

Composition of Certain Financ22

Composition of Certain Financial Statement Items (Narrative) (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Business Acquisition, Contingent Consideration [Line Items]
Payment of contingent consideration, financing activities	$ (2,788)	$ (143)
Payment of contingent consideration, operating activities	(2,300)	$ 0
AngioScore
Business Acquisition, Contingent Consideration [Line Items]
Total payment of contingent consideration	5,000
Payment of contingent consideration, financing activities	(2,700)
Payment of contingent consideration, operating activities	$ (2,300)

Composition of Certain Financ23

Composition of Certain Financial Statement Items (Schedule of Inventories) (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Balance Sheet Related Disclosures [Abstract]
Raw materials	$ 10,325	$ 10,838
Work in process	4,553	2,914
Finished goods	11,820	11,403
Inventories, net	$ 26,698	$ 25,155

Composition of Certain Financ24

Composition of Certain Financial Statement Items (Schedule of Property and Equipment) (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Property, Plant and Equipment [Line Items]
Less: accumulated depreciation	$ (73,443)	$ (64,318)
Property and equipment, net	44,851	44,719
Equipment held for rental or loan
Property, Plant and Equipment [Line Items]
Property and equipment, gross	61,772	55,774
Manufacturing equipment and computers
Property, Plant and Equipment [Line Items]
Property and equipment, gross	39,847	37,862
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property and equipment, gross	10,002	8,984
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Property and equipment, gross	5,097	4,841
Building and improvements
Property, Plant and Equipment [Line Items]
Property and equipment, gross	1,306	1,306
Land
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 270	$ 270

Composition of Certain Financ25

Composition of Certain Financial Statement Items (Schedule of Accrued Liabilities) (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Accrued Liabilities, Current [Abstract]
Accrued payroll and employee-related expenses	$ 19,750	$ 15,797
Accrued clinical study expense	2,635	3,868
Accrued interest	2,482	913
Deferred rent	1,453	1,485
Accrued royalties	1,196	1,044
Accrued legal costs	1,075	713
Accrued sales, income and excise taxes	907	1,318
Contingent consideration	273	5,153
Other accrued expenses	3,841	5,144
Total accrued liabilities	33,612	35,435
Less: long-term portion	(1,655)	(1,759)
Accrued liabilities, current portion	$ 31,957	$ 33,676

Composition of Certain Financ26

Composition of Certain Financial Statement Items (Schedule of Changes in Contingent Consideration) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Business Combinations [Abstract]
Beginning balance, January 1, 2016			$ 5,153
Contingent consideration payments			(5,088)
Contingent consideration accretion expense	$ 41	$ 387	208	$ 2,471
Ending balance, September 30, 2016	$ 273		$ 273

Goodwill and Intangible Asset27

Goodwill and Intangible Assets (Schedule of Goodwill) (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2016USD ($)
Goodwill [Line Items]
Beginning balance	$ 152,616
Impact of changes in foreign currency and other	(3,069)
Ending balance	149,547
U.S. Medical
Goodwill [Line Items]
Beginning balance	130,410
Impact of changes in foreign currency and other	0
Ending balance	130,410
International Medical
Goodwill [Line Items]
Beginning balance	22,206
Impact of changes in foreign currency and other	(3,069)
Ending balance	$ 19,137

Goodwill and Intangible Asset28

Goodwill and Intangible Assets (Schedule of Acquired Intangible Assets) (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Finite-Lived Intangible Assets [Line Items]
Less: accumulated amortization	$ (30,348)	$ (21,040)
Other intangible assets, net	101,148	110,456
Patents
Finite-Lived Intangible Assets [Line Items]
Patents	530	530
Stellarex | Technology
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets	9,000	9,000
Stellarex | Trademark and trade names
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets	400	400
Stellarex | In-process research and development
Finite-Lived Intangible Assets [Line Items]
In-process research and development (“IPR&D”)	13,680	13,680
Stellarex | Transition services agreement
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets	530	530
AngioScore | Technology
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets	73,510	73,510
AngioScore | Customer relationships
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets	23,320	23,320
AngioScore | Trademark and trade names
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets	4,380	4,380
AngioScore | In-process research and development
Finite-Lived Intangible Assets [Line Items]
In-process research and development (“IPR&D”)	0	1,254
AngioScore | AngioSculptX
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets	1,254	0
AngioScore | Distributor relationships
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets	1,940	1,940
AngioScore | Non-compete agreement
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets	580	580
Upstream | Technology
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets	2,172	2,172
Upstream | Non-compete agreement
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets	$ 200	$ 200

Debt (Narrative) (Details)

Debt (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands	Jun. 03, 2014	Sep. 30, 2016	Dec. 31, 2015
Debt Instrument [Line Items]
Line of credit, borrowing capacity		$ 36,300
Revolving Loan Facility, minimum cash and cash equivalents required		10,000
Revolving Loan Facility		$ 21,288	$ 24,232
Convertible Notes
Debt Instrument [Line Items]
Convertible Senior Notes	$ 230,000
Stated interest rate	2.625%	2.625%
Conversion ratio		31.9020
Conversion price		$ 31.35
Threshold percentage of stock price trigger		130.00%
Percent of principal amount redeemed		100.00%
Proceeds from debt, net of issuance costs	$ 222,500
Debt issuance costs	$ 7,500
Discount amortization period		7 years
Long term debt		$ 230,000	230,000
Term Loan
Debt Instrument [Line Items]
Stated interest rate		8.02%
Debt instrument, term		5 years
Debt instrument, face amount		$ 60,000
Debt Instrument, exit fee		4.00%
Long term debt		$ 60,000	$ 60,000
Line of Credit
Debt Instrument [Line Items]
Stated interest rate		4.97%
Debt instrument, term		5 years
Line of credit, maximum availability		$ 50,000
Line of credit, fee percentage on unused portion		0.50%
Borrowings under revolving line of credit		35.00%
Percentage of average borrowing base after first anniversary		50.00%
Minimum | London Interbank Offered Rate (LIBOR)
Debt Instrument [Line Items]
Debt instrument, EBITDA required to reduce LIBOR margin rate		$ 6,000
Minimum | Term Loan | London Interbank Offered Rate (LIBOR)
Debt Instrument [Line Items]
Line of credit, interest rate spread		6.50%
Maximum | Term Loan | London Interbank Offered Rate (LIBOR)
Debt Instrument [Line Items]
Line of credit, interest rate spread		7.50%
Maximum | Line of Credit
Debt Instrument [Line Items]
Line of credit, maximum availability		$ 70,000
Maximum | Line of Credit | London Interbank Offered Rate (LIBOR)
Debt Instrument [Line Items]
Line of credit, interest rate spread		4.45%

Debt (Schedule of Outstanding D

Debt (Schedule of Outstanding Debt) (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2016	Dec. 31, 2015	Jun. 03, 2014
Debt Instrument [Line Items]
Term loan, net of debt issuance costs	$ 59,646	$ 59,601
Revolving Loan Facility	21,288	24,232
Total	305,771	307,909
Convertible Notes
Debt Instrument [Line Items]
Long term debt	230,000	230,000
Unamortized debt issuance costs	(5,163)	(5,924)
Term loan, net of debt issuance costs	$ 224,837	224,076
Maturity date	Jun. 1, 2034
Interest rate	2.625%		2.625%
Term Loan
Debt Instrument [Line Items]
Long term debt	$ 60,000	60,000
Unamortized debt issuance costs	(354)	(399)
Term loan, net of debt issuance costs	$ 59,646	$ 59,601
Maturity date	Dec. 7, 2020
Interest rate	8.02%
Line of Credit
Debt Instrument [Line Items]
Maturity date	Dec. 7, 2020
Interest rate	4.97%

Stock-Based Compensation (Narra

Stock-Based Compensation (Narrative) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for future issuance	3,000,000		3,000,000
Share price	$ 25.09		$ 25.09
Unrecognized compensation expense	$ 21,000,000		$ 21,000,000
Estimated forfeiture rate	6.68%		6.68%
Weighted-average recognition period			2 years 7 months 6 days
Number of shares authorized	2,500,000		2,500,000
Stock-based compensation expense	$ 3,700,000	$ 3,100,000	$ 10,288,000	$ 9,038,000
ESPP
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for future issuance	900,000		900,000
Number of additional shares authorized			1,000,000
Number of shares authorized	1,700,000		1,700,000
Maximum number of shares per employee			2,500
Maximum fair value per employee			$ 25,000
Stock purchase holding period			1 year
Employee stock purchase plan purchase period			6 months
Purchase price of common stock, percent			85.00%
Expected term			6 months
Stock-based compensation expense	$ 300,000	$ 200,000	$ 1,000,000	$ 600,000
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for future issuance	1,300,000		1,300,000
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period			4 years
Award expiration period			10 years
Weighted average grant date fair value of options	$ 10.43	$ 5.98	$ 6.84	$ 10.36
In-the-money options exercisable amount	1,800,000		1,800,000
Total intrinsic value of options exercised			$ 1,800,000	$ 8,200,000
Expected term	5 years 9 months 7 days	5 years 8 months 19 days	5 years 9 months 7 days	5 years 8 months 16 days
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period			1 year
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period			4 years
Performance Stock Units 2014 [Member] | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Target payout opportunities	0.00%		0.00%
Performance Stock Units 2014 [Member] | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Target payout opportunities	250.00%		250.00%
Performance Stock Units 2014 [Member] | Vesting after three years
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period			3 years
Award vesting percent			75.00%
Performance Stock Units 2014 [Member] | Vesting in fourth year
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period			1 year
Award vesting percent			25.00%
Performance Stock Units 2016 [Member] | Initial Performance Period [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period			4 years
Performance Stock Units 2016 [Member] | Supplemental Performance Period [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period			1 year 6 months
Target payout opportunities	100.00%		100.00%

Stock-Based Compensation (Summa

Stock-Based Compensation (Summary of Stock Options, Valuation Assumptions) (Details) - Stock Options	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected life (years)	5 years 9 months 7 days	5 years 8 months 19 days	5 years 9 months 7 days	5 years 8 months 16 days
Risk-free interest rate	1.16%	1.38%	1.21%	1.57%
Expected volatility	46.51%	45.80%	46.29%	42.69%
Expected dividend yield	0.00%	0.00%	0.00%	0.00%

Stock-Based Compensation (Sum33

Stock-Based Compensation (Summary of Stock Options, Activity) (Details)	9 Months Ended
	Sep. 30, 2016USD ($)$ / sharesshares
Shares
Beginning balance (shares) | shares	2,566,088
Granted (shares) | shares	988,304
Exercised (shares) | shares	(189,917)
Forfeited (shares) | shares	(117,458)
Ending balance (shares) | shares	3,247,017
Options exercisable (shares) | shares	1,871,292
Weighted Average Exercise Price
Beginning balance (in dollars per share) | $ / shares	$ 14.04
Granted, weighted average exercise price (in dollars per share) | $ / shares	15.49
Exercised, weighted average exercise price (in dollars per share) | $ / shares	10.17
Forfeited, weighted average exercise price (in dollars per share) | $ / shares	17.90
Ending balance (in dollars per share) | $ / shares	14.57
Options exercisable, weighted average exercise price (in dollars per share) | $ / shares	$ 12.17
Options outstanding, weighted average remaining contractual term (in years)	6 years 7 months 21 days
Options exercisable, weighted average remaining contractual term (in years)	4 years 11 months 19 days
Options outstanding, aggregate intrinsic value | $	$ 34,764,889
Options exercisable, aggregate intrinsic value | $	$ 24,388,695

Stock-Based Compensation (Sum34

Stock-Based Compensation (Summary of Restricted Stock and Restricted Stock Unit Activity) (Details)	9 Months Ended
	Sep. 30, 2016$ / sharesshares
Restricted Stock
Shares
Beginning balance (shares) | shares	26,463
Awarded (shares) | shares	48,643
Vested/released (shares) | shares	(26,463)
Ending balance (shares) | shares	48,643
Weighted Average Grant Date Fair Value
Beginning balance (in dollars per share) | $ / shares	$ 27.41
Awarded (in dollars per share) | $ / shares	18.71
Vested/released (in dollars per share) | $ / shares	27.41
Ending balance (in dollars per share) | $ / shares	$ 18.71
Restricted Stock Units (RSUs)
Shares
Beginning balance (shares) | shares	204,893
Awarded (shares) | shares	190,776
Vested/released (shares) | shares	(63,791)
Forfeited (shares) | shares	(40,435)
Ending balance (shares) | shares	291,443
Weighted Average Grant Date Fair Value
Beginning balance (in dollars per share) | $ / shares	$ 24.08
Awarded (in dollars per share) | $ / shares	14.98
Vested/released (in dollars per share) | $ / shares	22.95
Forfeited (in dollars per share) | $ / shares	21.58
Ending balance (in dollars per share) | $ / shares	$ 18.72

Stock-Based Compensation (Sum35

Stock-Based Compensation (Summary of PSU Activity) (Details) - Performance Stock Units	9 Months Ended
	Sep. 30, 2016$ / sharesshares
Shares
Beginning balance (shares) | shares	496,656
Awarded (shares) | shares	275,330
Vested/released (shares) | shares	(59,799)
Forfeited (shares) | shares	(42,983)
Ending balance (shares) | shares	669,204
Weighted Average Grant Date Fair Value
Beginning balance (in dollars per share) | $ / shares	$ 22.82
Awarded (in dollars per share) | $ / shares	18.16
Vested/released (in dollars per share) | $ / shares	23.43
Forfeited (in dollars per share) | $ / shares	23.43
Ending balance (in dollars per share) | $ / shares	$ 20.81

Net Loss Per Share (Schedule of

Net Loss Per Share (Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share) (Details) - shares	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	11,593,766	10,721,500
Equity Option
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	3,247,017	2,633,314
Restricted Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	340,086	237,329
Performance Stock Units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	669,204	513,398
Convertible Debt Securities
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	7,337,459	7,337,459

Net Loss Per Share (Schedule 37

Net Loss Per Share (Schedule of Earnings Per Share, Basic and Diluted) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Earnings Per Share [Abstract]
Net loss	$ (13,312)	$ (14,493)	$ (45,509)	$ (49,014)
Common shares outstanding:
Historical common shares outstanding at beginning of period	42,902,831	42,458,577	42,632,771	42,034,063
Weighted average common shares issued	151,491	97,671	220,000	334,475
Weighted average common shares outstanding — basic and diluted	43,054,322	42,556,248	42,852,771	42,368,538
Net loss per share — basic and diluted	$ (0.31)	$ (0.34)	$ (1.06)	$ (1.16)

Segment Reporting (Narrative) (

Segment Reporting (Narrative) (Details) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016USD ($)countrySegmentsLine_of_Businesscustomer	Sep. 30, 2015USD ($)countrySegmentsLine_of_Businesscustomer	Sep. 30, 2016USD ($)SegmentsLine_of_Businesscustomer	Sep. 30, 2015USD ($)countrySegmentsLine_of_Businesscustomer
Segment Reporting Information [Line Items]
Number of lines of business | Line_of_Business	1	1	1	1
Number of reportable segments | Segments	2	2	2	2
Sales Revenue | Customer Concentration Risk
Segment Reporting Information [Line Items]
Number of major customers | customer	0	0	0	0
Sales Revenue | Geographic Concentration Risk
Segment Reporting Information [Line Items]
Number of major countries	0	0	0	0
U.S. Medical
Segment Reporting Information [Line Items]
Intersegment revenue | $	$ 3.2	$ 3.1	$ 10.1	$ 9.6

Segment Reporting (Schedule of

Segment Reporting (Schedule of Revenue by Reporting Segments) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenue	$ 68,265	$ 61,660	$ 198,897	$ 180,759
Disposable products
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenue	64,522	58,331	187,515	169,162
U.S. Medical
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenue	57,006	51,936	166,322	152,129
U.S. Medical | Disposable products
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenue	54,548	49,491	158,863	143,771
U.S. Medical | Laser, service, and other
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenue	2,458	2,445	7,459	8,358
International Medical
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenue	11,259	9,724	32,575	28,630
International Medical | Disposable products
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenue	9,974	8,840	28,652	25,391
International Medical | Laser, service, and other
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenue	$ 1,285	$ 884	$ 3,923	$ 3,239

Segment Reporting (Schedule o40

Segment Reporting (Schedule of Operating Profit (Loss) by Reporting Segments) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Operating loss	$ (9,862)	$ (12,427)	$ (35,085)	$ (42,910)
U.S. Medical
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Operating loss	(9,903)	(12,360)	(32,080)	(42,460)
International Medical
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Operating loss	$ 41	$ (67)	$ (3,005)	$ (450)

Segment Reporting (Schedule o41

Segment Reporting (Schedule of Assets by Reporting Segment) (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	$ 431,862	$ 467,999
U.S. Medical
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	395,364	430,956
International Medical
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	$ 36,498	$ 37,043

Segment Reporting (Schedule o42

Segment Reporting (Schedule of Revenue from External Customers by Products and Services) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Revenue from External Customer [Line Items]
Revenue	$ 68,265	$ 61,660	$ 198,897	$ 180,759
Disposable products
Revenue from External Customer [Line Items]
Revenue	64,522	58,331	187,515	169,162
Laser, service, and other
Revenue from External Customer [Line Items]
Revenue	3,743	3,329	11,382	11,597
Vascular intervention | Disposable products
Revenue from External Customer [Line Items]
Revenue	45,906	40,370	134,036	117,513
Lead management | Disposable products
Revenue from External Customer [Line Items]
Revenue	$ 18,616	$ 17,961	$ 53,479	$ 51,649

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Income tax expense	$ 132	$ 176	$ 487	$ 443
Goodwill, amortization period for tax purposes			15 years
Gross deferred tax assets					$ 90,900

Commitments and Contingencies (

Commitments and Contingencies (Details) $ in Thousands	Jun. 25, 2014patent	Sep. 30, 2016USD ($)	Sep. 30, 2015USD ($)	Sep. 30, 2016USD ($)	Sep. 30, 2015USD ($)	Dec. 31, 2015USD ($)
Loss Contingencies [Line Items]
Accrued legal costs		$ 1,075		$ 1,075		$ 713
Acquisition transaction, integration and legal costs		823	$ 5,403	1,615	$ 26,900
Trireme Litigation
Loss Contingencies [Line Items]
Proceeds from litigation settlement				20,034
Accrued legal costs		0		0
Acquisition transaction, integration and legal costs				1,500
US District Court of Northern California
Loss Contingencies [Line Items]
Number of patents involved in litigation | patent	3
Shareholder Litigation [Member]
Loss Contingencies [Line Items]
Accrued legal costs		$ 0		$ 0