Intangible Assets and Goodwill

6 Months Ended

Jun. 30, 2020

Intangible Assets and Goodwill

Intangible Assets and Goodwill

7. Intangible Assets and Goodwill

Intangible assets related to capitalized milestones under license agreements consisted of the following (in thousands):

	June 30,		December 31,
	2020		2019
Intangible asset - milestones	$	79,850	$	71,850
Accumulated amortization		(11,422)		(8,930)
Total intangible asset, net	$	68,428	$	62,920

The increase in our intangible asset – milestones since December 31, 2019 is due to an $8.0 million milestone payment to Pfizer related to the May 2020 FDA approval. See Note 13, License Agreements for further discussion of this approval.

The estimated useful lives of these intangible assets are based on the estimated remaining patent life of Rubraca and extend through 2031 in Europe and 2035 in the U.S.

We recorded amortization expense of $1.3 million and $2.5 million related to capitalized milestone payments during the three and six months ended June 30, 2020, respectively. We recorded amortization expense of $1.2 million and $2.3 million related to capitalized milestone payments during the three and six months ended June 30, 2019, respectively. Amortization expense is included in cost of sales – intangible asset amortization on the Consolidated Statements of Operations and Comprehensive Loss.

Estimated future amortization expense associated with intangibles is expected to be as follows (in thousands):

2020 (remaining six months)	$	2,686
2021		5,371
2022		5,371
2023		5,371
2024		5,371
Thereafter		44,258
	$	68,428