Sarepta Therapeutics (SRPT) 10-Q 7 Nov 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Nov. 03, 2016
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q3
Trading Symbol	SRPT
Entity Registrant Name	Sarepta Therapeutics, Inc.
Entity Central Index Key	873,303
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		54,590,380

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 395,140	$ 80,304
Short-term investments		112,187
Accounts receivable	3,986	3,977
Restricted investment	10,695	10,695
Inventory	2,921
Other current assets	22,002	17,380
Total current assets	434,744	224,543
Restricted cash and investments	784	783
Property and equipment, net of accumulated depreciation of $28,426 and $24,594 as of September 30, 2016 and December 31, 2015, respectively	35,620	37,344
Intangible assets, net of accumulated amortization of $3,054 and $2,620 as of September 30, 2016 and December 31, 2015, respectively	8,111	6,642
Other non-current assets	8,051	4,470
Total assets	487,310	273,782
Current liabilities:
Accounts payable	20,684	20,234
Accrued expenses	29,539	29,053
Current portion of long-term debt	10,107	5,936
Current portion of notes payable		2,493
Deferred revenue	3,303	3,303
Other current liabilities	1,300	1,275
Total current liabilities	64,933	62,294
Long-term debt	8,491	14,969
Deferred rent and other	5,262	6,172
Total liabilities	78,686	83,435
Commitments and contingencies (Note 12)
Stockholders’ equity:
Preferred stock, $0.0001 par value, 3,333,333 shares authorized; none issued and outstanding
Common stock, $0.0001 par value, 99,000,000 shares authorized; 54,351,725 and 45,629,529 issued and outstanding at September 30, 2016 and December 31, 2015, respectively	5	5
Additional paid-in capital	1,486,487	1,089,508
Accumulated other comprehensive loss		(111)
Accumulated deficit	(1,077,868)	(899,055)
Total stockholders’ equity	408,624	190,347
Total liabilities and stockholders’ equity	$ 487,310	$ 273,782

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Statement Of Financial Position [Abstract]
Property and equipment, accumulated depreciation	$ 28,426	$ 24,594
Intangible assets, accumulated amortization	$ 3,054	$ 2,620
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	3,333,333	3,333,333
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	99,000,000	99,000,000
Common stock, issued	54,351,725	45,629,529
Common stock, outstanding	54,351,725	45,629,529

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Operating expenses:
Research and development	$ 34,349	$ 36,673	$ 117,523	$ 105,018
General and administrative	22,184	15,090	60,812	50,714
Total operating expenses	56,533	51,763	178,335	155,732
Operating loss	(56,533)	(51,763)	(178,335)	(155,732)
Other income (loss):
Interest (expense) income and other, net	(209)	(176)	(478)	383
Total other (loss) income	(209)	(176)	(478)	383
Net loss	(56,742)	(51,939)	(178,813)	(155,349)
Other comprehensive income (loss):
Unrealized (loss) gain on short-term securities - available-for-sale	(1)	18	111	94
Total other comprehensive (loss) income	(1)	18	111	94
Comprehensive loss	$ (56,743)	$ (51,921)	$ (178,702)	$ (155,255)
Net loss per share — basic and diluted	$ (1.18)	$ (1.25)	$ (3.83)	$ (3.75)
Weighted average number of shares of common stock outstanding for computing basic and diluted net loss per share	48,254	41,565	46,709	41,416

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		$ (178,813)	$ (155,349)
Adjustments to reconcile net loss to cash flows from operating activities:
Depreciation and amortization		3,947	3,883
Amortization of premium on available-for-sale securities, loss from sale of available-for-sale securities and non-cash interest		473	805
Loss on abandonment of patents		45	180
Stock-based compensation		23,093	25,769
Non-cash restructuring expenses	[1]	504
Changes in operating assets and liabilities, net:
Net increase in accounts receivable		(9)	(317)
Net increase in inventory		(2,921)
Net (increase) decrease in other assets		(8,203)	9,963
Net decrease in accounts payable, accrued expenses, deferred revenue and other liabilities		(2,703)	(3,127)
Net cash used in operating activities		(164,587)	(118,193)
Cash flows from investing activities:
Purchase of property and equipment		(2,427)	(2,316)
Purchase of intangible assets		(1,093)	(982)
Purchase of restricted investments			(10,695)
Purchase of available-for-sale securities			(49,632)
Sale and maturity of available-for-sale securities		112,101	141,854
Net cash provided by investing activities		108,581	78,229
Cash flows from financing activities:
Proceeds from borrowings, net of debt issuance costs			19,601
Repayments of long-term debt and notes payable		(5,076)	(2,573)
Proceeds from sales of common stock		364,951
Proceeds from exercise of options and purchase of stock under the Employee Stock Purchase Program		10,967	5,204
Net cash provided by financing activities		370,842	22,232
Increase (decrease) in cash and cash equivalents		314,836	(17,732)
Cash and cash equivalents:
Beginning of period		80,304	73,551
End of period		395,140	55,819
Supplemental disclosure of cash flow information:
Cash paid during the period for interest		1,199	359
Supplemental schedule of non-cash investing activities and financing activities:
Shares withheld for taxes		1,955
Accrual for debt issuance costs related to the senior secured term loan		400	400
Intangible assets included in accrued expenses		1,230	105
Accrual for offering costs related to the equity offerings		$ 222	135
Property and equipment included in accrued expenses			211
Capitalized interest			$ 99
[1]	The non-cash restructuring expense relates to acceleration of stock option vesting and accelerated depreciation for certain assets.

BUSINESS AND BASIS OF PRESENTAT

BUSINESS AND BASIS OF PRESENTATION	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
BUSINESS AND BASIS OF PRESENTATION	1. BUSINESS AND BASIS OF PRESENTATION Business Sarepta Therapeutics, Inc. (together with its wholly-owned subsidiaries, “Sarepta” or the “Company”) is a commercial-stage biopharmaceutical company focused on the discovery and development of unique RNA-targeted therapeutics for the treatment of rare neuromuscular diseases. Applying its proprietary, highly-differentiated and innovative platform technologies, the Company is able to target a broad range of diseases and disorders through distinct RNA-targeted mechanisms of action. The Company is primarily focused on rapidly advancing the development of its potentially disease-modifying Duchenne muscular dystrophy (“DMD”) drug candidates. On September 19, 2016, the United States Food and Drug Administration (“FDA”) granted accelerated approval for EXONDYS 51, indicated for the treatment of DMD in patients who have a confirmed mutation of the DMD gene that is amenable to exon 51 skipping. EXONDYS 51 is studied in clinical trials under the name of eteplirsen and is marketed in the U.S. under the trademarked name of EXONDYS 51 TM Through September 30, 2016, the Company had not generated any revenue from product sales, and the Company may never generate substantial revenue from product sales. Even if sales of EXONDYS 51 generate substantial revenue, the Company is likely to continue to incur operating losses in the near term. As of September 30, 2016, the Company had approximately $406.6 million of cash, cash equivalents and restricted cash and investments, consisting of $395.1 million of cash and cash equivalents and $11.5 million of restricted cash and investments. The Company believes that its balance of cash, cash equivalents and investments as of September 30, 2016 is sufficient to fund its current operational plan for the next twelve months, though it may pursue additional cash resources through public or private financings, sell its Priority Review Voucher, seek additional government funding and establish collaborations with or license its technology to other companies. Basis of Presentation The accompanying unaudited condensed consolidated financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), reflect the accounts of Sarepta Therapeutics, Inc. and its wholly-owned subsidiaries. All inter-company transactions between and among its consolidated subsidiaries have been eliminated. Management has determined that the Company operates in one segment: the development of pharmaceutical products. The information included in this quarterly report on Form 10-Q should be read in conjunction with the Company’s consolidated financial statements and the accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015. Estimates and Uncertainties The preparation of the unaudited condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, equity, revenue, expenses and the disclosure of contingent assets and liabilities. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include the valuation of stock-based awards, research and development expenses and income taxes.

SIGNIFICANT ACCOUNTING POLICIES

SIGNIFICANT ACCOUNTING POLICIES AND RECENT ACCOUNTING PRONOUNCEMENTS	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
SIGNIFICANT ACCOUNTING POLICIES AND RECENT ACCOUNTING PRONOUNCEMENTS	2. SIGNIFICANT ACCOUNTING POLICIES AND RECENT ACCOUNTING PRONOUNCEMENTS Significant Accounting Policies For details about the Company’s accounting policies, please read Note 2, Summary of Significant Accounting Policies and Recent Accounting Pronouncements Revenue Recognition The Company recognizes revenue when all of the following criteria are met: 1) persuasive evidence of an arrangement exists; 2) delivery has occurred or services have been rendered; 3) price to the customer is fixed or determinable; and 4) collectability is reasonably assured. Revenue from product sales is recognized when title and risk of loss have passed to the customer and is recorded net of applicable reserves for discounts and allowances. The Company establishes reserves for various government rebate programs and co-payment assistance. Reserves established for these discounts and allowances are classified as either reductions of accounts receivable or a liability. These reserves are based on estimates of the amounts earned or to be claimed on the related sales. Additionally, the Company also expects to maintain certain customer service contracts with distributors and other customers in the distribution channel that will provide inventory management, data and distribution services, which generally will be reflected as a reduction of revenue. To the extent the Company can demonstrate a separable benefit and fair value for these services, the Company will classify these payments in selling, general and administrative expenses. Inventory Inventories are stated at the lower of cost and net realizable value with cost determined on a first-in, first-out basis. The Company capitalizes inventory costs associated with products upon regulatory approval when future commercialization is considered probable and the future economic benefit is expected to be realized. Drug products to be used in clinical development programs are included in inventory and charged to research and development expense when the product enters the research and development process and no longer can be used for commercial purposes. The following table summarizes the components of the Company’s inventory for the period indicated: As of September 30, 2016 (in thousands) Raw materials $ 2,712 Finished goods 209 Total inventory $ 2,921 The Company periodically reviews its inventories for excess amounts or obsolescence and writes down obsolete or otherwise unmarketable inventory to its estimated net realizable value. Additionally, though the Company’s product is subject to strict quality control and monitoring which it performs throughout the manufacturing processes, certain batches or units of product may not meet quality specifications. As a result, the Company will record a charge to cost of sales to write down any unmarketable inventory to its estimated net realizable value. Intangible Assets The Company’s intangible assets consist of an in-licensed right and patent costs, which are stated in the Company’s consolidated balance sheets net of accumulated amortization and impairments, if applicable. The in-licensed right relates to the license agreement with the University of Western Australia (“UWA”). As a result of the FDA approval and the subsequent commercial sale of EXONDYS 51, as defined in the Amended and Restated UWA License Agreement (defined in Note 3), the Company was obligated to pay a $1.0 million sales milestone to UWA and, accordingly, has recorded an in-licensed right. The in-licensed right will be amortized on a straight-line basis over the remaining life of the related patent because the life of the related patent reflects the expected time period that the Company will benefit from the in-licensed right. The amortization of the in-licensed right will be recorded as cost of goods sold in the Company’s consolidated statements of operations and comprehensive loss. The following table summarizes the components of intangible assets for the period indicated: As of September 30, 2016 (in thousands) Patent costs $ 10,165 In-licensed right 1,000 Intangible assets, gross $ 11,165 Less: accumulated amortization (3,054 ) Intangible assets, net $ 8,111 There have not been any other material changes to the Company’s accounting policies as of September 30, 2016. Recent Accounting Pronouncements In August 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-15, “ Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments In March 2016, the FASB issued ASU No. 2016-09, “ Improvements to Employee Share-Based Payment Accounting In February 2016, the FASB issued ASU No. 2016-02, “ Leases (Topic 842) Leases In July 2015, the FASB issued ASU No. 2015-11, “ Inventory (Topic 330): Simplifying the Measurement of Inventory” In August 2014, the FASB issued ASU No. 2014-15, “ Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In May 2014, the FASB issued ASU No. 2014-09, “ Revenue from Contracts with Customers (Topic 606) Revenue Recognition . Deferral of the Effective Date Identifying Performance Obligations and Licensing Rescission of SEC Guidance Because of Accounting Standards Updates 2014-09 Narrow-Scope Improvements and Practical Expedients

SIGNIFICANT AGREEMENTS

SIGNIFICANT AGREEMENTS	9 Months Ended
	Sep. 30, 2016
Organization Consolidation And Presentation Of Financial Statements [Abstract]
SIGNIFICANT AGREEMENTS	3. SIGNIFICANT AGREEMENTS University of Western Australia In April 2013, the Company and UWA entered into an agreement under which an existing exclusive license agreement between the Company and UWA was amended and restated (the “Amended and Restated UWA License Agreement”). The Amended and Restated UWA License Agreement grants the Company specific rights to the treatment of DMD by inducing the skipping of certain exons. EXONDYS 51 falls under the scope of the license agreement. Under the Amended and Restated UWA License Agreement, the Company may be required to make payments of up to $6.0 million in aggregate to UWA based on the successful achievement of certain development and sales milestones relating to EXONDYS 51 and up to five additional product candidates. The Company may also be obligated to make payments to UWA of up to $20.0 million upon the achievement of certain sales milestones. Additionally, the Company may also be required to pay a low-single-digit percentage royalty on net sales of products covered by issued patents licensed from UWA during the term of the Amended and Restated UWA License Agreement. However, the Company has the option to purchase future royalties up-front. Under this option, prior to the First Amendment (defined below), the Company could be required to make a one-time royalty payment of $30.0 million to UWA. In June 2016, the Company and UWA entered into the first amendment to the Amended and Restated UWA License Agreement (the “First Amendment”). Under the First Amendment, the Company was obligated to make an up-front payment of $7.0 million to UWA upon execution of the amendment. Under the terms of the First Amendment, UWA has waived certain rights and amended the timing of certain payments under the Amended and Restated UWA License Agreement, including lowering the up-front payment that is due by the Company upon exercise of the option to purchase future royalties up-front. Upon exercise of the option to purchase future royalties up-front, the Company would still be obligated to make up to $20.0 million in payments to UWA upon achievement of certain sales milestones. For the three and nine months ended September 30, 2016, the Company recorded $0.3 million and $7.3 million, respectively, relating to the development milestone and up-front payments to UWA as research and development expense in the unaudited condensed consolidated statement of operations and comprehensive loss. Additionally, corresponding to the FDA approval and the subsequent commercial sale of EXONDYS 51, as defined in the Amended and Restated UWA License Agreement, the Company recorded a $1.0 million milestone as an in-license right in the unaudited condensed consolidated balance sheets as of September 30, 2016.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	9 Months Ended
	Sep. 30, 2016
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	4 . FAIR VALUE MEASUREMENTS The Company has certain financial assets that are recorded at fair value which have been classified as Level 1, 2 or 3 within the fair value hierarchy as described in the accounting standards for fair value measurements. • Level 1 — quoted prices for identical instruments in active markets; • Level 2 — quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets; and • Level 3 — valuations derived from valuation techniques in which one or more significant value drivers are unobservable. The tables below present information about the Company’s financial assets that are measured and carried at fair value and indicate the level within the fair value hierarchy of valuation techniques it utilizes to determine such fair value: Fair Value Measurement as of September 30, 2016 Total Level 1 Level 2 Level 3 (in thousands) Money market funds $ 36,612 $ 36,612 $ — $ — Certificates of deposit 11,343 11,343 — — Total assets $ 47,955 $ 47,955 $ — $ — Fair Value Measurement as of December 31, 2015 Total Level 1 Level 2 Level 3 (in thousands) Money market funds $ 32,850 $ 32,850 $ — $ — Commercial paper 48,899 — 48,899 — Government and government agency bonds 50,918 — 50,918 — Corporate bonds 17,370 — 17,370 — Certificates of deposit 11,343 11,343 — — Total assets $ 161,380 $ 44,193 $ 117,187 $ — The Company’s assets with fair value categorized as Level 1 within the fair value hierarchy include money market funds and certificates of deposit. Money market funds are publicly traded mutual funds and are presented as cash equivalents in the unaudited condensed consolidated balance sheets as of September 30, 2016. The Company’s assets with fair value categorized as Level 2 within the fair value hierarchy consist of commercial paper, government and government agency bonds and corporate bonds. These assets have been initially valued at the transaction price and subsequently valued, at the end of each reporting period, through income-based approaches utilizing observable market data. The carrying amounts reported in the unaudited condensed consolidated balance sheets for cash and cash equivalents, accounts receivable and accounts payable approximate fair value because of the immediate or short-term maturity of these financial instruments. The carrying amounts for long-term debt approximate fair value based on market activity for other debt instruments with similar characteristics and comparable risk.

CASH, CASH EQUIVALENTS AND SHOR

CASH, CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS	9 Months Ended
	Sep. 30, 2016
Cash And Cash Equivalents [Abstract]
CASH, CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS	5 . CASH, CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS It is the Company’s policy to mitigate credit risk in its financial assets by maintaining a well-diversified portfolio that limits the amount of exposure as to maturity and investment type. As of September 30, 2016, the Company did not hold any available-for-sale securities. The weighted average maturity of the Company’s available-for-sale securities as of December 31, 2015 was approximately four months. The following tables summarize the Company’s cash, cash equivalents and short-term investments for each of the periods indicated; as of September 30, 2016, there were no short-term investments. As of December 31, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Market Value (in thousands) Cash and money market funds $ 75,304 $ — $ — $ 75,304 Commercial paper 48,936 — (37 ) 48,899 Government and government agency bonds 50,966 — (48 ) 50,918 Corporate bonds 17,396 — (26 ) 17,370 Total assets $ 192,602 $ — $ (111 ) $ 192,491 As reported: Cash and cash equivalents $ 80,304 $ — $ — $ 80,304 Short-term investments 112,298 — (111 ) 112,187 Total assets $ 192,602 $ — $ (111 ) $ 192,491

OTHER CURRENT ASSETS AND OTHER

OTHER CURRENT ASSETS AND OTHER NON-CURRENT ASSETS	9 Months Ended
	Sep. 30, 2016
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract]
OTHER CURRENT ASSETS AND OTHER NON-CURRENT ASSETS	6. OTHER CURRENT ASSETS AND OTHER NON-CURRENT ASSETS The following table summarizes the Company’s other current assets for each of the periods indicated: As of September 30, 2016 As of December 31, 2015 (in thousands) Manufacturing-related deposits $ 16,783 $ 13,070 Prepaid expenses 3,663 3,109 Other 1,556 1,201 Total other current assets $ 22,002 $ 17,380 The following table summarizes the Company’s other non-current assets for each of the periods indicated: As of September 30, 2016 As of December 31, 2015 (in thousands) Manufacturing-related deposits $ 4,084 — Prepaid clinical expenses 3,725 4,228 Other 242 242 Total other non-current assets $ 8,051 $ 4,470

ACCRUED EXPENSES

ACCRUED EXPENSES	9 Months Ended
	Sep. 30, 2016
Payables And Accruals [Abstract]
ACCRUED EXPENSES	7. ACCRUED EXPENSES The following table summarizes the Company’s accrued expenses for each of the periods indicated: As of September 30, 2016 As of December 31, 2015 (in thousands) Accrued clinical and preclinical costs $ 9,094 $ 9,587 Accrued employee compensation costs 7,649 8,189 Accrued contract manufacturing costs 7,605 4,830 Accrued professional fees 2,280 4,258 Accrued research costs 1,746 629 Other 1,165 1,560 Total accrued expenses $ 29,539 $ 29,053

EQUITY FINANCING

EQUITY FINANCING	9 Months Ended
	Sep. 30, 2016
Equity [Abstract]
EQUITY FINANCING	8. EQUITY FINANCING In September 2016, the Company sold approximately 5.8 million shares of common stock through an underwritten public offering at a price of $59.75 per share. As of the date of the issuance of this report, the Company received aggregate net proceeds of approximately $327.4 million from the offering net of commission and offering expenses of approximately $17.6 million. In June 2016, the Company sold approximately 2.1 million shares of common stock through an underwritten public offering at a price of $17.84 per share. The implied underwriting discount and commission was $1.60 per share. The Company received aggregate net proceeds of approximately $37.3 million from the offering net of offering expense of approximately $0.2 million.

RESTRUCTURING

RESTRUCTURING	9 Months Ended
	Sep. 30, 2016
Restructuring And Related Activities [Abstract]
RESTRUCTURING	9. RESTRUCTURING In March 2016, the Company announced a long-term plan (“Corvallis plan”) to consolidate all of the Company’s operations to Massachusetts and reduce its workforce by approximately 19% as part of a strategic plan to increase operational efficiency. During the remainder of the year, the Company plans to close its facility in Corvallis, Oregon, which primarily focused on early-stage research and research manufacturing. As part of the consolidation, research activities and some employees will transition to the Company’s facilities in Andover and Cambridge, Massachusetts. The consolidation efforts are planned to occur in four waves - May, October, November and December of 2016, with an estimated completion date of December 30, 2016. The restructuring costs of the Corvallis plan consist of costs associated with its workforce reduction and facility consolidation. The workforce reduction costs primarily relate to employee severance and benefits. Facility consolidation costs are primarily associated with non-cancellable lease obligations as well as accelerated depreciation for certain assets whose expected useful lives are shortened due to the consolidation. The Company has not determined the financial impact related to the non-cancellable lease obligation for the Corvallis facility but is currently obligated to make $4.3 million of lease payments after the estimated completion date of the consolidation plan. The Company estimates restructuring expenses of $1.8 million related to accelerated depreciation and workforce reduction costs, the latter of which will be accrued as earned over the service period for each employee. In August 2016, the Company implemented a restructuring plan in Cambridge, Massachusetts (“Cambridge plan”) and reduced its workforce by approximately 6%. The restructuring costs associated with the Cambridge plan consist of costs associated with workforce reduction totaling $0.7 million. The Cambridge plan was completed as of October 31, 2016. For the three and nine months ended September 30, 2016, the Company recognized $1.3 million and $2.4 million of restructuring expenses, respectively, $1.0 million and $2.1 million, respectively, of which related to workforce reduction. The following table summarizes the restructuring costs by function for the periods indicated: For the Three Months Ended September 30, 2016 For the Nine Months Ended September 30, 2016 (in thousands) Cash Non-cash (1) Total Cash Non-cash (2) Total Research and development $ 628 $ 143 $ 771 $ 1,448 $ 336 $ 1,784 General and administration 367 126 493 471 168 639 Total restructuring expenses $ 995 $ 269 $ 1,264 $ 1,919 $ 504 $ 2,423 (1) The non-cash restructuring expense relates to accelerated depreciation for certain assets. (2) The non-cash restructuring expense relates to acceleration of stock option vesting and accelerated depreciation for certain assets. The following table summarizes the restructuring reserve for the periods indicated: For the Three Months Ended September 30, 2016 For the Nine Months Ended September 30, 2016 (in thousands) Restructuring reserve beginning balance $ 371 $ — Restructuring expenses incurred during the period 990 1,919 Adjustments to prior period estimates, net 5 — Amounts paid during the period (458 ) (1,011 ) Restructuring reserve ending balance $ 908 $ 908

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	9 Months Ended
	Sep. 30, 2016
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
STOCK-BASED COMPENSATION	10. STOCK-BASED COMPENSATION The following table summarizes the Company’s stock awards granted for each of the periods indicated: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2016 2015 2016 2015 Grants Weighted Average Grant Date Fair Value Grants Weighted Average Grant Date Fair Value Grants Weighted Average Grant Date Fair Value Grants Weighted Average Grant Date Fair Value Stock options 1,050 $ 37.38 702,067 $ 24.05 1,214,426 (1) $ 11.96 2,676,778 $ 14.67 Restricted stock awards 91,778 (2) $ 48.94 65,000 $ 33.81 117,553 (3) $ 41.22 181,783 $ 20.80 (1) Included in 2016 stock option grants are 287,500 options with performance conditions. As a result of the approval of EXONDYS 51, 25% of these performance grants vested immediately and another 25% were triggered to be eligible for vesting subject to the remaining service conditions of the awards. As of September 30, 2016, the performance conditions of the remaining 50% were not probable of being achieved. The remaining stock options granted during the periods presented in the table have only service-based criteria and vest over four years. (2) The Company granted certain employees 91,778 restricted stock awards (“RSA”) with certain sales targets. If and when deemed probable that such performance milestones may be achieved within the required time frame, the Company may recognize up to $4.5 million of stock-based compensation related to these grants. (3) Included in the 2016 RSA grants are 18,755 shares granted to certain employees in lieu of a portion of their 2015 annual bonus payments. These RSA grants were fully vested as of September 30, 2016. The remaining RSAs will be fully vested by June 2017. Stock-based Compensation Expense For the three months ended September 30, 2016 and 2015, total stock-based compensation expense was $9.6 million and $5.7 million, respectively. For the nine months ended September 30, 2016 and 2015, total stock-based compensation expense was $23.1 million and $25.8 million, respectively. As a result of the FDA approval of EXONDYS 51, certain performance criteria for options with performance conditions were met during the quarter. The Company recognized approximately $3.7 million in stock-based compensation expense related to these options. Included in the amount for the nine months ended September 30, 2015 is $8.6 million of stock-based compensation expense incurred in connection with the resignation of the Company’s former Chief Executive Officer. The following table summarizes stock-based compensation expense by function included within the unaudited condensed consolidated statements of operations and comprehensive loss: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2016 2015 2016 2015 (in thousands) Research and development $ 2,674 $ 2,631 $ 7,527 $ 7,639 General and administrative 6,899 3,052 15,566 18,130 Total stock-based compensation expense $ 9,573 $ 5,683 $ 23,093 $ 25,769 The following table summarizes stock-based compensation expense by grant type included within the unaudited condensed consolidated statements of operations and comprehensive loss: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2016 2015 2016 2015 (in thousands) Stock options $ 8,778 $ 4,801 $ 20,248 $ 23,451 Restricted stock awards 232 136 689 310 Stock appreciation rights 115 115 345 377 Employee stock purchase plan 448 631 1,811 1,631 Total stock-based compensation expense $ 9,573 $ 5,683 $ 23,093 $ 25,769

NET LOSS PER SHARE

NET LOSS PER SHARE	9 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
NET LOSS PER SHARE	11. NET LOSS PER SHARE Basic net loss per share is computed by dividing net loss by the weighted-average number of shares of common stock outstanding. Diluted net loss per share is computed by dividing net loss by the weighted-average number of shares of common stock and dilutive common stock equivalents outstanding. Given that the Company generated a net loss for each of the periods presented, there is no difference between basic and diluted net loss per share since the effect of common stock equivalents would be anti-dilutive and, therefore, would be excluded from the diluted net loss per share calculation. For the Three Months Ended September 30, For the Nine Months Ended September 30, 2016 2015 2016 2015 (in thousands, except per share amounts) Net loss $ (56,742 ) $ (51,939 ) $ (178,813 ) $ (155,349 ) Weighted-average number of shares of common stock and common stock equivalents outstanding: Weighted-average number of shares of common stock outstanding for computing basic loss per share 48,254 41,565 46,709 41,416 Dilutive effect of outstanding stock awards and stock options after application of the treasury stock method* — — — — Weighted-average number of shares of common stock and dilutive common stock equivalents outstanding for computing diluted loss per share 48,254 41,565 46,709 41,416 Net loss per share — basic and diluted $ (1.18 ) $ (1.25 ) $ (3.83 ) $ (3.75 ) * For the three and nine months ended September 30, 2016 and 2015, stock options, RSAs and stock appreciation rights to purchase approximately 6.3 million and 7.3 million shares of common stock, respectively, were excluded from the net loss per share calculation as their effect would have been anti-dilutive.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2016
Commitments And Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	12. COMMITMENTS AND CONTINGENCIES Litigation In the normal course of business, the Company may from time to time be named as a party to various legal claims, actions and complaints, including matters involving securities, employment, intellectual property, effects from the use of therapeutics utilizing its technology, or others. The Company records a liability in its consolidated financial statements for loss contingencies related to litigation when a loss is known or considered probable and the amount can be reasonably estimated. If the reasonable estimate of a known or probable loss is a range, and no amount within the range is a better estimate than any other, the minimum amount of the range is accrued. If a loss is reasonably possible but not known or probable, and can be reasonably estimated, the estimated loss or range of loss is disclosed. On January 27, 2014 and January 29, 2014, purported class action complaints were filed in the U.S. District Court for the District of Massachusetts against the Company and certain of its current or former officers. The complaints were consolidated into a single action (Corban v. Sarepta, et al., No. 14-cv-10201) (“Corban”) by order of the court on June 23, 2014, and plaintiffs were afforded 28 days to file a consolidated amended complaint. The plaintiffs’ consolidated amended complaint, filed on July 21, 2014, sought to bring claims on behalf of themselves and persons or entities that purchased or acquired securities of the Company between July 10, 2013 and November 11, 2013. The consolidated amended complaint alleged that Sarepta and certain of its current or former officers violated the federal securities laws in connection with disclosures related to eteplirsen and sought damages in an unspecified amount. On March 31, 2015, the Court granted Sarepta’s motion to dismiss the plaintiffs’ amended complaint. On August 12, 2015, the Court denied the plaintiffs’ April 30, 2015 motion for leave seeking to file a further amended complaint, and on September 22, 2015, the Court dismissed the case. The plaintiffs filed a Notice of Appeal in the Court of Appeals for the First Circuit on September 29, 2015. On January 27, 2016, the plaintiffs filed a motion to vacate the District Court’s order denying leave to amend and dismissing the case, during the pendency of which the plaintiffs’ appeal was stayed. On April 21, 2016, the Court denied that motion. On May 19, 2016, the plaintiffs filed a motion to alter or amend the judgment. The Court denied that motion on May 20, 2016. A briefing schedule for the plaintiffs’ appeal has been set by the First Circuit. An estimate of the possible loss or range of loss cannot be made at this time. Another purported class action complaint was filed on December 3, 2014 in the U.S. District Court for the District of Massachusetts ( Kader v. Sarepta et.al On February 5, 2015, a derivative suit was filed in the 215th Judicial District of Harris County, Texas against the Company’s Board of Directors ( David Smith, derivatively on behalf of Sarepta Therapeutics, Inc., v. Christopher Garabedian et. al, Case No. 2015-06645 On March 16, 2016 in the U.S. District Court for the District of Massachusetts against the Company’s Board of Directors ( Dawn Cherry, on behalf of nominal defendant Sarepta Therapeutics, Inc., vs. Behrens et. al., 1:16-cv-10531 Additionally, on September 23, 2014, a derivative suit was filed against the Company’s Board of Directors with the Court of Chancery of the State of Delaware ( Terry McDonald, derivatively on behalf of Sarepta Therapeutics, Inc., et. al vs. Goolsbee et. al., No. 10157

SUBSEQUENT EVENT

SUBSEQUENT EVENT	9 Months Ended
	Sep. 30, 2016
Subsequent Events [Abstract]
SUBSEQUENT EVENT	13. SUBSEQUENT EVENT On October 3, 2016, the Company entered into an exclusive Collaboration and License Agreement (the “Collaboration Agreement”) with Summit (Oxford) Ltd (“Summit”) which grants the Company the exclusive right to commercialize products in Summit’s utrophin modulator pipeline in the E.U., Switzerland, Norway, Iceland, Turkey and the Commonwealth of Independent States (the “Licensed Territory”). Under the terms of the Collaboration Agreement, the Company made an up-front payment of $40.0 million to Summit, with additional payments of up to $192.0 million based on achievement of certain development and regulatory milestones for ezutromid. For Summit’s second generation and future generation small molecule utrophin modulators, the Company may be required to make up to $290.0 million in development and regulatory milestone payments. Additionally, on a product-by-product basis, the Company may be required to make up to $330.0 million in sales milestone payments. The Collaboration Agreement also grants the Company an option to expand the Licensed Territory. If the Company exercises this option, it will be liable for a one-time $10.0 million option fee as well as up to $7.0 million in regulatory milestone payments. For each licensed product, the Company may be liable for up to $82.5 million in sales milestone payments. Additionally, the Company may be required to make tiered royalty payments ranging from a low to high teens percentage of net sales on a product-by-product basis in the Licensed Territory. Under the Collaboration Agreement, Summit will be solely responsible for all research and development costs for the licensed products until December 31, 2017. Thereafter, Summit will be responsible for 55.0% of the budgeted research and development costs related to the licensed products in the Licensed Territory, and the Company will be responsible for 45.0% of such costs. Any costs in excess of 110.0% of the budgeted amount are borne by the party that incurred such costs. Summit is also obligated to spend a specified minimum amount on the research and development of certain licensed products prior to the end of 2019.

SIGNIFICANT ACCOUNTING POLICI19

SIGNIFICANT ACCOUNTING POLICIES AND RECENT ACCOUNTING PRONOUNCEMENTS (Policies)	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), reflect the accounts of Sarepta Therapeutics, Inc. and its wholly-owned subsidiaries. All inter-company transactions between and among its consolidated subsidiaries have been eliminated. Management has determined that the Company operates in one segment: the development of pharmaceutical products. The information included in this quarterly report on Form 10-Q should be read in conjunction with the Company’s consolidated financial statements and the accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015.
Estimates and Uncertainties	Estimates and Uncertainties The preparation of the unaudited condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, equity, revenue, expenses and the disclosure of contingent assets and liabilities. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include the valuation of stock-based awards, research and development expenses and income taxes.
Revenue Recognition	Revenue Recognition The Company recognizes revenue when all of the following criteria are met: 1) persuasive evidence of an arrangement exists; 2) delivery has occurred or services have been rendered; 3) price to the customer is fixed or determinable; and 4) collectability is reasonably assured. Revenue from product sales is recognized when title and risk of loss have passed to the customer and is recorded net of applicable reserves for discounts and allowances. The Company establishes reserves for various government rebate programs and co-payment assistance. Reserves established for these discounts and allowances are classified as either reductions of accounts receivable or a liability. These reserves are based on estimates of the amounts earned or to be claimed on the related sales. Additionally, the Company also expects to maintain certain customer service contracts with distributors and other customers in the distribution channel that will provide inventory management, data and distribution services, which generally will be reflected as a reduction of revenue. To the extent the Company can demonstrate a separable benefit and fair value for these services, the Company will classify these payments in selling, general and administrative expenses.
Inventory	Inventory Inventories are stated at the lower of cost and net realizable value with cost determined on a first-in, first-out basis. The Company capitalizes inventory costs associated with products upon regulatory approval when future commercialization is considered probable and the future economic benefit is expected to be realized. Drug products to be used in clinical development programs are included in inventory and charged to research and development expense when the product enters the research and development process and no longer can be used for commercial purposes. The following table summarizes the components of the Company’s inventory for the period indicated: As of September 30, 2016 (in thousands) Raw materials $ 2,712 Finished goods 209 Total inventory $ 2,921 The Company periodically reviews its inventories for excess amounts or obsolescence and writes down obsolete or otherwise unmarketable inventory to its estimated net realizable value. Additionally, though the Company’s product is subject to strict quality control and monitoring which it performs throughout the manufacturing processes, certain batches or units of product may not meet quality specifications. As a result, the Company will record a charge to cost of sales to write down any unmarketable inventory to its estimated net realizable value.
Intangible Assets	Intangible Assets The Company’s intangible assets consist of an in-licensed right and patent costs, which are stated in the Company’s consolidated balance sheets net of accumulated amortization and impairments, if applicable. The in-licensed right relates to the license agreement with the University of Western Australia (“UWA”). As a result of the FDA approval and the subsequent commercial sale of EXONDYS 51, as defined in the Amended and Restated UWA License Agreement (defined in Note 3), the Company was obligated to pay a $1.0 million sales milestone to UWA and, accordingly, has recorded an in-licensed right. The in-licensed right will be amortized on a straight-line basis over the remaining life of the related patent because the life of the related patent reflects the expected time period that the Company will benefit from the in-licensed right. The amortization of the in-licensed right will be recorded as cost of goods sold in the Company’s consolidated statements of operations and comprehensive loss. The following table summarizes the components of intangible assets for the period indicated: As of September 30, 2016 (in thousands) Patent costs $ 10,165 In-licensed right 1,000 Intangible assets, gross $ 11,165 Less: accumulated amortization (3,054 ) Intangible assets, net $ 8,111 There have not been any other material changes to the Company’s accounting policies as of September 30, 2016.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In August 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-15, “ Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments In March 2016, the FASB issued ASU No. 2016-09, “ Improvements to Employee Share-Based Payment Accounting In February 2016, the FASB issued ASU No. 2016-02, “ Leases (Topic 842) Leases In July 2015, the FASB issued ASU No. 2015-11, “ Inventory (Topic 330): Simplifying the Measurement of Inventory” In August 2014, the FASB issued ASU No. 2014-15, “ Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In May 2014, the FASB issued ASU No. 2014-09, “ Revenue from Contracts with Customers (Topic 606) Revenue Recognition . Deferral of the Effective Date Identifying Performance Obligations and Licensing Rescission of SEC Guidance Because of Accounting Standards Updates 2014-09 Narrow-Scope Improvements and Practical Expedients

SIGNIFICANT ACCOUNTING POLICI20

SIGNIFICANT ACCOUNTING POLICIES AND RECENT ACCOUNTING PRONOUNCEMENTS (Tables)	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
Summary of Components of Inventory	The following table summarizes the components of the Company’s inventory for the period indicated: As of September 30, 2016 (in thousands) Raw materials $ 2,712 Finished goods 209 Total inventory $ 2,921
Summary of Components of Intangible Assets	The following table summarizes the components of intangible assets for the period indicated: As of September 30, 2016 (in thousands) Patent costs $ 10,165 In-licensed right 1,000 Intangible assets, gross $ 11,165 Less: accumulated amortization (3,054 ) Intangible assets, net $ 8,111

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	9 Months Ended
	Sep. 30, 2016
Fair Value Disclosures [Abstract]
Assets Measured and Carried at Fair Value	The tables below present information about the Company’s financial assets that are measured and carried at fair value and indicate the level within the fair value hierarchy of valuation techniques it utilizes to determine such fair value: Fair Value Measurement as of September 30, 2016 Total Level 1 Level 2 Level 3 (in thousands) Money market funds $ 36,612 $ 36,612 $ — $ — Certificates of deposit 11,343 11,343 — — Total assets $ 47,955 $ 47,955 $ — $ — Fair Value Measurement as of December 31, 2015 Total Level 1 Level 2 Level 3 (in thousands) Money market funds $ 32,850 $ 32,850 $ — $ — Commercial paper 48,899 — 48,899 — Government and government agency bonds 50,918 — 50,918 — Corporate bonds 17,370 — 17,370 — Certificates of deposit 11,343 11,343 — — Total assets $ 161,380 $ 44,193 $ 117,187 $ —

CASH, CASH EQUIVALENTS AND SH22

CASH, CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS (Tables)	9 Months Ended
	Sep. 30, 2016
Cash And Cash Equivalents [Abstract]
Summary of Company Cash, Cash Equivalents and Short-Term Investments	The following tables summarize the Company’s cash, cash equivalents and short-term investments for each of the periods indicated; as of September 30, 2016, there were no short-term investments. As of December 31, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Market Value (in thousands) Cash and money market funds $ 75,304 $ — $ — $ 75,304 Commercial paper 48,936 — (37 ) 48,899 Government and government agency bonds 50,966 — (48 ) 50,918 Corporate bonds 17,396 — (26 ) 17,370 Total assets $ 192,602 $ — $ (111 ) $ 192,491 As reported: Cash and cash equivalents $ 80,304 $ — $ — $ 80,304 Short-term investments 112,298 — (111 ) 112,187 Total assets $ 192,602 $ — $ (111 ) $ 192,491

OTHER CURRENT ASSETS AND OTHE23

OTHER CURRENT ASSETS AND OTHER NON-CURRENT ASSETS (Tables)	9 Months Ended
	Sep. 30, 2016
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract]
Summary of Other Current Assets	The following table summarizes the Company’s other current assets for each of the periods indicated: As of September 30, 2016 As of December 31, 2015 (in thousands) Manufacturing-related deposits $ 16,783 $ 13,070 Prepaid expenses 3,663 3,109 Other 1,556 1,201 Total other current assets $ 22,002 $ 17,380
Summary of Other Non-current Assets	The following table summarizes the Company’s other non-current assets for each of the periods indicated: As of September 30, 2016 As of December 31, 2015 (in thousands) Manufacturing-related deposits $ 4,084 — Prepaid clinical expenses 3,725 4,228 Other 242 242 Total other non-current assets $ 8,051 $ 4,470

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	9 Months Ended
	Sep. 30, 2016
Payables And Accruals [Abstract]
Summary of Accrued Expenses	The following table summarizes the Company’s accrued expenses for each of the periods indicated: As of September 30, 2016 As of December 31, 2015 (in thousands) Accrued clinical and preclinical costs $ 9,094 $ 9,587 Accrued employee compensation costs 7,649 8,189 Accrued contract manufacturing costs 7,605 4,830 Accrued professional fees 2,280 4,258 Accrued research costs 1,746 629 Other 1,165 1,560 Total accrued expenses $ 29,539 $ 29,053

RESTRUCTURING (Tables)

RESTRUCTURING (Tables)	9 Months Ended
	Sep. 30, 2016
Restructuring And Related Activities [Abstract]
Summary of Restructuring Costs by Function	The following table summarizes the restructuring costs by function for the periods indicated: For the Three Months Ended September 30, 2016 For the Nine Months Ended September 30, 2016 (in thousands) Cash Non-cash (1) Total Cash Non-cash (2) Total Research and development $ 628 $ 143 $ 771 $ 1,448 $ 336 $ 1,784 General and administration 367 126 493 471 168 639 Total restructuring expenses $ 995 $ 269 $ 1,264 $ 1,919 $ 504 $ 2,423 (1) The non-cash restructuring expense relates to accelerated depreciation for certain assets. (2) The non-cash restructuring expense relates to acceleration of stock option vesting and accelerated depreciation for certain assets.
Summary of Restructuring Reserve	The following table summarizes the restructuring reserve for the periods indicated: For the Three Months Ended September 30, 2016 For the Nine Months Ended September 30, 2016 (in thousands) Restructuring reserve beginning balance $ 371 $ — Restructuring expenses incurred during the period 990 1,919 Adjustments to prior period estimates, net 5 — Amounts paid during the period (458 ) (1,011 ) Restructuring reserve ending balance $ 908 $ 908

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	9 Months Ended
	Sep. 30, 2016
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Summary of Stock Awards Granted	The following table summarizes the Company’s stock awards granted for each of the periods indicated: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2016 2015 2016 2015 Grants Weighted Average Grant Date Fair Value Grants Weighted Average Grant Date Fair Value Grants Weighted Average Grant Date Fair Value Grants Weighted Average Grant Date Fair Value Stock options 1,050 $ 37.38 702,067 $ 24.05 1,214,426 (1) $ 11.96 2,676,778 $ 14.67 Restricted stock awards 91,778 (2) $ 48.94 65,000 $ 33.81 117,553 (3) $ 41.22 181,783 $ 20.80 (1) Included in 2016 stock option grants are 287,500 options with performance conditions. As a result of the approval of EXONDYS 51, 25% of these performance grants vested immediately and another 25% were triggered to be eligible for vesting subject to the remaining service conditions of the awards. As of September 30, 2016, the performance conditions of the remaining 50% were not probable of being achieved. The remaining stock options granted during the periods presented in the table have only service-based criteria and vest over four years. (2) The Company granted certain employees 91,778 restricted stock awards (“RSA”) with certain sales targets. If and when deemed probable that such performance milestones may be achieved within the required time frame, the Company may recognize up to $4.5 million of stock-based compensation related to these grants. (3) Included in the 2016 RSA grants are 18,755 shares granted to certain employees in lieu of a portion of their 2015 annual bonus payments. These RSA grants were fully vested as of September 30, 2016. The remaining RSAs will be fully vested by June 2017.
Summary of Stock-Based Compensation Expense by Function Included within Condensed Consolidated Statement of Operations and Comprehensive Loss	The following table summarizes stock-based compensation expense by function included within the unaudited condensed consolidated statements of operations and comprehensive loss: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2016 2015 2016 2015 (in thousands) Research and development $ 2,674 $ 2,631 $ 7,527 $ 7,639 General and administrative 6,899 3,052 15,566 18,130 Total stock-based compensation expense $ 9,573 $ 5,683 $ 23,093 $ 25,769
Summary of Stock-Based Compensation Expense by Grant Type Included within Condensed Consolidated Statement of Operations and Comprehensive Loss	The following table summarizes stock-based compensation expense by grant type included within the unaudited condensed consolidated statements of operations and comprehensive loss: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2016 2015 2016 2015 (in thousands) Stock options $ 8,778 $ 4,801 $ 20,248 $ 23,451 Restricted stock awards 232 136 689 310 Stock appreciation rights 115 115 345 377 Employee stock purchase plan 448 631 1,811 1,631 Total stock-based compensation expense $ 9,573 $ 5,683 $ 23,093 $ 25,769

NET LOSS PER SHARE (Tables)

NET LOSS PER SHARE (Tables)	9 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Basic and Diluted Net Loss Per Share	Given that the Company generated a net loss for each of the periods presented, there is no difference between basic and diluted net loss per share since the effect of common stock equivalents would be anti-dilutive and, therefore, would be excluded from the diluted net loss per share calculation. For the Three Months Ended September 30, For the Nine Months Ended September 30, 2016 2015 2016 2015 (in thousands, except per share amounts) Net loss $ (56,742 ) $ (51,939 ) $ (178,813 ) $ (155,349 ) Weighted-average number of shares of common stock and common stock equivalents outstanding: Weighted-average number of shares of common stock outstanding for computing basic loss per share 48,254 41,565 46,709 41,416 Dilutive effect of outstanding stock awards and stock options after application of the treasury stock method* — — — — Weighted-average number of shares of common stock and dilutive common stock equivalents outstanding for computing diluted loss per share 48,254 41,565 46,709 41,416 Net loss per share — basic and diluted $ (1.18 ) $ (1.25 ) $ (3.83 ) $ (3.75 ) * For the three and nine months ended September 30, 2016 and 2015, stock options, RSAs and stock appreciation rights to purchase approximately 6.3 million and 7.3 million shares of common stock, respectively, were excluded from the net loss per share calculation as their effect would have been anti-dilutive.

Business and Basis of Present28

Business and Basis of Presentation - Additional Information (Detail) $ in Thousands	9 Months Ended
	Sep. 30, 2016USD ($)Segment	Dec. 31, 2015USD ($)	Sep. 30, 2015USD ($)	Dec. 31, 2014USD ($)
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Cash, cash equivalents and restricted cash and investments	$ 406,600
Cash and cash equivalents	395,140	$ 80,304	$ 55,819	$ 73,551
Restricted cash and investments	$ 11,500
Number of operating segments | Segment	1

Significant Accounting Polici29

Significant Accounting Policies and Recent Accounting Pronouncements - Summary of Components of Inventory (Detail) $ in Thousands	Sep. 30, 2016USD ($)
Accounting Policies [Abstract]
Raw materials	$ 2,712
Finished goods	209
Total inventory	$ 2,921

Significant Accounting Polici30

Significant Accounting Policies and Recent Accounting Pronouncements - Additional Information (Detail) $ in Thousands	Sep. 30, 2016USD ($)
Summary Of Significant Accounting Policies [Line Items]
Sales milestone recorded as an in-license right	$ 1,000
EXONDYS 51 [Member]
Summary Of Significant Accounting Policies [Line Items]
Sales milestone recorded as an in-license right	$ 1,000

Significant Accounting Polici31

Significant Accounting Policies and Recent Accounting Pronouncements - Summary of Components of Intangible Assets (Detail) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Accounting Policies [Abstract]
Patent costs	$ 10,165
In-licensed right	1,000
Intangible assets, gross	11,165
Less: accumulated amortization	(3,054)	$ (2,620)
Intangible assets, net	$ 8,111	$ 6,642

Significant Agreements - Additi

Significant Agreements - Additional Information (Detail) - USD ($)	1 Months Ended		3 Months Ended	9 Months Ended
	Jun. 30, 2016	Apr. 30, 2013	Sep. 30, 2016	Sep. 30, 2016
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Up-front payment to purchase future royalties		$ 30,000,000
Up-front payment upon execution of amendment	$ 7,000,000
Development milestone and up-front payments			$ 300,000	$ 7,300,000
Sales milestone recorded as an in-license right			1,000,000	1,000,000
Maximum [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Additional payments to UWA on successful achievement	$ 20,000,000	20,000,000
EXONDYS 51 and Up to Five Additional Products [Member] | Maximum [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Payments to UWA on successful achievement of certain development and sales milestones		$ 6,000,000
EXONDYS 51 [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Sales milestone recorded as an in-license right			$ 1,000,000	$ 1,000,000

Assets Measured and Carried at

Assets Measured and Carried at Fair Value (Detail) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	$ 47,955	$ 161,380
Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	36,612	32,850
Certificates of Deposit [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	11,343	11,343
Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		48,899
Government and Government Agency Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		50,918
Corporate Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		17,370
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	47,955	44,193
Level 1 [Member] | Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	36,612	32,850
Level 1 [Member] | Certificates of Deposit [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	$ 11,343	11,343
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		117,187
Level 2 [Member] | Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		48,899
Level 2 [Member] | Government and Government Agency Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		50,918
Level 2 [Member] | Corporate Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		$ 17,370

Cash, Cash Equivalents and Sh34

Cash, Cash Equivalents and Short-Term Investments - Additional Information (Detail) - USD ($)	12 Months Ended
	Dec. 31, 2015	Sep. 30, 2016
Cash And Cash Equivalents [Abstract]
Available-for-sale securities	$ 192,491,000	$ 0
Weighted average maturity period of available-for-sale securities	4 months
Short-term investments	$ 112,187,000

Summary of Company Cash, Cash E

Summary of Company Cash, Cash Equivalents and Short-term Investments (Detail) - USD ($)	Sep. 30, 2016	Dec. 31, 2015
Cash and Cash Equivalents [Line Items]
Cash, cash equivalents and short-term investments, Amortized cost		$ 192,602,000
Cash, cash equivalents and short-term investments, Gross unrealized losses		(111,000)
Cash, cash equivalents and short-term investments, Fair market value	$ 0	192,491,000
Cash and Money Market Funds [Member]
Cash and Cash Equivalents [Line Items]
Cash, cash equivalents and short-term investments, Amortized cost		75,304,000
Cash, cash equivalents and short-term investments, Fair market value		75,304,000
Commercial Paper [Member]
Cash and Cash Equivalents [Line Items]
Cash, cash equivalents and short-term investments, Amortized cost		48,936,000
Cash, cash equivalents and short-term investments, Gross unrealized losses		(37,000)
Cash, cash equivalents and short-term investments, Fair market value		48,899,000
Government and Government Agency Bonds [Member]
Cash and Cash Equivalents [Line Items]
Cash, cash equivalents and short-term investments, Amortized cost		50,966,000
Cash, cash equivalents and short-term investments, Gross unrealized losses		(48,000)
Cash, cash equivalents and short-term investments, Fair market value		50,918,000
Corporate Bonds [Member]
Cash and Cash Equivalents [Line Items]
Cash, cash equivalents and short-term investments, Amortized cost		17,396,000
Cash, cash equivalents and short-term investments, Gross unrealized losses		(26,000)
Cash, cash equivalents and short-term investments, Fair market value		17,370,000
Cash and Cash Equivalents [Member]
Cash and Cash Equivalents [Line Items]
Cash, cash equivalents and short-term investments, Amortized cost		80,304,000
Cash, cash equivalents and short-term investments, Fair market value		80,304,000
Short-term Investments [Member]
Cash and Cash Equivalents [Line Items]
Cash, cash equivalents and short-term investments, Amortized cost		112,298,000
Cash, cash equivalents and short-term investments, Gross unrealized losses		(111,000)
Cash, cash equivalents and short-term investments, Fair market value		$ 112,187,000

Summary of Other Current Assets

Summary of Other Current Assets (Detail) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Prepaid Expense And Other Assets Current [Abstract]
Manufacturing-related deposits	$ 16,783	$ 13,070
Prepaid expenses	3,663	3,109
Other	1,556	1,201
Total other current assets	$ 22,002	$ 17,380

Summary of Other Non-current As

Summary of Other Non-current Assets (Detail) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Prepaid Expense And Other Assets Noncurrent [Abstract]
Manufacturing-related deposits	$ 4,084
Prepaid clinical expenses	3,725	$ 4,228
Other	242	242
Total other non-current assets	$ 8,051	$ 4,470

Summary of Accrued Expenses (De

Summary of Accrued Expenses (Detail) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Payables And Accruals [Abstract]
Accrued clinical and preclinical costs	$ 9,094	$ 9,587
Accrued employee compensation costs	7,649	8,189
Accrued contract manufacturing costs	7,605	4,830
Accrued professional fees	2,280	4,258
Accrued research costs	1,746	629
Other	1,165	1,560
Total accrued expenses	$ 29,539	$ 29,053

Equity Financing - Additional I

Equity Financing - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands, shares in Millions	1 Months Ended		9 Months Ended
	Sep. 30, 2016	Jun. 30, 2016	Sep. 30, 2016
Equity [Abstract]
Common stock issued	5.8	2.1
Common stock average price per share	$ 59.75	$ 17.84	$ 59.75
Net proceeds from issue of common stock	$ 327,400	$ 37,300	$ 364,951
Commission and offering expenses	$ 17,600	$ 200
Underwriting discount and commission per share		$ 1.60

Restructuring - Additional Info

Restructuring - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2016	Dec. 30, 2016
Restructuring Cost And Reserve [Line Items]
Restructuring expenses	$ 1,264	$ 2,423
Workforce Reduction [Member]
Restructuring Cost And Reserve [Line Items]
Cost incurred related to workforce reduction	$ 1,000	$ 2,100
Corvallis Plan [Member]
Restructuring Cost And Reserve [Line Items]
Restructuring, initiation date		2016-03
Restructuring, estimated completion date		Dec. 30, 2016
Lease payment obligation		$ 4,300
Corvallis Plan [Member] | Workforce Reduction [Member]
Restructuring Cost And Reserve [Line Items]
Percentage of workforce reduced		19.00%
Corvallis Plan [Member] | Workforce Reduction [Member] | Scenario, Forecast [Member]
Restructuring Cost And Reserve [Line Items]
Estimated restructuring expenses			$ 1,800
Cambridge Plan [Member]
Restructuring Cost And Reserve [Line Items]
Restructuring, initiation date		2016-08
Restructuring, estimated completion date		Oct. 31, 2016
Cambridge Plan [Member] | Workforce Reduction [Member]
Restructuring Cost And Reserve [Line Items]
Percentage of workforce reduced		6.00%
Restructuring expenses		$ 700

Summary of Restructuring Costs

Summary of Restructuring Costs by Function (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016		Sep. 30, 2016
Restructuring Cost And Reserve [Line Items]
Total restructuring expenses, Cash	$ 995		$ 1,919
Total restructuring expenses, Non-cash	269	[1]	504	[2]
Total restructuring expenses	1,264		2,423
Research and Development [Member]
Restructuring Cost And Reserve [Line Items]
Total restructuring expenses, Cash	628		1,448
Total restructuring expenses, Non-cash	143	[1]	336	[2]
Total restructuring expenses	771		1,784
General and Administration [Member]
Restructuring Cost And Reserve [Line Items]
Total restructuring expenses, Cash	367		471
Total restructuring expenses, Non-cash	126	[1]	168	[2]
Total restructuring expenses	$ 493		$ 639
[1]	The non-cash restructuring expense relates to accelerated depreciation for certain assets.
[2]	The non-cash restructuring expense relates to acceleration of stock option vesting and accelerated depreciation for certain assets.

Summary of Restructuring Reserv

Summary of Restructuring Reserve (Detail) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2016
Restructuring And Related Activities [Abstract]
Restructuring reserve beginning balance	$ 371
Restructuring expenses incurred during the period	990	$ 1,919
Adjustments to prior period estimates, net	5
Amounts paid during the period	(458)	(1,011)
Restructuring reserve ending balance	$ 908	$ 908

Summary of Stock Awards Granted

Summary of Stock Awards Granted (Detail) - $ / shares	3 Months Ended			9 Months Ended
	Sep. 30, 2016		Sep. 30, 2015	Sep. 30, 2016		Sep. 30, 2015
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Grants, Stock options	1,050		702,067	1,214,426	[1]	2,676,778
Weighted Average Grant Date Fair Value, Stock options	$ 37.38		$ 24.05	$ 11.96		$ 14.67
Restricted Stock Awards (RSAs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Grants, Restricted stock awards	91,778	[2]	65,000	117,553	[3]	181,783
Weighted Average Grant Date Fair Value, Restricted stock awards	$ 48.94		$ 33.81	$ 41.22		$ 20.80
[1]	Included in 2016 stock option grants are 287,500 options with performance conditions. As a result of the approval of EXONDYS 51, 25% of these performance grants vested immediately and another 25% were triggered to be eligible for vesting subject to the remaining service conditions of the awards. As of September 30, 2016, the performance conditions of the remaining 50% were not probable of being achieved. The remaining stock options granted during the periods presented in the table have only service-based criteria and vest over four years.
[2]	The Company granted certain employees 91,778 restricted stock awards (“RSA”) with certain sales targets. If and when deemed probable that such performance milestones may be achieved within the required time frame, the Company may recognize up to $4.5 million of stock-based compensation related to these grants.
[3]	Included in the 2016 RSA grants are 18,755 shares granted to certain employees in lieu of a portion of their 2015 annual bonus payments. These RSA grants were fully vested as of September 30, 2016. The remaining RSAs will be fully vested by June 2017.

Summary of Stock Awards Grant44

Summary of Stock Awards Granted (Parenthetical) (Detail) - USD ($)	3 Months Ended			9 Months Ended
	Sep. 30, 2016		Sep. 30, 2015	Sep. 30, 2016		Sep. 30, 2015
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock option grants with performance conditions				287,500
Stock option grants, vesting period				4 years
Stock Options [Member] | EXONDYS 51 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage of remaining performance conditions not probable of being achieved				50.00%
Stock Options [Member] | Performance Grants Vested Immediately [Member] | EXONDYS 51 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Performance grants vested percentage				25.00%
Stock Options [Member] | Vesting Subject to the Remaining Service Conditions [Member] | EXONDYS 51 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Performance grants vested percentage				25.00%
Restricted Stock Awards (RSAs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Grants, Restricted stock awards	91,778	[1]	65,000	117,553	[2]	181,783
Expiration date of restricted stock awards				2017-06
Restricted Stock Awards (RSAs) [Member] | 2015 Annual Bonus Payment [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Grants, Restricted stock awards				18,755
Restricted Stock Awards (RSAs) [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation related to grants	$ 4,500,000			$ 4,500,000
[1]	The Company granted certain employees 91,778 restricted stock awards (“RSA”) with certain sales targets. If and when deemed probable that such performance milestones may be achieved within the required time frame, the Company may recognize up to $4.5 million of stock-based compensation related to these grants.
[2]	Included in the 2016 RSA grants are 18,755 shares granted to certain employees in lieu of a portion of their 2015 annual bonus payments. These RSA grants were fully vested as of September 30, 2016. The remaining RSAs will be fully vested by June 2017.

Stock Based Compensation - Addi

Stock Based Compensation - Additional Information (Detail) - 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]
Share-based compensation expense	$ 9,573,000	$ 5,683,000	$ 23,093,000	$ 25,769,000
EXONDYS 51 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	$ 3,700
Former Chief Executive Officer [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense				$ 8,600

Summary of Stock-Based Compensa

Summary of Stock-Based Compensation Expense by Function Included within Condensed Consolidated Statement of Operations and Comprehensive Loss (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 9,573	$ 5,683	$ 23,093	$ 25,769
Research and Development [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	2,674	2,631	7,527	7,639
General and Administration [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 6,899	$ 3,052	$ 15,566	$ 18,130

Summary of Stock-Based Compen47

Summary of Stock-Based Compensation Expense by Grant Type Included within Condensed Consolidated Statement of Operations and Comprehensive Loss (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 9,573	$ 5,683	$ 23,093	$ 25,769
Stock Options [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	8,778	4,801	20,248	23,451
Restricted Stock Awards (RSAs) [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	232	136	689	310
Stock Appreciation Rights [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	115	115	345	377
Employee Stock Purchase Plan [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 448	$ 631	$ 1,811	$ 1,631

Basic and Diluted Net Loss Per

Basic and Diluted Net Loss Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ 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		$ (56,742)	$ (51,939)	$ (178,813)	$ (155,349)
Weighted-average number of shares of common stock and common stock equivalents outstanding:
Weighted-average number of shares of common stock outstanding for computing basic loss per share		48,254	41,565	46,709	41,416
Dilutive effect of outstanding stock awards and stock options after application of the treasury stock method	[1]	0	0	0	0
Weighted-average number of shares of common stock and dilutive common stock equivalents outstanding for computing diluted loss per share		48,254	41,565	46,709	41,416
Net loss per share — basic and diluted		$ (1.18)	$ (1.25)	$ (3.83)	$ (3.75)
[1]	For the three and nine months ended September 30, 2016 and 2015, stock options, RSAs and stock appreciation rights to purchase approximately 6.3 million and 7.3 million shares of common stock, respectively, were excluded from the net loss per share calculation as their effect would have been anti-dilutive.

Basic and Diluted Net Loss Pe49

Basic and Diluted Net Loss Per Share (Parenthetical) (Detail) - shares shares in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Earnings Per Share [Abstract]
Anti-dilutive securities excluded from computation of earning per share	6.3	7.3	6.3	7.3

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail)	9 Months Ended
	Sep. 30, 2016
Commitments And Contingencies Disclosure [Abstract]
Law affected under lawsuit filling	The consolidated amended complaint alleged that Sarepta and certain of its current or former officers violated the federal securities laws in connection with disclosures related to eteplirsen.
Number of days to amend plaintiffs complaint	28 days

Subsequent Events - Additional

Subsequent Events - Additional Information (Detail) - USD ($)	Oct. 03, 2016	Jun. 30, 2016	Apr. 30, 2013
Maximum [Member]
Subsequent Event [Line Items]
Additional payments to Summit on successful achievement		$ 20,000,000	$ 20,000,000
Subsequent Event [Member] | Collaboration and License Agreement [Member]
Subsequent Event [Line Items]
Percentage of budgeted research and development cost allocation	45.00%
Maximum percentage of budgeted research and development cost	110.00%
Subsequent Event [Member] | Summit [Member] | Collaboration and License Agreement [Member]
Subsequent Event [Line Items]
Upfront milestone payment	$ 40,000,000
One-time option fee	$ 10,000,000
Percentage of budgeted research and development cost allocation	55.00%
Subsequent Event [Member] | Summit [Member] | Maximum [Member] | Collaboration and License Agreement [Member]
Subsequent Event [Line Items]
Additional payments to Summit on successful achievement	$ 192,000,000
Development and regulatory milestone payments	290,000,000
Sales milestone payments	330,000,000
Regulatory milestone payments upon exercise of option	7,000,000
Sales milestone payments upon exercise of option	$ 82,500,000