Note 11 - Product Lines, Concentration of Credit Risk and Significant Customers

9 Months Ended

Sep. 30, 2013

Risks and Uncertainties [Abstract]

Concentration Risk Disclosure [Text Block]

11.     Product Lines, Concentration of Credit Risk and Significant Customers

We are engaged in the business of developing and selling pharmaceutical products. We have two product lines, consisting of Subsys and Dronabinol SG Capsule. Our chief operating decision-maker evaluates revenues based on product lines.

The following tables summarize our net revenue by product line, as well as the percentages of revenue by route to market (dollars in thousands):

	Net Revenue by Product Line
	Three Months Ended September 30,				Nine Months Ended September 30,
	2013		2012		2013		2012
Subsys	$	28,355	$	2,572	$	56,552	$	3,764
Dronabinol SG Capsule		856		2,180		2,539		6,553
Total net revenue	$	29,211	$	4,752	$	59,091	$	10,317

	% of Revenue by Route to Market
	Three Months Ended September 30,						Nine Months Ended September 30,
	2013			2012			2013			2012
Pharmaceutical wholesalers		97	%		54	%		96	%		36	%
Generic pharmaceutical distributor		3	%		46	%		4	%		64	%
		100	%		100	%		100	%		100	%

All our products are sold in the United States of America.

Product shipments to four pharmaceutical wholesalers accounted for 30%, 20%, 20% and 18% of shipments for the nine months ended September 30, 2013. Product shipments to one generic pharmaceutical distributor accounted for 42% and product shipment to three pharmaceutical wholesalers accounted for 20%, 19% and 13% of shipments for the nine months ended September 30, 2012. Four pharmaceutical wholesalers’ accounts receivable balances accounted for 40%, 22%, 17% and 10% of accounts receivable as of September 30, 2013. Three pharmaceutical wholesalers’ accounts receivable balances accounted for 34%, 22% and 21% of accounts receivable as of December 31, 2012.