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Development and License Agreement
12 Months Ended
Dec. 31, 2012
License Agreement With The Procter And Gamble Company And Its Wholly Owned Subsidiary The Gillette Company [Abstract]  
License Agreement with The Procter & Gamble Company (and its wholly owned subsidiary The Gillette Company)
Note 9 – License Agreement with The Procter & Gamble Company (and its wholly owned subsidiary The Gillette Company)
On December 9, 2010, we announced an amendment to the License Agreement with Procter & Gamble ("P&G") and Gillette. The amendment provided additional funding from each company to meet the common goal of a successful product launch. The amendment did not change the scope of P&G's non-exclusive license to Palomar's broad patent portfolio as well as its non-exclusive license to the extensive technology developed by Palomar prior to February 28, 2008 for home-use, light-based hair removal devices for women.  Under the amended License Agreement, the parties agreed to reduce pre-commercial launch quarterly technology transfer payments ("TTP Quarterly Payments" as defined in the License Agreement) from $1.25 million to $1.0 million for the calendar quarter ending December 31, 2010 and thereafter the TTP Quarterly Payments would be $2.0 million per year for an agreed period, after which the payments would return to $1.25 million per calendar quarter if no product has been launched. P&G was to apply the savings, together with agreed minimum overall program funding, to accelerating product readiness and commercialization while Palomar will be paid an increased percentage of sales after commercial launch.   The TTP Quarterly Payments under the amended license agreement were being recognized ratably through the expected launch term.
During the second quarter of 2012, P&G launched a light-based hair removal product and paid us an Additional TTP Quarterly Payment (as defined in the License Agreement) of $1.0 million.  Starting in the third quarter of 2012 and going forward, P&G has made and will continue to make post-launch technology transfer payments based on a percentage of net sales of its light-based hair removal product which will be recognized in the period received.
For the years ended December 31, 2012, 2011, and 2010, we recognized $1.3 million, $2.2 million, and $4.3 million of other revenues from P&G, respectively.
As of December 31, 2012 and December 31, 2011, there were $0 and $0.2 million of advance payments, respectively received from P&G for which services were not yet provided and were included in deferred revenue.