SEC Comment Letter for BIOMARIN PHARMACEUTICAL INC (BMRN) (CIK 0001048477) (BMRN) — Apr 28, 2017
BIOMARIN PHARMACEUTICAL INC (BMRN) (CIK 0001048477)
Date: April 28, 2017 · CIK: 0001048477 · Accession: 0000000000-17-014843
AI Filing Summary & Sentiment
Reasoning
Letter
Mail Stop 4546 April 28, 2017 Via E -mail Mr. Daniel Spiegelman Executive Vice President and Chief Financial Officer BioMarin Pharmaceutical, Inc. 770 Lindaro Street San Rafael, CA 94901
Re: BioMarin Pharmaceutical, Inc. Form 10-K for Fis cal Year Ended December 31, 2016 Filed February 27 , 2017 File No. 0 -26727
Dear Mr. Spiegelman :
We have reviewed your filing and have the following comment. In our c omment , we may ask you to provide us with information so we may better understand your disclosure.
Please respond to the comme nt within ten busine ss days by providing the requested information or advis e us as soon as possible when you will respond. If you do not believe our comme nt appl ies to your facts and circumstances, please tell us why in your response.
After reviewing your response to the comment , we may have additional comments.
Management’s Discussion and Analysis of Financial Cond ition and Results of Operatio ns Impairment of Long -Lived Assets, page 61
1. You disclose that in the fourth quarter of 2016 you assessed qualitative factors such as “industry and market considerations and other entity specific factors” and determined that the goodwill of $148 million from your Prosensa Holding N.V. acquisition, at December 31, 2016, was not impaired. Please explain to us the specific factors that you considered in reaching this conclusion and specifically how the $599.1 million impairment charge recognized in the 2nd Quarter 2016 related to IPR&D acquired with the Prosensa acquisition impacted your assessment. Further, please explain how you considered the guidance in ASC 350 -20-35-33 through 35 -38 in identifying only a single reporting unit for purposes of your goodwill impairment testing.
We remind you that t he company and its management are responsible for the accuracy and adequacy of their disclosures, notwithstanding any review, comments, action or absence of action by the staff.
Mr. Daniel Spiegelman BioMarin Pharmaceutical, Inc. April 28, 2017 Page 2
You may contact Senior Staff Accountants Frank Wyman at (202) 551 -3660 or Ibolya Ignat at (202) 551-3636 with any questions . In this regard, do not hesitate to contact me at (202) 551-3679.
Sincerely,
/s/ Jim B. Rosenberg
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Mail Stop 4546 April 28, 2017 Via E -mail Mr. Daniel Spiegelman Executive Vice President and Chief Financial Officer BioMarin Pharmaceutical, Inc. 770 Lindaro Street San Rafael, CA 94901 Re: BioMarin Pharmaceutical, Inc. Form 10-K for Fis cal Year Ended December 31, 2016 Filed February 27 , 2017 File No. 0 -26727 Dear Mr. Spiegelman : We have reviewed your filing and have the following comment. In our c omment , we may ask you to provide us with information so we may better understand your disclosure. Please respond to the comme nt within ten busine ss days by providing the requested information or advis e us as soon as possible when you will respond. If you do not believe our comme nt appl ies to your facts and circumstances, please tell us why in your response. After reviewing your response to the comment , we may have additional comments. Management’s Discussion and Analysis of Financial Cond ition and Results of Operatio ns Impairment of Long -Lived Assets, page 61 1. You disclose that in the fourth quarter of 2016 you assessed qualitative factors such as “industry and market considerations and other entity specific factors” and determined that the goodwill of $148 million from your Prosensa Holding N.V. acquisition, at December 31, 2016, was not impaired. Please explain to us the specific factors that you considered in reaching this conclusion and specifically how the $599.1 million impairment charge recognized in the 2nd Quarter 2016 related to IPR&D acquired with the Prosensa acquisition impacted your assessment. Further, please explain how you considered the guidance in ASC 350 -20-35-33 through 35 -38 in identifying only a single reporting unit for purposes of your goodwill impairment testing. We remind you that t he company and its management are responsible for the accuracy and adequacy of their disclosures, notwithstanding any review, comments, action or absence of action by the staff. Mr. Daniel Spiegelman BioMarin Pharmaceutical, Inc. April 28, 2017 Page 2 You may contact Senior Staff Accountants Frank Wyman at (202) 551 -3660 or Ibolya Ignat at (202) 551-3636 with any questions . In this regard, do not hesitate to contact me at (202) 551-3679. Sincerely, /s/ Jim B. Rosenberg Jim B. Rosenberg Senior Assistant Chief Accountant Office of Healthcare and Insurance