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Document And Entity Information - shares	6 Months Ended
Document And Entity Information - shares	Jun. 30, 2013	Jul. 31, 2013
Document Information [Line Items]
Entity Registrant Name	ANI PHARMACEUTICALS INC
Entity Central Index Key	0001023024
Document Type	10-Q
Document Period End Date	Jun. 30, 2013
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Accelerated Filer
Trading Symbol	ANIP
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	Q2
Class C special stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		10,868
Common stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		9,536,079

Condensed Balance Sheets - USD ($)	Jun. 30, 2013	Dec. 31, 2012
Current Assets
Cash and cash equivalents	$ 12,594,927	$ 11,028
Restricted cash	2,260,100	0
Accounts receivable, net	6,427,506	5,432,401
Inventories, net	2,584,686	2,809,685
Prepaid expenses	251,765	313,193
Total Current Assets	24,118,984	8,566,307
Property and Equipment
Land	86,949	86,949
Buildings	3,682,006	3,682,006
Machinery, furniture and equipment	3,724,427	3,564,948
Construction in progress	176,276	208,069
Property, Plant and Equipment, Gross, Total	7,669,658	7,541,972
Less: accumulated depreciation	2,928,928	2,662,799
Total Property and Equipment, net	4,740,730	4,879,173
Other Assets
Intangible assets, net	10,960,000	85,000
Goodwill	1,838,309	0
Deferred loan costs, net	0	217,290
Total Other Assets	12,798,309	302,290
Total Assets	41,658,023	13,747,770
Current Liabilities
Accounts payable	1,634,788	1,993,567
Accrued expenses	1,039,393	555,635
Returned goods reserve	349,763	410,992
Deferred revenue	46,712	314,794
Borrowings under line of credit	0	4,065,307
Accrued compensation	2,726,167	21
Current liabilities, discontinued operation	366,390	370,766
Total Current Liabilities	6,163,213	7,711,082
Commitments and Contingencies (Note 10)
Stockholders' Equity/(Deficit)
Additional paid-in capital	89,021,927	1,083,431
Accumulated deficit	(53,095,509)	(43,798,333)
Treasury stock; 59,093 shares of common stock, at cost, on June 30, 2013	(432,562)	0
Total Stockholders' Equity/(Deficit)	35,494,810	(42,714,495)
Total Liabilities and Stockholders' Equity/(Deficit)	41,658,023	13,747,770
Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock	0	48,751,183
Series A Preferred Stock \| Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock	0	11,579,126
Series B Preferred Stock \| Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock	0	10,560,082
Series C Preferred Stock \| Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock	0	4,814,735
Series D Preferred Stock \| Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock
Redeemable Convertible Preferred Stock	0	21,797,240
Common Stock $0.0001 Par Value
Stockholders' Equity/(Deficit)
Common Stock Value	954	407
Common Stock $0.0001 Par Value
Stockholders' Equity/(Deficit)
Common Stock Value	$ 0	$ 0

Condensed Balance Sheets (Parenthetical) - USD ($)	6 Months Ended	12 Months Ended
Condensed Balance Sheets (Parenthetical) - USD ($)	Jun. 30, 2013	Dec. 31, 2012
Treasury Stock, Shares	59,093
Series A Preferred Stock
Preferred Stock, Dividend Rate, Percentage	10.00%	10.00%
Redeemable Convertible Preferred Stock Par Value Per Share	$ 0.10	$ 0.10
Redeemable Convertible Preferred Stock Stated Value Per Share	$ 100	$ 100
Redeemable Convertible Preferred Stock Authorized Shares	0	108,494
Redeemable Convertible Preferred Stock Issued Shares	0	102,774
Redeemable Convertible Preferred Stock Outstanding Shares	0	102,774
Redeemable Convertible Preferred Stock Cumulative Dividends		$ 2,186,326
Series B Preferred Stock
Preferred Stock, Dividend Rate, Percentage	10.00%	10.00%
Redeemable Convertible Preferred Stock Par Value Per Share	$ 0.10	$ 0.10
Redeemable Convertible Preferred Stock Stated Value Per Share	$ 110	$ 110
Redeemable Convertible Preferred Stock Authorized Shares	0	118,915
Redeemable Convertible Preferred Stock Issued Shares	0	78,491
Redeemable Convertible Preferred Stock Outstanding Shares	0	78,491
Redeemable Convertible Preferred Stock Cumulative Dividends		$ 1,836,734
Series C Preferred Stock
Preferred Stock, Dividend Rate, Percentage	12.00%	12.00%
Redeemable Convertible Preferred Stock Par Value Per Share	$ 0.10	$ 0.10
Redeemable Convertible Preferred Stock Stated Value Per Share	$ 110	$ 110
Redeemable Convertible Preferred Stock Authorized Shares	0	37,956
Redeemable Convertible Preferred Stock Issued Shares	0	34,810
Redeemable Convertible Preferred Stock Outstanding Shares	0	34,810
Redeemable Convertible Preferred Stock Cumulative Dividends		$ 994,471
Series D Preferred Stock
Preferred Stock, Dividend Rate, Percentage	10.00%	10.00%
Redeemable Convertible Preferred Stock Par Value Per Share	$ 0.10	$ 0.10
Redeemable Convertible Preferred Stock Stated Value Per Share	$ 30	$ 30
Redeemable Convertible Preferred Stock Authorized Shares	0	3,400,000
Redeemable Convertible Preferred Stock Issued Shares	0	2,375,312
Redeemable Convertible Preferred Stock Outstanding Shares	0	2,375,312
Redeemable Convertible Preferred Stock Cumulative Dividends		$ 4,184,858
Common Stock $0.0001 Par Value
Common Stock, Par Value (in dollars per share)	$ 0.0001	$ 0.0001
Common Stock, Authorized Shares	33,333,334	33,333,334
Common Stock, Issued Shares	9,536,079	4,070,373
Common Stock, Outstanding Shares	9,536,079	4,070,373
Class C special stock
Common Stock, Par Value (in dollars per share)	$ 0.0001	$ 0.0001
Common Stock, Authorized Shares	781,281	781,281
Common Stock, Issued Shares	10,868	10,868
Common Stock, Outstanding Shares	10,868	10,868

Condensed Statements of Operations - USD ($)	3 Months Ended		6 Months Ended
Condensed Statements of Operations - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Net Revenues	$ 6,151,539	$ 5,186,793	$ 11,713,448	$ 10,013,595
Operating Expenses
Cost of sales (excluding depreciation and amortization)	2,098,540	2,118,922	4,437,076	3,970,604
Salaries and benefits	5,713,504	1,128,857	6,970,572	2,224,760
Freight	72,777	88,072	142,773	162,192
Research and development	437,184	209,875	733,564	488,076
Selling, general and administrative	1,457,845	914,004	2,510,448	1,704,895
Depreciation and amortization	146,523	140,639	291,129	281,279
Total Operating Expenses	9,926,373	4,600,369	15,085,562	8,831,806
Operating (Loss)/Income from Continuing Operations	(3,774,834)	586,424	(3,372,114)	1,181,789
Other Expense
Interest expense	(374,476)	(501,002)	(466,902)	(1,157,912)
Other expense	(433,956)	(50,000)	(483,956)	(99,400)
Net (Loss)/Income from Continuing Operations Before Income Tax Benefit	(4,583,266)	35,422	(4,322,972)	(75,523)
Income tax benefit	0	0	0	40,380
Net (Loss)/Income from Continuing Operations	(4,583,266)	35,422	(4,322,972)	(35,143)
Discontinued Operations
Gain on discontinued operations, net of tax	0	0	0	61,257
Net (Loss)/Income	(4,583,266)	35,422	(4,322,972)	26,114
Computation of Income/(Loss) from Continuing Operations Attributable to Common Stockholders:
Net (Loss)/income from Continuing Operations	(4,583,266)	35,422	(4,322,972)	(35,143)
Preferred stock dividends	(2,370,028)	(1,139,126)	(4,974,199)	(1,799,057)
Loss from Continuing Operations Attributable to Common Stockholders	$ (6,953,294)	$ (1,103,704)	$ (9,297,171)	$ (1,834,200)
Basic and Diluted Loss Per Share:
Continuing operations (in dollars per share)	$ (6.02)	$ (1,644.86)	$ (15.98)	$ (4,715.17)
Discontinued operation (in dollars per share)	0	0	0	157.47
Basic and Diluted Loss Per Share (in dollars per share)	$ (6.02)	$ (1,644.86)	$ (15.98)	$ (4,557.70)
Basic and Diluted Weighted-Average Shares Outstanding (in shares)	1,155,093	671	581,853	389

Condensed Statements of Cash Flows - USD ($)	6 Months Ended
Condensed Statements of Cash Flows - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Cash Flows From Operating Activities
Net loss from continuing operations	$ (4,322,972)	$ (35,143)
Adjustments to reconcile net loss to net cash and cash equivalents used in operating activities:
Depreciation and amortization	291,129	281,279
Non-cash interest relating to convertible debt and loan cost amortization	217,290	1,053,450
Non-cash compensation relating to business combination	4,418,524	0
Changes in operating assets and liabilities, net of those acquired in business combination:
Accounts receivable	(995,105)	(32,061)
Inventories	224,999	(587,559)
Prepaid expenses	140,688	29,549
Accounts payable	(358,779)	69,863
Accrued expenses, returned goods reserve and deferred revenue	(599,386)	(172,926)
Net Cash and Cash Equivalents (Used in)/Provided by Continuing Operations	(983,612)	606,452
Net Cash Used in Discontinued Operation	(4,376)	(50,554)
Net Cash and Cash Equivalents (Used in)/Provided by Operating Activities	(987,988)	555,898
Cash Flows From Investing Activities
Cash acquired in business combination	18,197,442	0
Acquisition of property and equipment, net of disposals	(127,686)	(69,096)
Net Cash and Cash Equivalents Provided by/(Used in) Investing Activities	18,069,756	(69,096)
Cash Flows From Financing Activities
(Repayments)/borrowings under line of credit, net	(4,065,307)	193,566
Payment of debt issuance costs	0	(260,748)
Treasury stock purchases	(432,562)	0
Net Cash and Cash Equivalents Used in Continuing Operations	(4,497,869)	(67,182)
Net Cash Used in Discontinued Operation	0	(300,000)
Net Cash and Cash Equivalents Used in Financing Activities	(4,497,869)	(367,182)
Change in Cash and Cash Equivalents	12,583,899	119,620
Cash and cash equivalents, beginning of period	11,028	0
Cash and cash equivalents, end of period	12,594,927	119,620
Supplemental disclosure for cash flow information:
Cash paid for interest	249,612	104,462
Supplemental non-cash investing and financing activities:
Issuance Of Common Stock In Business Combination	40,033,695	0
Exchange of Series D, Series C, Series B, Series A, and common stock	57,296,106	0
Acquired intangibles	10,900,000	0
Acquired goodwill	1,838,309	0
Acquired restricted cash	2,260,100	0
Other acquired tangible assets	79,261	0
Assumed liabilities	3,479,979	0
Preferred stock dividends	4,974,199	1,799,057
Issuance of common and preferred stock upon cashless warrant exercise	0	4,984
Issuance of preferred stock upon convertible debt conversion	$ 0	$ 17,609,646

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

6 Months Ended

Jun. 30, 2013

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Overview

ANI Pharmaceuticals, Inc. (the “Company” ) is a specialty pharmaceutical company, developing and marketing generic and branded prescription products. In two facilities located in Baudette, Minnesota, with combined manufacturing, packaging and laboratory capacity totaling 173,000 sq. ft., the Company manufactures oral solid dose products, as well as liquids and topicals, including those that must be manufactured in a fully contained environment due to their potency and/or toxicity. The Company also performs contract manufacturing for other pharmaceutical companies.

On June 19, 2013, BioSante Pharmaceuticals, Inc. (“BioSante”) acquired ANIP Acquisition Company (“ANIP”) in an all-stock, tax-free reorganization (Note 2), in which ANIP became a wholly-owned subsidiary of BioSante. BioSante was renamed ANI Pharmaceuticals, Inc. The Merger was accounted for as a reverse acquisition pursuant to which ANIP was considered the acquiring entity for accounting purposes. As such, ANIP's historical results of operations replace BioSante's historical results of operations for all periods prior to the Merger. The results of operations of both companies will be included in the Company’s financial statements for all periods after completion of the Merger.

The Company's operations are subject to certain risks and uncertainties including, among others, current and potential competitors with greater resources, dependence on significant customers, lack of operating history and uncertainty of future profitability and possible fluctuations in financial results. The accompanying unaudited condensed consolidated financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates continuity of operations, realization of assets, and satisfaction of liabilities in the ordinary course of business. The propriety of using the going-concern basis is dependent upon, among other things, the achievement of future profitable operations, the ability to generate sufficient cash from operations, and potential other funding sources, including cash on hand, to meet the Company’s obligations as they become due. Management believes the going-concern basis is appropriate for the accompanying unaudited condensed consolidated financial statements based on its current operating plan through June 30, 2014.

Basis of Presentation

The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP ”). In the opinion of management, the accompanying unaudited interim condensed consolidated financial statements include all adjustments, consisting of normal recurring adjustments, which are necessary to present fairly the Company ’s financial position, results of operations and cash flows. The condensed consolidated balance sheet at December 31, 2012, has been derived from audited financial statements of that date. The interim condensed consolidated results of operations are not necessarily indicative of the results that may occur for the full fiscal year. Certain information and footnote disclosure normally included in financial statements prepared in accordance with US GAAP have been omitted pursuant to instructions, rules and regulations prescribed by the instructions to Form 10-Q and Article 10 of Regulation S-X of the United States Securities and Exchange Commission. Management believes that the disclosures provided herein are adequate to make the information presented not misleading when these condensed consolidated financial statements are read in conjunction with the audited financial statements and notes previously distributed in the Company’s annual report on Form 10-K for the year ended December 31, 2012 and proxy statement/prospectus filed on May 8, 2013. Certain prior period information has been reclassified to conform to the current period presentation.

Principles of consolidation

The condensed consolidated financial statements include the accounts of ANI Pharmaceuticals, Inc. and its wholly-owned subsidiary, ANIP. All significant inter-company accounts and transactions are eliminated in consolidation.

Use of Estimates

The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period. In the accompanying unaudited condensed consolidated financial statements, estimates are used for, but not limited to, stock-based compensation, allowance for doubtful accounts, accruals for chargebacks, returns and other allowances, allowance for inventory obsolescence, valuation of derivative liabilities, allowances for contingencies and litigation, deferred tax valuation allowance , and the depreciable lives of fixed assets. Actual results could differ from those estimates.

Credit Concentration

The Company ’s customers are primarily pharmaceutical companies, wholesale distributors, chain drug stores, and group purchasing organizations.

During the three months ended June 30, 2013, three customers represented 41%, 21%, and 7% of net revenues, respectively. During the six months ended June 30, 2013, the same three customers represented approximately 25%, 15%, and 14% of net revenues, respectively. As of June 30, 2013, accounts receivable from these customers totaled $5,007,910. During the three months ended June 30, 2012, three customers represented 35%, 29%, and 4% of net revenues, respectively. During the six months ended June 30, 2012, the same three customers represented approximately 24%, 19%, and 7% of net revenues, respectively.

Vendor Concentration

During the three months ended June 30, 2013, the Company purchased approximately 28% of total costs of goods sold from three suppliers. During the six months ended June 30, 2013, the Company purchased approximately 35% of total costs of goods sold from three suppliers. As of June 30, 2013, amounts payable to these suppliers totaled $176,757. During the three months ended June 30, 2012, the Company purchased approximately 80% of total costs of goods sold from three suppliers. During the six months ended June 30, 2012, the Company purchased approximately 62% of total costs of goods sold from three suppliers.

Revenue Recognition

Revenue is recognized for product sales upon passing of risk and title to the customer, when estimates of discounts, rebates, promotional adjustments, price adjustments, returns, chargebacks, and other potential adjustments are reasonably determinable, collection is reasonably assured, and the Company has no further performance obligations. These estimates reduce gross revenues to net revenues in the accompanying unaudited condensed consolidated statements of operations, and are presented as current liabilities or reductions in accounts receivable in the accompanying unaudited condensed consolidated balance sheets.

Cash and Cash Equivalents

For purposes of the accompanying unaudited condensed consolidated Statements of Cash Flows, the Company considers all highly liquid instruments with maturities of three months or less from the date of purchase to be cash equivalents. All interest bearing and non-interest bearing accounts are guaranteed by the FDIC up to $250,000. The Company may maintain cash balances in excess of FDIC coverage. Management considers this to be a normal business risk.

In conjunction with the Merger, the Company acquired restricted cash, which will be paid out in satisfaction of certain severance liabilities assumed in the Merger (Note 2).

Accounts Receivable

The Company extends credit to customers on an unsecured basis. The Company uses the allowance method to provide for doubtful accounts based on management ’s evaluation of the collectability of accounts receivable , where by the Company provides an allowance for doubtful accounts equal to the estimated uncollectible amounts. Management’s estimate is based on historical collection experience and a review of the current status of trade accounts receivable. The Company determines trade receivables to be delinquent when th ey are greater than 30 days past due. Receivables are written off when it is determined that amounts are uncollectible. Management determined that no allowance for doubtful accounts was necessary as of June 30, 2013 and December 31, 2012.

Accruals for Chargebacks, Returns and Other Allowances

The Company’s generic and branded product revenues are typically subject to agreements with customers allowing chargebacks, product returns, administrative fees, and other rebates and prompt payment discounts. The Company accrues for these items at the time of sale and continually monitors and re-evaluates the accruals as additional information becomes available. The Company makes adjustments to the accruals at the end of each reporting period, to reflect any such updates to the relevant facts and circumstances.

The following table summarizes activity in the balance sheet for accruals and allowances for the six months ended June 30, 2013 and 2012, respectively:

					Administrative		Prompt
					Fees and Other		Payment
	Chargebacks		Returns		Rebates		Discounts
Balance at January 1, 2013	$	5,661,974	$	410,992	$	230,575	$	241,840
Accruals/adjustments		12,182,822		853,307		850,616		430,549
Credits taken against reserve		(13,002,416)		(914,536)		(552,937)		(449,197)
Balance at June 30, 2013	$	4,842,380	$	349,763	$	528,254	$	223,192

					Administrative		Prompt
					Fees and Other		Payment
	Chargebacks		Returns		Rebates		Discounts
Balance at January 1, 2012	$	3,680,838	$	252,045	$	238,195	$	166,439
Accruals/adjustments		9,708,956		291,602		493,945		323,914
Credits taken against reserve		(8,767,115)		(245,057)		(473,674)		(247,665)
Balance at June 30, 2012	$	4,622,679	$	298,590	$	258,466	$	242,688

Inventories

Inventories consist of raw materials, packaging materials, work-in-progress, and finished goods. Inventories are stated at the lower of cost or net realizable value. The Company values inventory at standard cost. The Company reviews and adjusts standard costs periodically and its inventory, as valued, approximates weighted average cost.

Property and Equipment

Property and equipment are recorded at cost. Expenditures for repairs and maintenance are charged to expense as incurred. Depreciation is recorded on a straight-line basis over estimated useful lives as follows:

Buildings and improvements	20-40 years
Machinery, furniture and equipment	3-10 years

Construction in progress includes the cost of construction and other direct costs attributable to the construction, along with capitalized interest, if any. Depreciation is not recorded on construction in progress until such time as the assets are placed in service. During the six months ended June 30, 2013 and the year ended December 31, 2012, there was no material interest capitalized into construction in progress.

Depreciation expense for the three-month periods ended June 30, 2013 and 2012 totaled $134,023 and $128,139, respectively. Depreciation expense for the six-month periods ended June 30, 2013 and 2012 totaled $266,129 and $256,279, respectively.

Management reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of the long-lived asset is measured by a comparison of the carrying amount of the asset to future undiscounted net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the estimated fair value of the assets. Assets held for disposal are reportable at the lower of the carrying amount or fair value, less costs to sell. Management determined that no assets were impaired and no assets were held for disposal as of June 30, 2013 and December 31, 2012.

Income Taxes

The Company uses the asset and liability method of accounting for income taxes. Deferred tax assets and liabilities are determined based on differences between the financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that are expected to be in effect when the differences are expected to reverse. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the period that such tax rate changes are enacted. The measurement of a deferred tax asset is reduced, if necessary, by a valuation allowance if it is more likely than not that some portion or all of the deferred tax asset will not be realized. For interim periods, the Company recognizes an income tax provision (benefit) based on its estimated annual effective tax rate expected for the entire year.

Management uses a recognition threshold and a measurement attribute for the financial statement recognition and measurement of tax positions taken or expected to be taken in a tax return, as well as guidance on derecognition, classification, interest and penalties and financial statement reporting disclosures. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. The Company has not identified any uncertain income tax positions that could have a material impact on the financial statements. The Company is subject to taxation in various jurisdictions and remains subject to examination by taxing jurisdictions for the years 1998 and all subsequent periods due to the availability of net operating loss carryforwards.

The Company recognizes interest and penalties accrued on any unrecognized tax exposures as a component of income tax expense. The Company did not have any amounts accrued relating to interest and penalties as of June 30, 2013 and December 31, 2012.

The Company considers potential tax effects resulting from discontinued operations and records intra-period tax allocations, when those effects are deemed material.

Income (Loss) per Share

Basic income (loss) per share is calculated by dividing net income (loss) less preferred stock dividends by the weighted-average number of shares of common stock outstanding during the period.

For periods of net income, and when the effects are not anti-dilutive, diluted earnings per share is computed by dividing net income by the weighted-average number of shares of common stock outstanding plus the impact of all potential dilutive common shares, consisting primarily of stock purchase warrants and common stock options using the treasury stock method.

For periods of net loss, diluted loss per share is calculated similarly to basic loss per share because the impact of all dilutive potential common shares is anti-dilutive due to the net losses.

The number of anti-dilutive shares, consisting of Class C Special stock, common stock options, and warrants exercisable for common stock (and prior to the Merger, warrants exercisable for preferred stock, convertible debt, and convertible preferred stock,) which have been excluded from the computation of diluted loss per share for the three-month periods ended June 30, 2013 and 2012, were 253,420 and 80,224, respectively. The number of anti-dilutive shares, consisting of Class C Special stock, common stock options, and warrants exercisable for common stock, (and prior to the Merger, warrants exercisable for preferred stock, convertible debt, and convertible preferred stock), which have been excluded from the computation of diluted loss per share for the six-month periods ended June 30, 2013 and 2012, were 250,646 and 51,205 , respectively.

As of June 30, 2013, the Company had 38,270 common stock options and 125,624 warrants (exercisable for common stock) outstanding.

Stock Splits

In July 2013, the Company's Board of Directors and stockholders approved a resolution to effect a one-for-six reverse stock split of the Company's common stock and Class C Special stock with no corresponding change to the par value. The number of authorized shares of common stock, Class C Special stock and blank check preferred stock was reduced proportionally. Common stock and Class C Special share numbers for all periods presented have been adjusted retrospectively to reflect the one-for-six reverse stock split.

Redeemable Convertible Preferred Stock

The carrying value of the Company’s redeemable convertible preferred stock was increased by the accretion of any related discounts and accrued but unpaid dividends so that the carrying amount would equal the redemption amount at the dates the stock became redeemable. The Company’s Series A, B, C and D preferred stock was redeemable at the option of the holders, subject to certain additional requirements. All of the Company’s Series D preferred stock was exchanged for shares of BioSante common stock and all of the Company’s Series A, B and C preferred stock were canceled in conjunction with the Merger (Note 2).

Segment Information

The Company currently operates in a single business segment.

Recent Accounting Pronouncements

The Company has evaluated all issued and unadopted Accounting Standards Updates and believes the adoption of these standards will not have a material impact on its results of operations, financial position, or cash flows.

BUSINESS COMBINATION

6 Months Ended

Jun. 30, 2013

BUSINESS COMBINATION

BUSINESS COMBINATION

BUSINESS COMBINATION

Summary

On June 19, 2013, BioSante acquired ANIP in an all-stock, tax-free reorganization. The Company is operating under the leadership of the ANIP management team and the board of directors is comprised of two former directors from BioSante and five former ANIP directors.

BioSante issued to ANIP stockholders shares of BioSante common stock such that the ANIP stockholders owned 57 percent of the combined company’s shares outstanding, and the former BioSante stockholders owned 43 percent. In addition, immediately prior to the Merger, BioSante distributed to its then current stockholders contingent value rights (“CVR”) providing payment rights arising from a future sale, transfer, license or similar transaction(s) involving BioSante’s LibiGel^® (female testosterone gel).

The Merger was accounted for as a reverse acquisition pursuant to which ANIP was considered the acquiring entity for accounting purposes. As such, ANIP's historical results of operations replace BioSante's historical results of operations for all periods prior to the Merger. BioSante, the accounting acquiree, was a pharmaceutical company focused on developing high value, medically-needed products. ANIP entered into the Merger to secure additional capital and gain access to capital market opportunities as a public company.

The results of operations of both companies will be included in the Company’s financial statements for all periods after completion of the Merger.

Transaction Costs

In conjunction with the Merger, the Company incurred approximately $6.6 million in transaction costs, which were expensed in the periods in which they were incurred. Costs incurred through June 30, 2013, include:

Category
Legal fees	$	1,166,894
Accounting fees		118,374
Consulting fees		99,448
Monitoring and advisory fees		390,000
Transaction bonuses		4,501,364
Other		311,075
Total transaction costs	$	6,587,155

Of the total expenses, $928,695 was incurred and expensed in 2012 and $5,658,460 was incurred and expensed in the six months ended June 30, 2013.

Purchase Consideration and Net Assets Acquired

The fair value of BioSante’s common stock used in determining the purchase price was $1.22 per share, the closing price on June 19, 2013. The fair value of the vested BioSante stock options was not material. The following presents the preliminary allocation of the purchase consideration to the assets acquired and liabilities assumed on June 19, 2013:

Fair value of BioSante shares outstanding	$	29,795,133
Estimated fair value of vested BioSante stock options		-
Total purchase consideration	$	29,795,133

Assets acquired
Cash and cash equivalents	$	18,197,442
Restricted cash		2,260,100
Teva license intangible asset		10,900,000
Other tangible assets		79,261
Deferred tax assets, net		-
Goodwill		1,838,309
Total assets		33,275,112
Liabilities assumed
Accrued severance		2,964,962
Other liabilities		515,017
Total liabilities		3,479,979
Total net assets acquired	$	29,795,133

The above allocation of the purchase price is based upon certain preliminary valuations and other analyses that have not been completed as of the date of this filing. Any changes in the estimated fair values of the net assets recorded for this business combination upon the finalization of more detailed analyses of the facts and circumstances that existed at the date of the transaction will change the allocation of the purchase price. As such, the purchase price allocations for this transaction are preliminary estimates, which are subject to change within the measurement period. Any subsequent changes to the purchase allocation that are material will be adjusted retrospectively.

The Teva license will be amortized on a straight-line basis over its estimated useful life of 11 years. Goodwill, which is not tax deductible since the transaction was structured as a tax-free exchange, is considered an indefinite-lived asset and relates primarily to intangible assets that do not qualify for separate recognition.

Former BioSante operations did not generate any revenue or expense from the acquisition date through June 30, 2013.

Pro Forma Condensed Combined Financial Information (unaudited)

The following unaudited pro forma condensed combined financial information summarizes the results of operations for the periods indicated as if the Merger had been completed as of January 1, 2012. Pro forma information reflects adjustments relating to (i) elimination of the interest on ANIP’s senior and convertible debt, (ii) elimination of monitoring and advisory fees payable to two ANIP investors, (iii) elimination of transaction costs, and (iv) amortization of intangibles acquired. The pro forma amounts do not purport to be indicative of the results that would have actually been obtained if the Merger had occurred as of January 1, 2012 or that may be obtained in the future.

	Three months ended June 30,				Six months ended June 30,
	2013		2012		2013		2012
Net revenues	$	6,151,539	$	5,295,573	$	11,858,488	$	10,236,375
Net loss	$	(3,352,015)	$	(6,922,844)	$	(4,870,433)	$	(16,655,470)

- Definition

The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable).

+ References

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+ Details

ACCOUNTS RECEIVABLE

6 Months Ended

Jun. 30, 2013

ACCOUNTS RECEIVABLE

ACCOUNTS RECEIVABLE

3.	ACCOUNTS RECEIVABLE

Accounts receivable consist of the following as of:

	June 30, 2013		December 31, 2012
Accounts receivable, gross	$	12,011,332	$	11,556,510
Adjustments for chargebacks and other allowances		(5,583,826)		(6,124,109)
Accounts receivable, net	$	6,427,506	$	5,432,401

- Definition

The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses.

+ References + Details

INVENTORIES

6 Months Ended

Jun. 30, 2013

INVENTORIES

INVENTORIES

4.	INVENTORIES

Inventories consist of the following as of:

	June 30, 2013		December 31, 2012
Raw materials	$	1,313,288	$	974,967
Packaging materials		586,833		584,654
Work-in-progress		107,752		374,257
Finished goods		659,343		890,683
		2,667,216		2,824,561
Reserve for excess/obsolete inventories		(82,530)		(14,876)
Inventories, net	$	2,584,686	$	2,809,685

GOODWILL AND INTANGIBLE ASSETS

6 Months Ended

Jun. 30, 2013

GOODWILL AND INTANGIBLE ASSETS

GOODWILL AND INTANGIBLE ASSETS

GOODWILL AND INTANGIBLE ASSETS

Goodwill

As a result of the Merger (Note 2), the Company recorded goodwill of $1,838,309. The Company conducts an impairment test of goodwill on an annual basis as of October 31 of each year. The Company also conduct tests if events occur or circumstances change that would, more likely than not, reduce the fair value of the Company below its carrying value. No such triggering events were identified during the period from the date of the Merger to June 30, 2013 and therefore no impairment loss was recognized as of June 30, 2013.

Intangible Assets

The components of net intangible assets are as follows:

	June 30, 2013				December 31, 2012
	Gross Carrying		Accumulated		Gross Carrying			Accumulated	Amortization
	Amount		Amortization		Amount		Amortization		Period
Acquired ANDA intangible asset	$	60,000	$	-	$	60,000	$	-		3 years
Reglan® intangible asset		100,000		(100,000)		100,000		(75,000)		2 years
Teva license intangible asset		10,900,000		-		-		-		11 years
	$	11,060,000	$	(100,000)	$	160,000	$	(75,000)

Intangible assets are stated at the lower of cost or fair value, net of amortization using the straight line method over the expected useful lives of the product rights, once the related products begin to sell. Amortization expense was $12,500 for each of the three-month periods ended June 30, 2013 and 2012. Amortization expense was $25,000 for each of the six-month periods ended June 30, 2013 and 2012. Amortization expense relating to the Teva license intangible asset for the period from date of the Merger to June 30, 2013 was insignificant.

The Company tests for impairment of intangible assets as of October 31 of each year and when events or circumstances indicate that the carrying value of the assets may not be recoverable. No such triggering events were identified during the period from the date of the Merger to June 30, 2013 and therefore no impairment loss was recognized as of June 30, 2013.

Expected future amortization expense is as follows:

2013	$	495,455	(remainder of year)
2014		997,577
2015		1,010,910
2016		1,010,910
2017		1,004,243
2018 and thereafter		6,440,905
Total	$	10,960,000

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References + Details

DISCONTINUED OPERATION

6 Months Ended

Jun. 30, 2013

DISCONTINUED OPERATION

DISCONTINUED OPERATION

6.	DISCONTINUED OPERATIONS

On September 17, 2010, the Company sold its operation in Gulfport, Mississippi to a third-party. The decision to sell the Gulfport operation was based on its historical underperformance and recurring losses and the anticipated need for continued financing from outside sources to maintain ongoing operations.

As of June 30, 2013 and December 31, 2012, total net liabilities associated with discontinued operations were $366,390 and $370,766, respectively, and consisted of balances due to various vendors of the discontinued operations. These liabilities have been segregated from continuing operations in the accompanying unaudited condensed consolidated balance sheets.

There were no gains or losses on the discontinued operations for the three-month periods ended June 30, 2013 and 2012. The gains on discontinued operations totaled $0 and $61,257, net of income tax expense, for the six-month periods ended June 30, 2013 and 2012, respectively and have been segregated from continuing operations in the accompanying unaudited condensed consolidated statements of operations. During the six months ended June 30, 2012, the gain on discontinued operations consisted of various vendor settlements.

- Definition

The entire disclosure for the facts and circumstances leading to the completed or expected disposal, manner and timing of disposal, the gain (loss) recognized in the income statement and the income statement caption that includes that gain (loss), amounts of revenues and pretax profit or loss reported in discontinued operations, the segment in which the disposal group was reported, and the classification (whether sold or classified as held for sale) and carrying value of the assets and liabilities comprising the disposal group. Includes all disposal groups, including those classified as components of the entity (discontinued operations).

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+ Details

LINE OF CREDIT

6 Months Ended

Jun. 30, 2013

Debt Disclosure [Abstract]

LINE OF CREDIT

LINE OF CREDIT

Prior to June 2012, the Company had borrowings under a line of credit agreement with a commercial lender. Under the terms of a forbearance agreement, amended in October 2011, the Company could borrow an amount equal to the lesser of the borrowing base, as defined, or $3.5 million. Interest accrued at an annual rate of the Base Rate, as defined, plus 6.0%. In addition, a usage fee equal to 0.75% per annum of the unused facility and a management fee equal to $9,000 per annum were assessed monthly. The line of credit was secured by substantially all of the Company’s assets. The line of credit and amended forbearance agreement expired in June 2012 and all amounts borrowed were repaid in full at that time.

In June 2012, the Company entered into a new revolver loan agreement with a commercial bank in the amount of $5,000,000. The revolver loan agreement bore interest daily at the greater of (i) LIBOR plus 5%, or (ii) 6%, and was secured by substantially all of the Company’s assets. In addition, a usage fee equal to 0.375% per annum of the unused facility and a management fee equal to $18,000 per annum were assessed monthly. Under the agreement, the Company was required to maintain a minimum fixed charge coverage ratio of 1.1 to 1.0, calculated by dividing (a) (i) earnings before interest, taxes, depreciation and amortization (EBITDA) less (ii) unfinanced capital expenditures, by the sum of cash paid for (b) (i) interest and (ii) monitoring and advisory fees (Note 10). Also, the Company was required to generate at least $800,000 in EBITDA measured on a trailing four-quarter basis. Restrictive covenants applied to, among other things, research and development expenditures, additional liens, mergers or consolidations, and sales of assets. The Company was not in compliance with certain covenants as of December 31, 2012. The Company subsequently obtained a waiver from its lender, the loan covenants were revised, and the revolver loan limit was increased to $6.0 million.

Beginning in 2013, the Company was required to maintain a minimum fixed charge coverage ratio of 1.1 to 1.0. Also beginning in 2013, the Company was required to generate at least $225,000 in EBITDA during the three-month period ending March 31, 2013, $450,000 in EBITDA during the six month period ending June 30, 2013, $675,000 in EBITDA during the nine month period ending September 30, 2013, and $900,000 in EBITDA for the year ended December 31, 2013 and for every quarterly period thereafter measured on a trailing four-quarter basis. Restrictive covenants applied to, among other things, additional liens, mergers or consolidations, and sales of assets. In the event of early termination, the Company was required to pay a prepayment fee of $180,000 if termination occurred in the first year, $120,000 if termination occurred in the second year, and $60,000 if termination occurred after the second year but prior to the last day of the term. As of December 31, 2012, $4,065,307 was outstanding on the revolver, at an effective interest rate of 6.0%. The revolver loan was repaid in full in June 2013.

STOCK-BASED COMPENSATION

6 Months Ended

Jun. 30, 2013

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION

All options are granted under the ANI Pharmaceuticals, Inc. Amended and Restated 2008 Stock Incentive Plan (the “2008 Plan”). As of June 30, 2013, 200,604 shares of the Company’s common stock remained available for issuance under the 2008 Plan.

During the three and six-month periods ended June 30, 2013, the Company did not grant any options under the 2008 Plan. Options to purchase an aggregate 67,093 shares of the Company’s common stock expired and were cancelled during the three and six-month periods ended June 30, 2013. No options were exercised during the three and six-month periods ended June 30, 2013.

No warrants were granted or exercised during the three and six-month periods ended June 30, 2013.

INCOME TAXES

6 Months Ended

Jun. 30, 2013

INCOME TAXES

INCOME TAXES

INCOME TAXES

The Company has no current tax provision due to its current and accumulated losses, which result in net operating loss carryforwards. The utilization of the net operating loss carryforwards may be limited in future years as prescribed by Section 382 of the US Internal Revenue Code. Based upon the historical losses and uncertainty of future taxable income, management has fully reserved for the net operating loss carryforwards balance as of June 30, 2013 and December 31, 2012.

COMMITMENTS AND CONTINGENCIES

6 Months Ended

Jun. 30, 2013

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES

10.

COMMITMENTS AND CONTINGENCIES

Operating Leases

The Company leases equipment under operating leases that expire in May 2017. The Company also leases office space under operating leases that expire in beginning in February 2014 through July 2018. Future minimum lease payments due under these leases total $536,720 as of June 30, 2013.

Rent expense for the three months ended June 30, 2013 and 2012 totaled $10,271 and $2,392, respectively. Rent expense for the six months ended June 30, 2013 and 2012 totaled $14,397 and $4,631, respectively.

Monitoring and Advisory Fees

The Company was required to pay monitoring and advisory fees to two investors. A total of $433,956 and $50,000 is included in other expense in the accompanying unaudited condensed consolidated statements of operations for the three-month periods ended June 30, 2013 and 2012, respectively. A total of $483,956 and $99,400 is included in other expense in the accompanying unaudited condensed consolidated statements of operations for the six-month periods ended June 30, 2013 and 2012, respectively. These fees were paid quarterly in advance on the first business day of each calendar quarter.

Included in the amounts above and in conjunction with the Merger, the Company paid additional monitoring and advisory fees totaling $390,000 to the same two investors (Note 2). Upon completion of the Merger, the Company’s obligation to pay monitoring and advisory fees was terminated.

Government Regulation

The Company’s products and facilities are subject to regulation by a number of federal and state governmental agencies. The Food and Drug Administration (“FDA”), in particular, maintains oversight of the formulation, manufacture, distribution, packaging and labeling of all of the Company’s products. The Drug Enforcement Administration (“DEA”) maintains oversight over the Company’s products that are considered controlled substances.

Unapproved Products

Certain of the Company’s generic products are marketed without approved New Drug Applications (“NDA”) or Abbreviated New Drug Applications (“ANDA”). During the three-month periods ended June 30, 2013 and 2012, net revenues for these products totaled $1,765,257 and $1,538,538, respectively. During the six-month periods ended June 30, 2013 and 2012, net revenues for these products totaled $3,286,587 and $2,664,086, respectively.

The FDA’s policy with respect to the continued marketing of unapproved products is stated in the FDA’s September 2011 compliance policy guide, Marketed New Drugs without Approved NDAs or ANDAs. Under this policy, the FDA has stated that it will follow a risk-based approach with regard to enforcement against such unapproved products. The FDA evaluates whether to initiate enforcement action on a case-by-case basis, but gives higher priority to enforcement action against products in certain categories, such as those marketed as unapproved drugs with potential safety risks or that lack evidence of effectiveness. The Company believes that so long as it complies with applicable manufacturing and labeling standards, the FDA will not take action against it under the current enforcement policy. There can be no assurance, however, that the FDA will continue this policy or not take a contrary position with any individual product or group of products. If the FDA were to take a contrary position, the Company may be required to seek FDA approval for these products or withdraw such products from the market.

In addition, one group of products that the Company manufactures on behalf of a contract customer is marketed by that customer without an FDA-approved NDA. If the FDA took enforcement action against such customer, the customer may be required to seek FDA approval for the group of products or withdraw them from the market. The Company’s contract manufacturing revenues for the group of unapproved products for the three-month periods ended June 30, 2013 and 2012 was $759,780 and $160,468, respectively. The Company’s contract manufacturing revenues for the group of unapproved products for the six-month periods ended June 30, 2013 and 2012 was $1,224,204 and $403,958, respectively.

The Company receives royalties on the net sales of a group of contract-manufactured products, which are marketed by the contract customer without an FDA-approved NDA. If the FDA took enforcement action against such customer, the customer may be required to seek FDA approval for the group of products or withdraw them from the market. The Company’s royalties on the net sales of these unapproved products for the three-month periods ended June 30, 2013 and 2012 was $105,600 and $62,053, respectively. The Company’s royalties on the net sales of these unapproved products for the six-month periods ended June 30, 2013 and 2012 was $185,273 and $131,424, respectively.

In October 2012, the Company received a telephone call requesting a meeting with the FDA representatives from the Minneapolis district of the FDA to discuss continued manufacturing and distribution of the Opium 10mg/mL Solution 118mL product (“Opium Tincture”), which is a non-NDA Product. That meeting was held on October 25, 2012 by conference telephone call and included FDA representatives from the Office of Compliance at the Center for Drug Evaluation and Research. Counsel to the Company sent a letter to the FDA on November 9, 2012 in support of the Company’s position. Although the FDA confirmed receipt of this letter, the Company has received no further response thereto. If the FDA were to make a determination that the Company could not continue to sell Opium Tincture as an unapproved product, the Company would be required to seek FDA approval for such product or withdraw such product from the market. If the Company determined to withdraw the product from the market, the Company’s net revenues for generic pharmaceutical products would decline materially, and if the Company decided to seek FDA approval, it would face increased expenses and might need to suspend sales of the product until such approval is obtained, and there are no assurances that the Company would receive such approval.

Shareholder Class Action and Derivative Lawsuits

On February 3, 2012, a purported class action lawsuit was filed in the United States District Court for the Northern District of Illinois under the caption Thomas Lauria, on behalf of himself and all others similarly situated v. BioSante Pharmaceuticals, Inc. and Stephen M. Simes naming the Company and its former President and Chief Executive Officer, Stephen M. Simes, as defendants. The complaint alleges that certain of the Company’s disclosures relating to the efficacy of LibiGel^® and its commercial potential were false and/or misleading and that such false and/or misleading statements had the effect of artificially inflating the price of the Company’s securities resulting in violations of Section 10(b) of the Exchange Act, Rule 10b-5 and Section 20(a) of the Exchange Act. Although a substantially similar complaint was filed in the same court on February 21, 2012, such complaint was voluntarily dismissed by the plaintiff in April 2012. The plaintiff seeks to represent a class of persons who purchased the Company’s securities between February 12, 2010 and December 15, 2011, and seeks unspecified compensatory damages, equitable and/or injunctive relief, and reasonable costs, expert fees and attorneys’ fees on behalf of such purchasers. Management believes the action is without merit and intends to defend the action vigorously. On November 6, 2012, the plaintiff filed a consolidated amended complaint. On December 28, 2012, the Company and Mr. Simes filed motions to dismiss the consolidated amended complaint. Briefing on the defendants’ motion to dismiss in the district court is complete. On July 1, 2013, the Illinois state court judge granted defendants’ motions to dismiss, without prejudice, and gave plaintiffs until July 31, 2013 to file an amended complaint. On August 1, 2013, the Company was informed by plaintiff’s counsel that they do not intend to file an amended complaint and instead will request an order dismissing the case, with prejudice, after which the plaintiffs will consider whether to appeal to the Illinois court of appeals.

On May 7, 2012, Jerome W. Weinstein, a purported stockholder of the Company, filed a shareholder derivative action in the United States District Court for the Northern District of Illinois under the caption Weinstein v. BioSante Pharmaceuticals, Inc. et al., naming the Company’s directors as defendants and the Company as a nominal defendant. A substantially similar complaint was filed in the same court on May 22, 2012 and another substantially similar complaint was filed in the Circuit Court for Cook County, Illinois, County Department, Chancery Division, on June 27, 2012. The suits generally related to the same events that are the subject of the class action litigation described above. The complaints allege breaches of fiduciary duty, abuse of control, gross mismanagement and unjust enrichment as causes of action occurring from at least February 2010 through December 2011. The complaints seek unspecified damages, punitive damages, costs and disbursements and unspecified reform and improvements in the Company’s corporate governance and internal control procedures. On September 24, 2012, the District Court consolidated the two cases before it and on November 20, 2012, the plaintiffs filed their consolidated amended complaint. On November 27, 2012, the plaintiff in the action pending in Illinois state court filed an amended complaint. On January 11, 2013, the defendants filed a motion to dismiss the amended complaint in the action pending in District Court, and on January 18, 2013, the defendants filed a motion to dismiss the amended complaint in the action pending in Illinois state court. Briefing on these motions is complete and the parties await the Courts’ rulings.

The lawsuits are in their early stages; and, therefore, management is unable to predict the outcome of the lawsuits and the possible loss or range of loss, if any, associated with their resolution or any potential effect the lawsuits may have on the Company’s operations. Depending on the outcome or resolution of these lawsuits, they could have a material effect on the Company’s operations, including its financial condition, results of operations, or cash flows. No amounts have been accrued related to these lawsuits as of June 30, 2013.

Other Commitments and Contingencies

All manufacturers of the drug Reglan® and its generic equivalent metoclopramide, including the Company, are facing allegations from plaintiffs in various states claiming bodily injuries as a result of ingestion of metoclopramide or its brand name Reglan® prior to the FDA's February 2009 Black Box warning requirement. The Company has been named and served in 85 separate complaints, including three in Pennsylvania, nine in New Jersey, and 73 in California, covering 2,934 plaintiffs in total. In August 2012, the Company was dismissed with prejudice from all New Jersey cases. Management considers the Company’s exposure to this litigation to be limited due to several factors: (1) the only generic metoclopramide manufactured by the Company prior to the implementation of the FDA's warning requirement was an oral solution introduced after May 28, 2008; (2) the Company’s market share for the oral solution was a very small portion of the overall metoclopramide market; and (3) once the Company received a request for change of labeling from the FDA, it submitted its proposed changes within 30 days, and such changes were subsequently approved by the FDA. At the present time, management is unable to assess the likely outcome of the remaining cases. The Company’s insurance company has assumed the defense of this matter. In addition, the Company’s insurance company renewed the Company’s product liability insurance on September 1, 2011 and 2012 with absolute exclusions for claims related to Reglan® and metoclopramide. Management cannot provide assurances that the outcome of these matters will not have an adverse effect on its business, results of operations, financial condition and cash flow. Furthermore, like all pharmaceutical manufacturers, the Company in the future may be exposed to other product liability claims, which could harm its business, results of operations, financial condition and cash flow.

FAIR VALUE DISCLOSURES

6 Months Ended

Jun. 30, 2013

FAIR VALUE DISCLOSURES

FAIR VALUE DISCLOSURES

11.

FAIR VALUE DISCLOSURES

Fair value is the price that would be received from the sale of an asset or paid to transfer a liability assuming an orderly transaction in the most advantageous market at the measurement date. US GAAP establishes a hierarchical disclosure framework which prioritizes and ranks the level of observability of inputs used in measuring fair value.

The inputs used in measuring the fair value of cash and cash equivalents are considered to be level 1 in accordance with the three-tier fair value hierarchy. The fair market values are based on period-end statements supplied by the various banks and brokers that held the majority of the Company’s funds. The fair value of short-term financial instruments (primarily accounts receivable, prepaid expenses, accounts payable, accrued expenses, borrowings under line of credit, notes payable, and other current liabilities) approximate their carrying values because of their short-term nature.

The Company’s CVRs (Note 2) are classified as liabilities and are measured at fair value using level 3 inputs. The fair value of CVRs was estimated using the present value of management’s projection of the expected payments pursuant to the terms of the CVR agreement. The present value of the liability was calculated using a discount rate of 15%. The Company determined that the fair value of the CVRs, and the changes in such fair value, was not material as of June 30, 2013 and for the period from the date of the Merger to June 30, 2013.

ANIP’s stock purchase warrants were classified as derivative liabilities and were measured at fair value using level 3 inputs. The fair value of stock purchase warrants was determined using a two-step process which included valuing ANIP’s equity using both market and discounted cash flow methods, and then apportioning that value, using an equity allocation model, to each of ANIP’s classes of stock. These models required the use of unobservable inputs such as fair value of the ANIP’s common and preferred stock, expected term, anticipated volatility, future interest and interest rates, expected cash flows and the number of outstanding common and preferred shares as of a future date. The Company determined that the fair value of the ANIP stock purchase warrants as of the date of the Merger, and the changes in such fair value for the period from December 31, 2012 to the date of the Merger, was not material. The ANIP stock purchase warrants were canceled in conjunction with the Merger (Note 2).

The Company has no other financial assets and liabilities that are measured at fair value. The Company has no nonfinancial assets or liabilities that are measured at fair value.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

6 Months Ended

Jun. 30, 2013

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Overview

Overview

Basis of Presentation

Basis of Presentation

Principles of consolidation

Principles of consolidation

Use of Estimates

Use of Estimates

Credit Concentration

Credit Concentration

The Company ’s customers are primarily pharmaceutical companies, wholesale distributors, chain drug stores, and group purchasing organizations.

Vendor Concentration

Vendor Concentration

Revenue Recognition

Revenue Recognition

Cash and Cash Equivalents

Cash and Cash Equivalents

In conjunction with the Merger, the Company acquired restricted cash, which will be paid out in satisfaction of certain severance liabilities assumed in the Merger (Note 2).

Accounts Receivable

Accounts Receivable

Accruals for Chargebacks, Returns and Other Allowances

Accruals for Chargebacks, Returns and Other Allowances

The following table summarizes activity in the balance sheet for accruals and allowances for the six months ended June 30, 2013 and 2012, respectively:

					Administrative		Prompt
					Fees and Other		Payment
	Chargebacks		Returns		Rebates		Discounts
Balance at January 1, 2013	$	5,661,974	$	410,992	$	230,575	$	241,840
Accruals/adjustments		12,182,822		853,307		850,616		430,549
Credits taken against reserve		(13,002,416)		(914,536)		(552,937)		(449,197)
Balance at June 30, 2013	$	4,842,380	$	349,763	$	528,254	$	223,192

					Administrative		Prompt
					Fees and Other		Payment
	Chargebacks		Returns		Rebates		Discounts
Balance at January 1, 2012	$	3,680,838	$	252,045	$	238,195	$	166,439
Accruals/adjustments		9,708,956		291,602		493,945		323,914
Credits taken against reserve		(8,767,115)		(245,057)		(473,674)		(247,665)
Balance at June 30, 2012	$	4,622,679	$	298,590	$	258,466	$	242,688

Inventories

Inventories

Property and Equipment

Property and Equipment

Buildings and improvements	20-40 years
Machinery, furniture and equipment	3-10 years

Income Taxes

Income Taxes

The Company considers potential tax effects resulting from discontinued operations and records intra-period tax allocations, when those effects are deemed material.

Income (Loss) per Share

Income (Loss) per Share

Basic income (loss) per share is calculated by dividing net income (loss) less preferred stock dividends by the weighted-average number of shares of common stock outstanding during the period.

For periods of net loss, diluted loss per share is calculated similarly to basic loss per share because the impact of all dilutive potential common shares is anti-dilutive due to the net losses.

As of June 30, 2013, the Company had 38,270 common stock options and 125,624 warrants (exercisable for common stock) outstanding.

Stock Splits and Reclassifications

Stock Splits

Redeemable Preferred Stock

Redeemable Convertible Preferred Stock

Segment Information

Segment Information

The Company currently operates in a single business segment.

Recent Accounting Pronouncements

Recent Accounting Pronouncements

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

6 Months Ended

Jun. 30, 2013

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Schedule of Valuation and Qualifying Accounts Disclosure

The following table summarizes activity in the balance sheet for accruals and allowances for the six months ended June 30, 2013 and 2012, respectively:

					Administrative		Prompt
					Fees and Other		Payment
	Chargebacks		Returns		Rebates		Discounts
Balance at January 1, 2013	$	5,661,974	$	410,992	$	230,575	$	241,840
Accruals/adjustments		12,182,822		853,307		850,616		430,549
Credits taken against reserve		(13,002,416)		(914,536)		(552,937)		(449,197)
Balance at June 30, 2013	$	4,842,380	$	349,763	$	528,254	$	223,192

					Administrative		Prompt
					Fees and Other		Payment
	Chargebacks		Returns		Rebates		Discounts
Balance at January 1, 2012	$	3,680,838	$	252,045	$	238,195	$	166,439
Accruals/adjustments		9,708,956		291,602		493,945		323,914
Credits taken against reserve		(8,767,115)		(245,057)		(473,674)		(247,665)
Balance at June 30, 2012	$	4,622,679	$	298,590	$	258,466	$	242,688

BUSINESS COMBINATION (Tables)

6 Months Ended

Jun. 30, 2013

BUSINESS COMBINATION

Business Combination Transaction Costs

Costs incurred through June 30, 2013, include:

Category
Legal fees	$	1,166,894
Accounting fees		118,374
Consulting fees		99,448
Monitoring and advisory fees		390,000
Transaction bonuses		4,501,364
Other		311,075
Total transaction costs	$	6,587,155

Business Combination Purchase Price Allocation

The following presents the preliminary allocation of the purchase consideration to the assets acquired and liabilities assumed on June 19, 2013:

Fair value of BioSante shares outstanding	$	29,795,133
Estimated fair value of vested BioSante stock options		-
Total purchase consideration	$	29,795,133

Assets acquired
Cash and cash equivalents	$	18,197,442
Restricted cash		2,260,100
Teva license intangible asset		10,900,000
Other tangible assets		79,261
Deferred tax assets, net		-
Goodwill		1,838,309
Total assets		33,275,112
Liabilities assumed
Accrued severance		2,964,962
Other liabilities		515,017
Total liabilities		3,479,979
Total net assets acquired	$	29,795,133

Business Acquisition, Pro Forma Information

The pro forma amounts do not purport to be indicative of the results that would have actually been obtained if the Merger had occurred as of January 1, 2012 or that may be obtained in the future.

	Three months ended June 30,				Six months ended June 30,
	2013		2012		2013		2012
Net revenues	$	6,151,539	$	5,295,573	$	11,858,488	$	10,236,375
Net loss	$	(3,352,015)	$	(6,922,844)	$	(4,870,433)	$	(16,655,470)

ACCOUNTS RECEIVABLE (Tables)

6 Months Ended

Jun. 30, 2013

ACCOUNTS RECEIVABLE

Schedule of Accounts, Notes, Loans and Financing Receivable

Accounts receivable consist of the following as of:

	June 30, 2013		December 31, 2012
Accounts receivable, gross	$	12,011,332	$	11,556,510
Adjustments for chargebacks and other allowances		(5,583,826)		(6,124,109)
Accounts receivable, net	$	6,427,506	$	5,432,401

INVENTORIES (Tables)

6 Months Ended

Jun. 30, 2013

INVENTORIES

Schedule of Inventory, Current

Inventories consist of the following as of:

	June 30, 2013		December 31, 2012
Raw materials	$	1,313,288	$	974,967
Packaging materials		586,833		584,654
Work-in-progress		107,752		374,257
Finished goods		659,343		890,683
		2,667,216		2,824,561
Reserve for excess/obsolete inventories		(82,530)		(14,876)
Inventories, net	$	2,584,686	$	2,809,685

GOODWILL AND INTANGIBLE ASSETS (Tables)

6 Months Ended

Jun. 30, 2013

GOODWILL AND INTANGIBLE ASSETS

Schedule of Intangible Assets and Goodwill

The components of net intangible assets are as follows:

	June 30, 2013				December 31, 2012
	Gross Carrying		Accumulated		Gross Carrying			Accumulated	Amortization
	Amount		Amortization		Amount		Amortization		Period
Acquired ANDA intangible asset	$	60,000	$	-	$	60,000	$	-		3 years
Reglan® intangible asset		100,000		(100,000)		100,000		(75,000)		2 years
Teva license intangible asset		10,900,000		-		-		-		11 years
	$	11,060,000	$	(100,000)	$	160,000	$	(75,000)

Finite-lived Intangible Assets Amortization Expense

Expected future amortization expense is as follows:

2013	$	495,455	(remainder of year)
2014		997,577
2015		1,010,910
2016		1,010,910
2017		1,004,243
2018 and thereafter		6,440,905
Total	$	10,960,000

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($)	6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012
Valuation and Qualifying Accounts Disclosure
Balance, Beginning balance	$ 6,124,109
Balance, Ending balance	5,583,826
Chargebacks
Valuation and Qualifying Accounts Disclosure
Balance, Beginning balance	5,661,974	$ 3,680,838
Accruals/Adjustments	12,182,822	9,708,956
Credits Taken Against Reserve	(13,002,416)	(8,767,115)
Balance, Ending balance	4,842,380	4,622,679
Returns
Valuation and Qualifying Accounts Disclosure
Balance, Beginning balance	410,992	252,045
Accruals/Adjustments	853,307	291,602
Credits Taken Against Reserve	(914,536)	(245,057)
Balance, Ending balance	349,763	298,590
Administrative Fees And Other Rebates
Valuation and Qualifying Accounts Disclosure
Balance, Beginning balance	230,575	238,195
Accruals/Adjustments	850,616	493,945
Credits Taken Against Reserve	(552,937)	(473,674)
Balance, Ending balance	528,254	258,466
Prompt Payment Discounts
Valuation and Qualifying Accounts Disclosure
Balance, Beginning balance	241,840	166,439
Accruals/Adjustments	430,549	323,914
Credits Taken Against Reserve	(449,197)	(247,665)
Balance, Ending balance	$ 223,192	$ 242,688

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 2) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounts Receivable, Net, Current, Total	$ 6,427,506		$ 6,427,506		$ 5,432,401
Accounts Payable, Current	1,634,788		1,634,788		$ 1,993,567
Depreciation	$ 134,023	$ 128,139	$ 266,129	$ 256,279
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	253,420	80,224	250,646	51,205
Reverse Stock Split Ratio Description			one-for-six
FDIC Guaranteed Amount	$ 250,000		$ 250,000
Share based Compensation Arrangement Options Outstanding	38,270		38,270
Share based Compensation Arrangement Warrants Outstanding	125,624		125,624
Three Suppliers
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounts Payable, Current	$ 176,757		$ 176,757
Maximum \| Building and Building Improvements
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Property, Plant and Equipment, Useful Life			40 years
Maximum \| Machinery, Furniture And Equipment
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Property, Plant and Equipment, Useful Life			10 years
Minimum \| Building and Building Improvements
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Property, Plant and Equipment, Useful Life			20 years
Minimum \| Machinery, Furniture And Equipment
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Property, Plant and Equipment, Useful Life			3 years
Three Customers
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounts Receivable, Net, Current, Total	$ 5,007,910		$ 5,007,910
Three suppliers 2012
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration Risk, Percentage		80.00%		62.00%
Three suppliers 2013
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration Risk, Percentage	28.00%		35.00%
Customer One
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration Risk, Percentage	41.00%	35.00%	25.00%	24.00%
Customer Two
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration Risk, Percentage	21.00%	29.00%	15.00%	19.00%
Customer Three
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration Risk, Percentage	7.00%	4.00%	14.00%	7.00%

BUSINESS COMBINATION (Details)	Jun. 30, 2013 USD ($)
Legal fees	$ 1,166,894
Accounting fees	118,374
Consulting fees	99,448
Monitoring and advisory fees	390,000
Transaction bonuses	4,501,364
Other	311,075
Total transaction costs	$ 6,587,155

BUSINESS COMBINATION (Details 2)	Jun. 19, 2013 USD ($)
Fair value of BioSante shares outstanding	$ 29,795,133
Estimated fair value of vested BioSante stock options	0
Total purchase consideration	29,795,133
Assets acquired
Cash and cash equivalents	18,197,442
Restricted cash	2,260,100
Teva license intangible asset	10,900,000
Other tangible assets	79,261
Deferred tax assets, net	0
Goodwill	1,838,309
Total assets	33,275,112
Liabilities assumed
Accrued severance	2,964,962
Other liabilities	515,017
Total liabilities	3,479,979
Total net assets acquired	$ 29,795,133

BUSINESS COMBINATION (Details 3) - USD ($)	3 Months Ended		6 Months Ended
BUSINESS COMBINATION (Details 3) - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Net revenues	$ 6,151,539	$ 5,295,573	$ 11,858,488	$ 10,236,375
Net loss	$ (3,352,015)	$ (6,922,844)	$ (4,870,433)	$ (16,655,470)

BUSINESS COMBINATION (Details 4) - USD ($)	6 Months Ended	12 Months Ended
BUSINESS COMBINATION (Details 4) - USD ($)	Jun. 30, 2013	Dec. 31, 2012	Jun. 19, 2013
Business Combination, Acquisition Related Costs	$ 5,658,460	$ 928,695
Share Price			$ 1.22
Teva License Intangible Asset [Member]
Finite-Lived Intangible Asset, Useful Life	11 years
BioSante Pharmaceuticals Inc [Member]
Business Acquisition, Percentage of Voting Interests Acquired			43.00%
ANIP Acquisition Company [Member]
Business Acquisition, Percentage of Voting Interests Acquired			57.00%

ACCOUNTS RECEIVABLE (Details) - USD ($)	Jun. 30, 2013	Dec. 31, 2012
Accounts, Notes, Loans and Financing Receivable
Accounts receivable, gross	$ 12,011,332	$ 11,556,510
Adjustments for chargebacks and other allowances	(5,583,826)	(6,124,109)
Accounts receivable, net	$ 6,427,506	$ 5,432,401

INVENTORIES (Details) - USD ($)	Jun. 30, 2013	Dec. 31, 2012
Inventories
Raw materials	$ 1,313,288	$ 974,967
Packaging materials	586,833	584,654
Work-in-progress	107,752	374,257
Finished goods	659,343	890,683
Inventory, Gross, Total	2,667,216	2,824,561
Reserve for excess/obsolete inventories	(82,530)	(14,876)
Inventories, net	$ 2,584,686	$ 2,809,685

GOODWILL AND INTANGIBLE ASSETS (Details) - USD ($)	6 Months Ended
GOODWILL AND INTANGIBLE ASSETS (Details) - USD ($)	Jun. 30, 2013	Dec. 31, 2012
GOODWILL AND INTANGIBLE ASSETS
Finite-Lived Intangible Assets, Gross	$ 11,060,000	$ 160,000
Finite-Lived Intangible Assets, Accumulated Amortization	(100,000)	(75,000)
Acquired ANDA Intangible Asset
GOODWILL AND INTANGIBLE ASSETS
Finite-Lived Intangible Assets, Gross	60,000	60,000
Finite-Lived Intangible Assets, Accumulated Amortization	$ 0	0
Amortization period	3 years
Reglan Intangible Asset
GOODWILL AND INTANGIBLE ASSETS
Finite-Lived Intangible Assets, Gross	$ 100,000	100,000
Finite-Lived Intangible Assets, Accumulated Amortization	$ (100,000)	(75,000)
Amortization period	2 years
Teva License Intangible Asset
GOODWILL AND INTANGIBLE ASSETS
Finite-Lived Intangible Assets, Gross	$ 10,900,000	0
Finite-Lived Intangible Assets, Accumulated Amortization	$ 0	$ 0
Amortization period	11 years

GOODWILL AND INTANGIBLE ASSETS (Details 2)	Jun. 30, 2013 USD ($)
GOODWILL AND INTANGIBLE ASSETS
2013	$ 495,455
2014	997,577
2015	1,010,910
2016	1,010,910
2017	1,004,243
2018 and thereafter	6,440,905
Total	$ 10,960,000

GOODWILL AND INTANGIBLE ASSETS (Details 3) - USD ($)	3 Months Ended		6 Months Ended
GOODWILL AND INTANGIBLE ASSETS (Details 3) - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
GOODWILL AND INTANGIBLE ASSETS
Amortization of Intangible Assets	$ 12,500	$ 12,500	$ 25,000	$ 25,000
Goodwill, Acquired During Period			$ 1,838,309	$ 0

DISCONTINUED OPERATION (Details) - USD ($)	3 Months Ended		6 Months Ended
DISCONTINUED OPERATION (Details) - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012
DISCONTINUED OPERATION
Liabilities of Disposal Group, Including Discontinued Operation	$ 366,390		$ 366,390		$ 370,766
Discontinued Operation, Gain (Loss) on Disposal of Discontinued Operation, Net of Tax, Total	$ 0	$ 0	$ 0	$ 61,257

LINE OF CREDIT (Details) - USD ($)	1 Months Ended		6 Months Ended
LINE OF CREDIT (Details) - USD ($)	Jun. 30, 2012	Oct. 31, 2011	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012
Line of Credit Facility
Line of Credit Facility, Maximum Borrowing Capacity	$ 5,000,000	$ 3,500,000		$ 5,000,000	$ 6,000,000
Line of Credit Facility, Interest Rate Description	The revolver loan agreement bore interest daily at the greater of (i) LIBOR plus 5%, or (ii) 6%, and was secured by substantially all of the Companys assets.	Base Rate, as defined, plus 6.0%
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage	0.375%	0.75%
Line Of Credit Facility Management Fee	$ 18,000	$ 9,000
Line of Credit Facility, Covenant Terms			Beginning in 2013, the Company was required to maintain a minimum fixed charge coverage ratio of 1.1 to 1.0. Also beginning in 2013, the Company was required to generate at least $225,000 in EBITDA during the three-month period ending March 31, 2013, $450,000 in EBITDA during the six month period ending June 30, 2013, $675,000 in EBITDA during the nine month period ending September 30, 2013, and $900,000 in EBITDA for the year ended December 31, 2013 and for every quarterly period thereafter measured on a trailing four-quarter basis. Restrictive covenants applied to, among other things, additional liens, mergers or consolidations, and sales of assets.	Under the agreement, the Company was required to maintain a minimum fixed charge coverage ratio of 1.1 to 1.0, calculated by dividing (a) (i) earnings before interest, taxes, depreciation and amortization (EBITDA) less (ii) unfinanced capital expenditures, by the sum of cash paid for (b) (i) interest and (ii) monitoring and advisory fees (Note 9). Also, the Company was required to generate at least $800,000 in EBITDA measured on a trailing four-quarter basis. Restrictive covenants applied to, among other things, research and development expenditures, additional liens, mergers or consolidations, and sales of assets.
Line Of Credit Facility, Termination Fee In First Year			$ 180,000
Line Of Credit Facility, Termination Fee In Second Year			120,000
Line Of Credit Facility, Termination Fee After Second Year			60,000
Line of Credit Facility, Amount Outstanding			$ 0		$ 4,065,307
Line of Credit Facility, Interest Rate at Period End					6.00%

STOCK-BASED COMPENSATION (Details) - 2008 Plan [Member]	3 Months Ended	6 Months Ended
STOCK-BASED COMPENSATION (Details) - 2008 Plan [Member]	Jun. 30, 2013 shares	Jun. 30, 2013 shares
Share-based Compensation Arrangement by Share-based Payment Award
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	200,604	200,604
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period, Total	67,093	67,093

COMMITMENTS AND CONTINGENCIES (Details) - USD ($)	3 Months Ended		6 Months Ended
COMMITMENTS AND CONTINGENCIES (Details) - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
COMMITMENTS AND CONTINGENCIES
Operating Leases, Future Minimum Payments Due, Total	$ 536,720		$ 536,720
Operating Leases, Rent Expense	10,271	$ 2,392	14,397	$ 4,631
Monitoring And Advisory Fee In Conjunction With Business Combination			390,000
Monitoring And Advisory Fee	433,956	50,000	483,956	99,400
Unapproved Generic Products
COMMITMENTS AND CONTINGENCIES
Revenue, Net	1,765,257	1,538,538	3,286,587	2,664,086
Unapproved Generic Products \| Contract Customer
COMMITMENTS AND CONTINGENCIES
Revenue, Net	759,780	160,468	1,224,204	403,958
Royalty Revenue, Total	$ 105,600	$ 62,053	$ 185,273	$ 131,424

FAIR VALUE DISCLOSURES (Details)	6 Months Ended
FAIR VALUE DISCLOSURES (Details)	Jun. 30, 2013
Fair Value Inputs, Assets, Quantitative Information
Fair Value Inputs, Discount Rate	15.00%