SEC Filings

10-K
ARRAY BIOPHARMA INC filed this Form 10-K on 08/11/2017
Entire Document
 

NOTE 5 – COLLABORATION AND OTHER AGREEMENTS

The following table summarizes our total revenues for the periods indicated (in thousands):
 
 
Year Ended June 30,
 
 
2017
 
2016
 
2015
 
 
 
 
 
 
 
Novartis (1)
 
$
108,997

 
$
110,930

 
$
8,220

Loxo
 
16,359

 
$
12,635

 
9,223

Pierre Fabre
 
11,288

 
3,724

 

Mirati
 
4,501

 
3,557

 
1,200

Asahi Kasei
 
3,519

 
600

 

Genentech
 
3,000

 
24

 
367

Roche
 
2,500

 

 

Ono
 
306

 

 

Celgene
 
18

 
3,126

 
4,132

Biogen Idec
 

 
2,816

 
4,593

Cascadian Therapeutics (previously known as Oncothyreon Inc.)
 
144

 
183

 
21,955

Other partners
 
220

 
284

 
2,219

Total revenue
 
$
150,852

 
$
137,879

 
$
51,909

                                       
 
 
 
 
 
 
(1) Includes $107.2 million and $107.3 million of reimbursement revenue consisting of FTE and out-of-pocket costs that are reimbursable by Novartis under the Novartis Agreements during the years ended June 30, 2017 and 2016, respectively. All other prior year amounts represent the amortization of the up-front and milestone payments under the April 2010 License Agreement with Novartis that was terminated on the Effective Date of the Binimetinib and Encorafenib Agreements in March 2015.

Novartis International Pharmaceutical Ltd.
 
Array entered into a License Agreement with Novartis in April 2010, which granted Novartis the exclusive worldwide right to develop and commercialize binimetinib, as well as other specified MEK inhibitors. Array regained these rights and the 2010 License Agreement terminated on the Effective Date of the Binimetinib Agreement in March 2015, as discussed in Note 3 - Binimetinib and Encorafenib Agreements. As a result, our co-development liability under the License Agreement described below, and any receivables from Novartis then outstanding under the License Agreement, were eliminated as of the Effective Date.

In consideration for the rights granted to Novartis under the prior License Agreement, we received an aggregate of $60.0 million in an up-front fee and in milestone payments between the fourth quarter of fiscal 2010 and the first quarter of fiscal 2014. We recognized the up-front fee and milestone payments under the License Agreement on a straight-line basis from April 2010 through April 2014.

Co-Development Arrangement

The License Agreement contained co-development rights whereby we could elect to pay a share of the combined total development costs, subject to a maximum amount with annual caps. During the first two years of the co-development, Novartis reimbursed us for 100% of our development costs. We began to pay our share of the combined development costs that had accrued since inception of the program, with payments to Novartis of $9.2 million and $11.3 million in the second quarters of fiscal 2013 and fiscal 2014, respectively, in accordance with the terms of the License Agreement. During fiscal 2014, we committed to continue our co-development contribution through fiscal 2015. We continued to record an estimate of our co-development liability under the License Agreement until our liability terminated upon the Effective Date of the Binimetinib Agreement as discussed in Note 3 - Binimetinib and Encorafenib Agreements. Our co-development liability was $28.3 million as of the Effective Date of the Binimetinib Agreement and was $0 as of June 30, 2015 and subsequent periods.
 

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