Restatements

12 Months Ended

Dec. 31, 2012

Restatements [Abstract]

Restatements

15. Restatements:

As previously reported in the Company’s Quarterly Report on the Company’s Form 10-Q for the period ended September 30, 2012, and the Company’s Current Report on Form 8-K, dated February 28, 2012, in September 2012, the Company began a review of its revenue recognition accounting with respect to certain non-refundable cash payments received by the Company during 2012 under the Endo Agreement (including the $30 million non-refundable upfront license fee received by the Company under the Endo Agreement in January 2012 (the “Upfront Fee”)). Such review was undertaken following an initial comment letter on this topic received by the Company from the staff of the Securities and Exchange Commission on September 5, 2012.

Based on the Company’s process and related internal deliberations, and with input from outside consultants and representatives of Cherry Bekaert LLP, the Company’s independent registered public accounting firm, on February 25, 2013, the Audit Committee of the Board of Directors and the executive management of the Company jointly determined that the Company should have allocated approximately $14.4 million of the Upfront Fee to the clinical development services unit of accounting under the Endo arrangement, and accordingly the Company should have deferred such $14.4 million amount. As such, and since the Upfront Fee was originally recognized in full during the quarter ended March 31, 2012, a determination was made that the Company’s unaudited financial statements for each of the first three quarters of the Company’s 2012 fiscal year required restatement to correct the error with respect to such recognition of revenue under the Endo Agreement. The following represents a summary of the restatement adjustments by financial statement line item:

	As of
	March 31, 2012			June 30, 2012			September 30, 2012
Balance Sheet data:
Deferred revenue, current		6,128,950			7,234,697			7,570,064
Deferred revenue, long term		7,416,485			5,062,366			2,901,153
Total liabilities		13,545,435			12,297,063			10,471,217
Accumulated deficit		(13,545,435	)		(12,297,063	)		(10,471,217	)
Total stockholders’ equity		(13,545,435	)		(12,297,063	)		(10,471,217	)

	Three months ended							Six months ended			Nine months ended
	March 31, 2012			June 30, 2012		September 30, 2012		June 30, 2012			September 30, 2012
Statement of Operations data:
Contract revenue		(13,545,435	)		1,248,372		1,825,846		(12,297,063	)		(10,471,217	)
Income (loss) from operations		(13,545,435	)		1,248,372		1,825,846		(12,297,063	)		(10,471,217	)
Income (loss) before income taxes		(13,545,435	)		1,248,372		1,825,846		(12,297,063	)		(10,471,217	)
Net income (loss)		(13,545,435	)		1,248,372		1,825,846		(12,297,063	)		(10,471,217	)

	As of
	March 31, 2012						June 30, 2012						September 30, 2012
	As Reported			As Restated			As Reported			As Restated			As Reported			As Restated
Balance Sheet data:
Deferred revenue, current		12,543,961			18,672,911			15,079,801			22,314,498			15,149,561			22,719,625
Deferred revenue, long term		1,561,159			8,977,644			1,475,719			6,538,085			1,356,359			4,257,512
Total liabilities		21,527,968			35,073,403			28,006,887			40,303,950			32,844,791			43,316,008
Accumulated deficit		(75,275,525	)		(88,820,960	)		(72,741,256	)		(85,038,319	)		(92,044,389	)		(102,515,606	)
Total stockholders’ equity		24,878,208			11,332,773			28,061,123			15,764,060			11,029,947			558,730

	Three months ended														Six months ended				Nine months ended
	March 31, 2012				June 30, 2012				September 30, 2012						June 30, 2012				September 30, 2012
	As Reported		As Restated		As Reported		As Restated		As Reported			As Restated			As Reported		As Restated		As Reported		As Restated
Statement of Operations data:
Contract revenue		30,049,600		16,504,165		15,049,600		16,297,972		49,600			1,875,446			45,099,200		32,802,137		45,148,800		34,677,583
Income (loss) from operations		22,110,145		8,564,710		5,899,237		7,147,609		(15,884,666	)		(14,058,820	)		28,009,382		15,712,319		12,124,716		1,653,499
Income (loss) before income taxes		20,296,051		6,750,616		2,534,269		3,782,641		(19,303,133	)		(17,477,287	)		22,830,320		10,533,257		3,527,187		(6,944,030	)
Net income (loss)		20,296,051		6,750,616		2,534,269		3,782,641		(19,303,133	)		(17,477,287	)		22,830,320		10,533,257		3,527,187		(6,944,030	)
Basic earnings per share		0.69		0.23		0.09		0.13		(0.64	)		(0.58	)		0.77		0.36		0.12		(0.23	)
Diluted earnings per share		0.69		0.23		0.08		0.12		(0.64	)		(0.58	)		0.76		0.35		0.12		(0.23	)