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REVENUE
 12 Months Ended
Dec. 31, 2020
Revenue from Contract with Customer [Abstract]  
REVENUE REVENUE
 
The following table reflects summary revenues the years ended December 31, 2020 and 2019 (in thousands):
 
 Year ended December 31,
 20202019
Product sales, net:  
INDOCIN Products (1)
$31,684 $— 
CAMBIA28,35032,453
Zipsor13,286 12,498 
SPRIX ((1)
11,077— 
Other (2)
9,101 63,855 
Total product sales, net93,498 108,806 
Commercialization agreement revenue, net11,258 118,614 
Royalties and milestone revenue1,519 2,084 
Total revenues$106,275 $229,504 
(1)Products acquired in connection with Zyla Merger represent product sales, net for the period of May 20, 2020 through December 31, 2020.
(2)Includes product sales for Gralise, which was divested in January 2020; product sales adjustments for previously divested products NUCYNTA and Lazanda; and, product sales for non-promoted products OXAYDO and SOLUMATRIX, which were acquired from Zyla in May 2020.

Product Sales, net

For the year ended December 31, 2020, product sales primarily consisted of sales from INDOCIN Products, CAMBIA, Zipsor and SPRIX. The Company began shipping and recognizing product sales for INDOCIN Products, SPRIX, and non-promoted products, SOLUMATRIX and OXAYDO, upon the Zyla Merger on May 20, 2020.

Product sales for the Company’s non-promoted products, SOLUMATRIX and OXAYDO, acquired upon the Zyla Merger were $7.7 million for the year ended December 31, 2020. In September 2020, we terminated our iCeutica License and as a result will no longer manufacture products using SOLUMATRIX technology.

The Company completed the sale of Gralise to Alvogen on January 10, 2020, and therefore ceased recognizing product sales related to Gralise effective on the transaction close date. Product sales related to Gralise for the year ended December 31, 2020 were $0.3 million and relate to sales reserve estimate adjustments related to sales recognized in prior periods. Product sales of Gralise for the year ended December 31, 2019 were $63.1 million.

The Company ceased recording product sales and related costs for NUCYNTA after commencing the Commercialization Agreement with Collegium on January 8, 2018. Product sales for the year ended December 31, 2020 and 2019 reflect adjustments made for previously recorded sales reserve estimates. In addition, the Company ceased recording revenues and related costs associated with Lazanda after it divested the product to Slán in November 2017. Product sales for the year ended December 31, 2020 and 2019 reflect adjustments made for previously recorded sales reserve estimates.

Commercialization Agreement Revenue, net

The Company ceased recognizing commercialization revenue and related costs for NUCYNTA effective the closing of the transaction to divest its rights, title and interest in and to the NUCYNTA franchise to Collegium on February 13, 2020. In connection with the sale, the Commercialization Agreement terminated at closing with certain specified provisions of the Commercialization Agreement surviving in accordance with the terms of the purchase agreement. During the year ended December 31, 2020, the Company recognized net revenue from the Commercialization Agreement of $11.3 million. This included variable royalty revenue of $13.1 million offset by the amortization of the $1.8 million net contract asset in connection with the termination of the Commercialization Agreement as a result of the divestiture of NUCYNTA to Collegium.

For the year ended December 31, 2019, the Company recognized net revenue from the Commercialization Agreement of $118.6 million which primarily consists of sales-based variable royalty revenue.
Contract Assets

The following table reflects changes in the Company’s contract asset as of December 31, 2020 (in thousands):
Balance as ofBalance as of
December 31, 2019AdditionsDeductionsDecember 31, 2020
Contract assets:
Contract asset - Collegium, net1,896 — (1,896)— 
$1,896 $— $(1,896)$— 
    The Collegium contract asset, net represented the conditional right to consideration for completed performance under the Commercialization Agreement arising from the transfer of inventory to Collegium on the date of closing of the agreement in January 2018 net of the contract liability of $10.0 million resulting from the upfront payment received and the $8.8 million of warrants received in connection with the Commercialization Amendment. In connection with the divestiture of NUCYNTA to Collegium the Company amortized the remaining balance of the contract asset during the year ended December 31, 2020.        


Royalties and Milestone Revenue

In November 2010, the Company entered into a license agreement with Tribute Pharmaceuticals Canada Ltd. (now known as Nuvo Pharmaceuticals, Inc.) granting them the rights to commercially market CAMBIA in Canada. Nuvo independently contracts with manufacturers to produce a specific CAMBIA formulation in Canada. The Company receives royalties on net sales on a quarterly basis as well as certain one-time contingent milestone payments upon the occurrence of certain events. The Company recognized revenue related to CAMBIA in Canada of $1.5 million and $2.1 million, respectively, for the years ended December 31, 2020, and 2019.