Material Contracts with Suppliers

12 Months Ended

Jun. 30, 2019

Material Contracts with Suppliers

Material Contracts with Suppliers

Note 20.  Material Contracts with Suppliers

Jerome Stevens Pharmaceuticals Distribution Agreement:

The Company’s primary finished goods inventory supplier through March 23, 2019 was JSP, in Bohemia, New York.  Purchases of finished goods inventory from JSP accounted for 29%,  37% and 36% of the Company’s inventory purchases in the fiscal years ending June 30, 2019, 2018 and 2017, respectively.

On August 19, 2013, the Company entered into an agreement with JSP to extend its initial contract to continue as the exclusive distributor in the United States of three JSP products: Butalbital, Aspirin, Caffeine with Codeine Phosphate Capsules USP; Digoxin Tablets USP; and Levothyroxine Sodium Tablets USP.  The amendment to the original agreement extended the initial contract, which was due to expire on March 22, 2014, for five years through March 2019.  On March 23, 2019, the JSP Distribution Agreement expired and was not renewed or extended.