CASH, CASH EQUIVALENTS, SHORT-TERM INVESTMENTS AND MARKETABLE SECURITIES, LONG-TERM (Tables)

6 Months Ended

Jun. 30, 2016

CASH, CASH EQUIVALENTS, SHORT-TERM INVESTMENTS AND MARKETABLE SECURITIES, LONG-TERM

Summary of securities included in cash and cash equivalents and available-for-sale marketable securities

Securities classified as cash and cash equivalents, short-term investments and marketable securities, long-term as of June 30, 2016 and December 31, 2015 are summarized below (in thousands). Estimated fair value is based on quoted market prices for these investments.

			Gross		Gross
	Amortized		Unrealized		Unrealized
June 30, 2016	Cost		Gains		Losses		Fair Value
Cash and cash equivalents:
Cash	$	74,567	$	—	$	—	$	74,567
Money market funds		33		—		—		33
Corporate Securities and Commercial paper		13,221		—		—		13,221
Total cash and cash equivalents	$	87,821	$	—	$	—	$	87,821
Short-term investments
Corporate debt securities and Commercial paper with maturities less than 1 year	$	29,922	$	6	$	(3)	$	29,925
Marketable securities, long-term
Corporate debt securities with maturities between 1 and 2 years		1,185		—		(1)		1,184
Total available-for-sale securities	$	31,107	$	6	$	(4)	$	31,109
Total	$	118,928	$	6	$	(4)	$	118,930

			Gross		Gross
	Amortized		Unrealized		Unrealized
December 31, 2015	Cost		Gains		Losses		Fair Value
Cash and cash equivalents:
Cash	$	65,600	$	—	$	—	$	65,600
Money market funds		64		—		—		64
Corporate Securities and Commercial paper		35,420		—		—		35,420
Total cash and cash equivalents	$	101,084	$	—	$	—	$	101,084
Short-term investments
Corporate debt securities	$	108,717	$	1	$	(34)	$	108,684
Total available-for-sale securities	$	108,717	$	1	$	(34)	$	108,684
Total	$	209,801	$	1	$	(34)	$	209,768

Schedule of the gross unrealized losses and fair value of investments

The following table shows the gross unrealized losses and fair value of the Company’s investments with unrealized losses that are not deemed to be other-than-temporarily impaired, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at June 30, 2016 (in thousands):

	Less than 12 months				12 months or greater				Total
			Gross				Gross				Gross
			Unrealized				Unrealized				Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
Corporate debt securities	$	9,054	$	(4)	$	—	$	—	$	9,054	$	(4)

Schedule of fair value hierarchy for financial assets and liabilities measured at fair value on a recurring basis

The following tables represent the Company’s fair value hierarchy for its financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2016 and December 31, 2015 (in thousands):

June 30, 2016	Level 1		Level 2		Level 3		Total
Assets:
Money market funds	$	33	$	—	$	—	$	33
Commercial paper		—		17,386		—		17,386
Corporate debt securities		26,944		—		—		26,944
US Treasury securities		—		—		—		—
Total	$	26,977	$	17,386	$	—	$	44,363
Liabilities:
Contingent consideration—Zipsor	$	—	$	—	$	1,241	$	1,241
Contingent consideration—Lazanda		—		—		12,156		12,156
Contingent consideration—CAMBIA		—		—		1,501		1,501
	$	—	$	—	$	14,898	$	14,898

December 31, 2015	Level 1		Level 2		Level 3		Total
Assets:
Money market funds	$	64	$	—	$	—	$	64
Commercial paper		—		56,383		—		56,383
Corporate debt securities		44,956		—		—		44,956
US Treasury securities		42,765		—				42,765
Total	$	87,785	$	56,383	$	—	$	144,168
Liabilities:
Contingent consideration—Zipsor	$	—	$	—	$	1,504	$	1,504
Contingent consideration—Lazanda		—		—		12,002		12,002
Contingent consideration—CAMBIA		—		—		1,465		1,465
	$	—	$	—	$	14,971	$	14,971

Summary of the changes in fair value of all financial liabilities measured at fair value on a recurring basis using significant unobservable inputs

					Changes in
					fair value
			Changes in		recorded in
			fair value		selling,
	Balance at		recorded in		general and				Balance at
	December 31,		interest		administrative		Royalties		June 30,
	2015		expense		expense		paid		2016
Liabilities:
Contingent consideration obligations—Zipsor	$	1,504	$	69	$	(332)	$	—	$	1,241
Contingent consideration obligations—Lazanda		12,002		1,009		125		(980)		12,156
Contingent consideration obligations—CAMBIA		1,465		116		(80)		—		1,501
Total	$	14,971	$	1,194	$	(287)	$	(980)	$	14,898