Property, Plant and Equipment

12 Months Ended

Dec. 31, 2019

Property, Plant and Equipment [Abstract]

Property, plant and equipment consists of the following (in thousands):



	December 31,
	2019			2018
Building and leasehold improvements	$	93,097		$	77,771
Laboratory equipment	36,623			33,806
Computer equipment and software	26,910			23,395
Manufacturing equipment	22,030			21,339
Furniture, fixtures, and other	9,662			7,959
Depreciable property, plant and equipment at cost	188,322			164,270
Less: accumulated depreciation	(127,875		)	(120,507		)
Depreciable property, plant and equipment, net	60,447			43,763
Construction-in-progress	4,552			5,088
Property, plant and equipment, net	$	64,999		$	48,851

Building and leasehold improvements include our manufacturing, research and development and administrative facilities and the related improvements to these facilities. Our leasehold improvements increased significantly during the year ended December 31, 2019 due to the construction of leasehold improvements for our new facilities on Third Street as further described in Note 6. Laboratory and manufacturing equipment include assets that support both our manufacturing and research and development efforts. Construction-in-progress includes assets being built to enhance our manufacturing and research and development efforts.

Depreciation and amortization expenses on property, plant and equipment for the years ended December 31, 2019, 2018, and 2017 was $11.0 million, $8.8 million, and $12.6 million, respectively.

In November 2017, Bayer announced that the Phase 3 Amikacin Inhale clinical program did not meet its primary endpoint or key secondary endpoints and, in December 2017, Bayer terminated our related collaboration agreement. Under this collaboration, we were responsible for the development, manufacturing and supply of our proprietary nebulizer device included in the Amikacin product and had acquired specific manufacturing equipment for this purpose. As a result of the termination of the program, in the three months ended December 2017, we expensed program specific manufacturing equipment with an original cost of $23.4 million and a net book value of $15.1 million. We completed the disposal of this equipment in the first quarter of 2018. In addition, in the three months ended December 31, 2017, we incurred approximately $0.9 million of other program termination costs related to our manufacturing obligations.