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Accounts Receivable, Sales and Allowances (Tables)
 12 Months Ended
Dec. 31, 2017
Receivables [Abstract]  
Schedule of Accounts, Notes, Loans and Financing Receivable
Trade accounts receivable, net consists of the following (in thousands):

 
December 31,
 
2017
 
2016
Gross accounts receivable (1)
$
378,759

 
$
519,175

Less reserves for:
 
 
 
Chargebacks (2)
(73,984
)
 
(80,360
)
Rebates (2)
(111,945
)
 
(97,935
)
Product returns
(41,687
)
 
(43,689
)
Discounts and allowances
(7,779
)
 
(12,389
)
Advertising and promotions
(1,301
)
 
(688
)
Doubtful accounts
(680
)
 
(960
)
Trade accounts receivable, net
$
141,383

 
$
283,154



(1) - The reduction in the Gross accounts receivable balance as of December 31, 2017 when compared to the December 31, 2016 balance is due to the decline in Gross sales in the fourth quarter of 2017.

(2) - The reduction in the reserve for chargebacks and increase in the reserve for rebates as of December 31, 2017 compared to December 31, 2016 is primarily due to product mix, customer mix, price erosion, volume declines and payment timing. The price erosion and volume declines were due to increased industry pricing pressure and the competitive nature of our business. The rebates processed during full year 2017 are disclosed under the caption “charges processed,” in the table below.
Schedule of Principal Transactions Revenue
For the years ended December 31, 2017, 2016 and 2015, the Company recorded the following adjustments to gross sales (in thousands):

 
Year ended December 31,
 
2017
 
2016
 
2015
Gross sales
$
2,351,071

 
$
2,891,267

 
$
2,511,693

Less adjustments for:
 
 
 
 
 
Chargebacks (1)
(953,326
)
 
(1,218,560
)
 
(1,065,244
)
Rebates, administrative fees and others (1)
(476,601
)
 
(463,724
)
 
(367,514
)
Product returns
(26,874
)
 
(28,285
)
 
(34,272
)
Discounts and allowances
(45,292
)
 
(55,494
)
 
(50,384
)
Advertising, promotions, and others
(7,933
)
 
(8,361
)
 
(9,203
)
Revenues, net
$
841,045

 
$
1,116,843

 
$
985,076



(1) The decrease in chargebacks and increase in rebates, administrative and other fees for the twelve-month period ended December 31, 2017 compared to the same period in 2016, were primarily due to product mix, customer mix, volume declines, and price erosion due to increased industry pricing pressure and the competitive nature of our business
Activity in Allowance for Customer Deductions Accounts
The annual activity in the Company’s allowance for customer deductions accounts for the three years ended December 31, 2017 is as follows (in thousands):

 
Returns
 
Chargebacks
 
Rebates (1)
 
Discounts
 
Doubtful Accounts
 
Advertising & Promotions
 
Total
Balance at December 31, 2014
44,646

 
102,438

 
95,674

 
15,554

 
309

 
759

 
259,380

Provision
34,272

 
1,065,244

 
295,787

 
50,384

 
840

 
9,203

 
1,455,730

Additions from acquisitions
—

 
—

 
—

 
—

 
291

 
—

 
291

Charges processed
(30,585
)
 
(1,075,838
)
 
(228,865
)
 
(55,859
)
 
139

 
(8,444
)
 
(1,399,452
)
Balance at December 31, 2015
$
48,333

 
$
91,844

 
$
162,596

 
$
10,079

 
$
1,579

 
$
1,518

 
$
315,949

Provision
28,285

 
1,218,560

 
384,074

 
55,494

 
—

 
8,361

 
1,694,774

Additions from acquisitions
—

 
—

 
—

 
—

 
—

 
—

 
—

Charges processed
(32,929
)
 
(1,230,044
)
 
(448,735
)
 
(53,184
)
 
(619
)
 
(9,191
)
 
(1,774,702
)
Balance at December 31, 2016
$
43,689

 
$
80,360

 
$
97,935

 
$
12,389

 
$
960

 
$
688

 
$
236,021

Provision
26,874

 
953,326

 
416,125

 
45,292

 
—

 
7,933

 
1,449,550

Additions from acquisitions
—

 
—

 
—

 
—

 
—

 
—

 
—

Charges processed
(28,876
)
 
(959,702
)
 
(402,115
)
 
(49,902
)
 
(280
)
 
(7,320
)
 
(1,448,195
)
Balance at December 31, 2017
$
41,687

 
$
73,984

 
$
111,945

 
$
7,779

 
$
680

 
$
1,301

 
$
237,376



(1) - As provisions for rebates, administrative fees and others represent both contra-receivables and current liabilities, depending on the method of settlement, the cumulative provision relating to rebates, administrative fees and others is bifurcated as applicable based on the associated consolidated balance sheet classification. Accordingly, for the years ended December 31, 2017, 2016 and 2015, an additional $60.5 million, $79.7 million and $71.7 million, respectively, of provision was associated with administrative fees and others.