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Document And Entity Information	9 Months Ended
Document And Entity Information	Sep. 30, 2014 shares
Document Information [Line Items]
Entity Registrant Name	FLAMEL TECHNOLOGIES SA
Entity Central Index Key	0001012477
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Trading Symbol	FLML
Entity Common Stock, Shares Outstanding	38,936,300
Document Type	6-K
Amendment Flag	false
Document Period End Date	Sep. 30, 2014
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2014

Condensed Consolidated Statement of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Revenue:
License and research revenue	$ 681	$ 1,192	$ 4,384	$ 4,115
Product sales and services	4,747	2,500	14,815	6,802
Other revenues	1,600	1,891	5,086	5,347
Total revenue	7,028	5,583	24,285	16,264
Costs and expenses:
Cost of goods and services sold	(1,913)	(1,736)	(5,501)	(4,014)
Research and development	(7,028)	(6,680)	(20,864)	(22,513)
Selling, general and administrative	(4,105)	(2,925)	(11,955)	(8,122)
Fair value remeasurement of acquisition liabilities, incl. related parties	(7,865)	(1,043)	(35,098)	(32,642)
Amortisation of intangible R&D assets	(2,937)	0	(8,812)	0
Acquisition note expenses, incl. related parties	0	0	(3,013)	0
Total	(23,848)	(12,384)	(85,243)	(67,291)
Profit (loss) from operations	(16,820)	(6,801)	(60,958)	(51,027)
Interest income net	86	(688)	(5,328)	(1,757)
Interest expense on debt related to the royalty agreement with related parties	(1,486)	(13)	(2,721)	(2,028)
Foreign exchange gain (loss)	8,074	(161)	8,545	(170)
Other income (loss)	71	66	152	532
Income (loss) before income taxes	(10,075)	(7,597)	(60,310)	(54,450)
Income tax benefit (expense)	29	1,228	2,553	6,398
Net income (loss)	$ (10,046)	$ (6,369)	$ (57,757)	$ (48,052)
Earnings (loss) per share
Basic earnings (loss) per ordinary share	$ (0.26)	$ (0.25)	$ (1.64)	$ (1.89)
Diluted earnings (loss) per share	$ (0.26)	$ (0.25)	$ (1.64)	$ (1.89)
Weighted average number of shares outstanding (in thousands) :
Basic (in shares)	38,767	25,465	35,201	25,434
Diluted (in shares)	38,767	25,465	35,201	25,434

Condensed Consolidated Statement of Comprehensive Income - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013
Net Income (loss)	$ (57,757)	$ (48,052)
Other comprehensive income (loss):
Net foreign currency translation gain (loss)	(12,990)	289
Change in Market Value of Marketable securities	(150)
Other comprehensive income (loss), net of tax	(13,140)	289
Comprehensive Income (loss)	$ (70,897)	$ (47,763)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

Condensed Consolidated Balance Sheet - USD ($) $ in Thousands	Sep. 30, 2014	Dec. 31, 2013
Current assets:
Cash and cash equivalents	$ 24,006	$ 6,636
Marketable securities	52,496	401
Accounts receivable (net of allowance of $144 and $133 at December 31, 2013, and Sept 30, 2014 respectively)	2,988	6,204
Inventory	6,473	3,762
Research and development tax credit receivable short term	9,905	14,139
Prepaid expenses and other current assets	3,380	2,481
Total current assets	99,248	33,623
Goodwill, net	18,490	18,491
Property and equipment, net	15,182	17,435
Intangible assets	31,327	40,139
Other assets:
Research and development tax credit receivable long term	0	6,410
Other long-term assets	139	154
Total assets	164,386	116,252
Current liabilities:
Current portion of long-term debt, incl to related parties	27,811	19,194
Current portion of capital lease obligations	77	85
Accounts payable	7,007	5,099
Current portion of deferred revenue	612	1,264
Advances from customers	0	116
Accrued expenses	5,710	6,527
Other current liabilities	6,503	8,310
Total current liabilities	47,720	40,595
Long-term debt, less current portion, incl. to related parties	68,028	66,320
Capital lease obligations, less current portion	36	103
Deferred tax liabilities	0	2,806
Other long-term liabilities	8,554	15,940
Total long-term liabilities	76,618	85,169
Shareholders' equity:
Ordinary shares: 25,612,550 issued and outstanding at December 31, 2013 and 38,936,300 at Sept 30, 2014 (shares authorised 51,866,390) at nominal value of 0.122 euro	5,998	3,746
Additional paid-in capital	329,677	211,473
Accumulated deficit	(293,303)	(235,546)
Accumulated other comprehensive income (loss)	(2,324)	10,815
Total shareholders' equity	40,048	(9,512)
Total liabilities and shareholders' equity	$ 164,386	$ 116,252

Condensed Consolidated Balance Sheet [Parenthetical] $ in Thousands	Sep. 30, 2014 USD ($) shares	Sep. 30, 2014 € / shares	Dec. 31, 2013 USD ($) shares	Dec. 31, 2013 € / shares
Allowance for accounts receivable (in dollars) \| $	$ 133		$ 144
Common stock, par value (in euro per share) \| € / shares		€ 0.122		€ 0.122
Common stock, shares authorized	51,866,390		51,866,390
Common stock, shares issued	38,936,300		25,612,550
Common stock, shares outstanding	38,936,300		25,612,550

Condensed Consolidated Statement of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013
Cash flows from operating activities:
Net income (loss)	$ (57,757)	$ (48,052)
Depreciation of property and equipment and intangible assets	10,639	2,343
Loss (gain) on disposal of property, equipment and inventory	3	85
Exchange gain	(4,367)	0
Grants recognized in other income and income from operations	(500)	(502)
Remeasurement of acquisition liabilities including related parties	38,111	32,641
Interest expenses on debt related to the royalty agreement incl. related parties	2,518	2,028
Calculated Interest on amortized method	0	(985)
Stock compensation expense	1,789	1,456
Income tax	(2,807)	(6,455)
Increase (decrease) in cash from:
Accounts receivable	2,917	(748)
Inventory	(2,841)	(1,345)
Prepaid expenses and other current assets	(1,163)	(568)
Research and development tax credit receivable	9,480	2,814
Accounts payable	1,519	1,095
Deferred revenue	(779)	204
Accrued expenses	(1,135)	2,056
Other current liabilities	(160)	(70)
Other long-term assets and liabilities	227	345
Net cash provided by (used in) operating activities	(4,306)	(13,658)
Cash flows from investing activities:
Purchases of property and equipment	(1,404)	(766)
Proceeds from disposal of property and equipment	0	7
Purchase of marketable securities	(68,275)	(730)
Proceeds from sales of marketable securities	12,617	5,707
Net cash provided by (used in) investing activities	(57,062)	4,218
Cash flows from financing activities:
Proceeds from loan or conditional grants	0	14,407
Reimbursment of loan	(34,332)	(256)
Reimbursment of conditional grants	(345)
Earnout payments for acquisition including related parties	(995)	(107)
Principal payments on capital lease obligations	(62)	(58)
Cash proceeds from issuance of ordinary shares and warrants	118,802	400
Net cash provided by (used in) financing activities	83,068	14,386
Effect of exchange rate changes on cash and cash equivalents	(4,330)	117
Net increase (decrease) in cash and cash equivalents	17,370	5,063
Cash and cash equivalents, beginning of period	6,636	2,742
Cash and cash equivalents, end of period	24,006	7,805
Supplemental disclosures of cash flow information:
Income tax paid	231	80
Interest paid	$ 5,741	$ 792

Consolidated Statement of Shareholders' Equity - 9 months ended Sep. 30, 2014 - USD ($) $ in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]
Balance at Dec. 31, 2013	$ (9,512)	$ 3,746	$ 211,473	$ (235,546)	$ 10,815
Balance (in shares) at Dec. 31, 2013		25,612,550
Subscription of warrants	0
Issuance of ordinary shares on exercise of warrants	6,039	$ 153	5,886
Issuance of ordinary shares on exercise of warrants (in shares)		923,750
Issuance of ordinary shares on Capital raise	112,764	$ 2,099	110,665
Issuance of ordinary shares on Capital raise (in shares)		12,400,000
Stock-based compensation expense	1,653		1,653
Net loss	(57,757)			(57,757)
Other comprehensive income (loss)	(13,140)				(13,140)
Balance at Sep. 30, 2014	$ 40,048	$ 5,998	$ 329,677	$ (293,303)	$ (2,325)
Balance (in shares) at Sep. 30, 2014		38,936,300

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

9 Months Ended

Sep. 30, 2014

Accounting Policies [Abstract]

Significant Accounting Policies [Text Block]

1. SUMMARY OF SIGNIFICANT accounting policies

In the opinion of the management of Flamel Technologies S.A. (the “Company”), the accompanying unaudited, condensed, consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial statements. Accordingly, these Financial Statements do not include all of the information and footnotes required for complete annual financial statements, since certain footnotes and other financial information required by generally accepted accounting principles in the United States (or US GAAP) can be condensed or omitted for interim reporting requirements. In the opinion of management, all adjustments (consisting of only normal recurring accruals) considered necessary for a fair presentation of our financial position and operating results have been included.

The preparation of consolidated 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 consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Operating results for the nine months ended September 30, 2014 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2014. These condensed consolidated interim financial statements should be read in conjunction with the Company's audited annual financial statements.

The reporting currency of the Company and its wholly-owned subsidiaries is the U.S. dollar as permitted by the SEC for a foreign private issuer (S-X Rule 3-20(a)). All assets and liabilities in the balance sheets of the Company, whose functional currency is the Euro, except those of the U.S. subsidiaries whose functional currency is the U.S. dollar, are translated into U.S. dollar equivalents at exchange rates as follows: (1) asset and liability accounts at period-end rates, (2) income statement accounts at weighted average exchange rates for the period, and (3) shareholders' equity accounts at historical rates. Corresponding translation gains or losses are recorded in shareholders' equity as Currency Translation Adjustments.

Other comprehensive income includes currency translation adjustments and change in market value of marketable securities.

REVENUES

9 Months Ended

Sep. 30, 2014

Revenue Recognition Disclosure [Abstract]

Revenue Recognition Disclosure [Text Block]

2. REVENUES

2.1 License and research revenue

The Company recognized license and research revenues of $4,384,000 for the first nine months of 2014 compared to $4,115,000 for the nine month period ended September 30, 2013. Total research and development revenues amounted to $2,036,000 compared to $2,647,000 for the nine month period ended September 30, 2013 and licensing fees were recognized for a total of $2,348,000 for the first nine months of 2014 compared to $1,468,000 for the nine month period ended September 30, 2013.

The license and research revenues amounting to $4,384,000 relate to agreements with undisclosed partners.

2.2 Product sales and services.

The Company recognized product sales of $14,815,000 for the first nine months of 2014 compared to $6,803,000 for the nine month period of 2013.

Bloxiverz®, the first FDA-approved version of neostigmine sulphate was launched in July of 2013. In the nine month period ended September 30, 2014, the company recognised net product sales of $7,981,000 from sales of Bloxiverz®, based on net product sales of wholesalers to their customers. Net product sales of wholesalers to their customers are determined using sales data from an independent, wholesaler inventory tracking service and are calculated by deducting estimates for returns for wholesalers’ customers, chargebacks, payment discounts and other sales or discounts offered from the applicable gross sales value. Gross product sales amounted to $9,913,000.

A total of $1,505,000 of net revenue on shipments to wholesalers has been deferred as of September 30, 2014.

A total of $5,802,000 was recognised in connection with the supply agreement for the manufacture of Coreg CR microparticles with GSK for the nine month period ended September 30, 2014 compared to $5,946,000 for the nine month period ended September 30, 2013.

2.3 Other revenues.

The Company recognized other revenues of $5,086,000 for the nine month period ended September 30, 2014 compared to $5,347,000 for the nine month period ended September 30, 2013, which includes royalties from the License Agreement with GSK with respect to Coreg CR.

MARKETABLE SECURITIES

9 Months Ended

Sep. 30, 2014

Investments, Debt and Equity Securities [Abstract]

Cash, Cash Equivalents, and Marketable Securities [Text Block]

3. MARKETABLE SECURITIES

Marketable securities are classified as available-for-sale securities and are recorded at fair market value. Unrealized gains and losses are recorded as other comprehensive income in shareholder’s equity, net of income tax effects.

For the period ended September 30, 2013 and 2014, marketable securities amounted respectively to $401,000 and $52,495,000.

As of September 30, 2014, the unrealized gains or losses amounted to $150,000.

	Comparison Sept 30, 2013 vs Sept 30, 2014
									Unrealized Gains
(in thousands of U.S dollars)	Fair value				Value at cost				(Losses)
	2013		2014		2013		2014		2013		2014
Credit Agricole securities		401		14,017		401		14,017		-		-
Morgan Stanley securities		-		38,478		-		38,328		-		(150)
Total		401		52,495		401		52,345		-		(150)

RESEARCH TAX CREDIT

9 Months Ended

Sep. 30, 2014

Research Tax Credit [Abstract]

Research Tax Credit Disclosure [Text Block]

4. RESEARCH TAX CREDIT

The French government provides tax credits to companies for spending on innovative research and development. The research tax credit is considered as a grant and is deducted from operational expenses.

For the nine month period ended September 30, 2014, the credit amounted to $3,782,000 ($1,037,000 for the three month period ended September 30, 2014) compared to $3,721,000 for the nine month period ended September 30, 2013 ($1,204,000 for the three month period ended September 30, 2013).

SHAREHOLDERS' EQUITY

9 Months Ended

Sep. 30, 2014

Stockholders' Equity Note [Abstract]

Stockholders' Equity Note Disclosure [Text Block]

5. SHAREHOLDERS' EQUITY

During the nine month period ended September 30, 2014, the Company issued 12,400,000 shares as a result of an underwritten public offering in March 2014. The offering price to the public was $9.75 per American Depositary Share, each representing one ordinary share (“ADS”), and included payment of a commission of $0.585 per ADS. Total net proceeds amounted to $113,646,000. Additional fees related to the capital raise amounted to $882,000 and decreased the net proceeds to $112,764,000.

A further 923,750 shares were issued during the nine month period ended September 30, 2014 as a result of the exercise of stock options and warrants.

The total amount of shares outstanding as of September 30, 2014 amounted to 38,936,300.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(d),(e))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21484-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
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-Topic 310
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB TOPIC 4.E)
-URI http://asc.fasb.org/extlink&oid=27010918&loc=d3e74512-122707

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21488-112644

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.29-31)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-Section S99
-Paragraph 4
-Subparagraph (SAB TOPIC 4.C)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187143-122770

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-URI http://asc.fasb.org/extlink&oid=6405834&loc=d3e23285-112656

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Preferred Stock
-URI http://asc.fasb.org/extlink&oid=6521494

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-Section 50
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-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21463-112644

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21564-112644

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Paragraph d
-Article 4

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 29, 30, 31
-Article 5

Reference 16: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 4
-Section E

Reference 17: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Article 4

Reference 18: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 4
-Section C

Reference 19: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Article 3

+ Details

STOCK COMPENSATION EXPENSE

9 Months Ended

Sep. 30, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Disclosure of Compensation Related Costs, Share-based Payments [Text Block]

6. STOCK COMPENSATION EXPENSE

During the nine month period ending September 30, 2014, 298,000 warrants with a one year vesting period were subscribed for by directors.

ASC 718-10-S99-1 expresses the view that “the use of a simplified method is not allowed if the Company may have sufficient historical exercise data for some of its share options grants and therefore, accepts the use of simplified method for only some grants but not all share options grants”.

The Company decided to use the simplified method to estimate the expected term of the warrants subscribed for by directors. The Company considers that insufficient historical exercise data are available for warrants which are granted to a limited number of beneficiaries together with few exercises over the past years, in addition, the vesting schedule and contractual terms having been changed over time. Consequently, the Company believes that prior exercise patterns would not reflect accurately future exercises.

The grant date fair value of the warrants subscribed is calculated using the Black-Scholes option-pricing model with the following weighted average assumptions.

		Three months ended
		September 30, 2014
Risk-free interest rate		0.73%
Dividend yield		-
Expected volatility		58%
Expected term		2.5 years
Forfeiture rate		-

Net income (loss) before and after stock-based compensation is as follows:

	Three months ended				Nine months ended
	Sept 30,				Sept 30,
(in thousands except per share data)	2013		2014		2013		2014

Net income (loss)	$	(6,369)	$	(10,046)	$	(48,052)	$	(57,757)

Net income (loss) per share
Basic	$	(0.25)	$	(0.26)	$	(1.89)	$	(1.64)
Diluted	$	(0.25)	$	(0.26)	$	(1.89)	$	(1.64)

Number of shares used for computing (weighted average)
Basic		25,465		38,767		25,434		35,201
Diluted		25,465		38,767		25,434		35,201

Stock-based compensation (ASC 718)
Cost of products and services sold		5		10		15		30
Research and development		184		222		556		616
Selling, general and administrative		307		450		885		1,018
Total		496		682		1,456		1,664

Net income (loss) before stock-based compensation		(5,873)		(9,364)		(46,596)		(56,093)

Net income (loss) before stock-based compensation per share
Basic	$	(0.23)	$	(0.24)	$	(1.83)	$	(1.59)
Diluted	$	(0.23)	$	(0.24)	$	(1.83)	$	(1.59)

INTANGIBLE ASSETS

9 Months Ended

Sep. 30, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets Disclosure [Text Block]

7. INTANGIBLE ASSETS

	December 31,								Sept 30,
	2013								2014
	Gross carrying		Accumulated				Intangible		Gross carrying		Accumulated				Intangible
(In thousands of U.S. dollars)	amount		amortization		Impairment		assets, net		amount		amortization		Impairment		assets, net
In-progess R&D		12,061		-		(7,170)		4,891		4,891		-				4,891
Intangible asset corresponding to acquired IPR&D of Bloxiverz		35,248						35,248		35,248		(8,813)				26,436
Total Intangible assets	$	47,309	$	-	$	(7,170)	$	40,139	$	40,139	$	(8,813)	$	-	$	31,327

Intangible assets corresponding to acquired in-process research and development of Bloxiverz® is being amortized straight-line over a 3 year period as of January 1, 2014.

- 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

INVENTORY

9 Months Ended

Sep. 30, 2014

Inventory Disclosure [Abstract]

Inventory Disclosure [Text Block]

8. INVENTORY

The components of inventories were as follows:

	December		Sept
(In thousands of U.S. dollars)	31, 2013		30, 2014

Raw materials		1,715		2,197
Finished goods		2,047		4,276

Inventories, net		3,762		6,473

Inventories consist of raw materials and finished products, which are stated at cost determined under the first-in, first-out ("FIFO") method. Raw materials used in the production of pre-clinical and clinical products are expensed as research and development costs when consumed. The Company establishes reserves for inventory estimated to be obsolete, unmarketable or slow-moving on a case by case basis.

LONG-TERM DEBT

9 Months Ended

Sep. 30, 2014

Debt Disclosure [Abstract]

Long-term Debt [Text Block]

9. LONG-TERM DEBT

Long-term debt comprises:

	December		Sept
(In thousands of U.S. dollars)	31, 2013		30, 2014

Government loans for R&D projects (a)		4,586		3,863
Acquisition liability contingent consideration (b)		37,991		55,679
Acquisition liability note (b)		10,405		-
Acquisition liability warrant consideration (b)		10,497		26,945
Deerfield Facility agreement (c)		12,492		-
Deerfield Royalty agreement (c)		4,590		6,334
Broadfin Facility agreement (d)		2,767		-
Broadfin Royalty agreement (d)		2,187		3,018

Total		85,515		95,838
Current portion		19,194		27,811
Long-term portion		66,321		68,027

(a) French government agencies provide financing to French companies for research and development. At December 31, 2013 and September 30, 2014, the Company had outstanding loans of $4,586,000 and $3,863,000 respectively for various programs. These loans do not bear interest and are repayable only in the event the research project is technically or commercially successful. Potential repayment is scheduled to occur from 2014 through 2019.

(b) The Acquisition liability relates to the acquisition by the Company on March 13, 2012, through its wholly owned subsidiary Flamel US Holdings, Inc., or Flamel US, of all of the membership interests of Éclat Pharmaceuticals, LLC. In exchange for all of the issued and outstanding membership interests of Éclat Pharmaceuticals, Flamel US provided consideration consisting of:

a $12 million senior, secured six-year note guaranteed by the Company and its subsidiaries and secured by the equity interests and assets of Éclat. The note was repaid on March 24, 2014 in its entirety; The accelerated reimbursement of this note resulted in operating expenses of $3.0 million

two warrants to purchase a total of 3,300,000 ADSs; and

a commitment to make earn out payments of 20% of any gross profit generated by certain Éclat Pharmaceuticals launch products

As of September, 2014, the fair value of the warrants was determined by using a Black-Scholes option pricing model with the following assumptions:

	Three months ended	Three months ended
	September 30, 2013	September 30, 2014
Share price	$6.56	$14.31
Risk-free interest rate	1.39%	1.25%
Dividend yield	-	-
Expected volatility	49.5%	56.6%
Expected term	4.5 years	3.5 years

Pursuant to guidance of ASC 815-40-15-7(i), the Company determined that the Warrants issued in March 2012 as consideration for the acquisition of Éclat could not be considered as being indexed to the Company’s own stock, on the basis that the exercise price for the warrants is determined in U.S. dollars, although the functional currency of the Company is the Euro. The Company determined that these warrants should be accounted as a debt instrument.

As of September 30, 2014, the deferred consideration fair value was estimated by using a discounted cash flow model based on probability adjusted annual gross profit of each of the Éclat Pharmaceuticals products. A discount rate of 20% has been used.

(c) On February 4, 2013 the Company concluded a $15 million debt financing transaction (the “Deerfield Facility”) with Deerfield Management a current shareholder. The consideration received was as follows:

$12.4 million for a facility agreement of a nominal value of $15 million, including a premium on reimbursement of $2.6 million. The indebtedness was repaid on March 24, 2014 in its entirety; The accelerated reimbursement of this note resulted in interest expenses of $2.5 million

$2.6 million for a Royalty Agreement whereby Éclat, subject to required regulatory approvals and launch of product, is to pay a 1.75% royalty on the net sales of certain products sold by Éclat and any of its affiliates until December 31, 2024.

The fair value of the royalty was estimated using a probability-weighted discounted cash flow model based on probability adjusted projected annual net sales of each of the products which may be approved and sold by Éclat Pharmaceuticals. This fair value measurement is based on significant inputs not observable in the market and thus represents a level 3 measurement as defined in ASC 820. The discount rate used is 20%.

(d) On December 3, 2013 the Company concluded with Broadfin Healthcare Master Fund, a current shareholder, a $15 million debt financing transaction (the “Broadfin Facility”) divided in 3 tranches of $5 million each, Under the terms of the Facility, upon closing Broadfin made an initial loan of $5 million. Consideration received was as follows:

$2.8 million for a facility agreement of a nominal value of $5.0 million. Loans under the Broadfin Facility were scheduled to mature upon the earlier to occur of (i) January 31, 2017 and (ii) the repayment in full of all outstanding amounts under the Deerfield Facility, but in no event prior to November 15, 2015. The indebtedness was repaid on March 24, 2014 in its entirety; the accelerated reimbursement of this note resulted in interest expenses of $ 2.2 million.

$2.2 million for a royalty agreement whereby Éclat, subject to required regulatory approvals and launch of product, is to pay a 0.834% royalty on the net sales of certain products sold by Éclat and any of its affiliates until December 31, 2024.

Total future payments on long-term debt for the next five years ending September 30 (assuming the underlying projects are commercially or technically successful for governmental research loans) are as follows:

	Sept
(In thousands of U.S. dollars)	30, 2014

2014		7,253
2015		30,887
2016		25,636
2017		9,164
2018		7,614

		80,554

RELATED PARTY TRANSACTIONS

9 Months Ended

Sep. 30, 2014

10. RELATED PARTY TRANSACTIONS

In March 2012, we acquired, through our wholly owned subsidiary Flamel US, all of the membership interests of Éclat from Éclat Holdings, an affiliate of our largest shareholder Deerfield Capital L.P., for consideration primarily consisting of a $12 million senior, secured six-year note that is guaranteed by us and our subsidiaries and secured by the equity interests and assets of Éclat, two warrants to purchase a total of 3,300,000 ADSs of Flamel and commitments to make earn out payments of 20% of any gross profit generated by certain Éclat launch products and 100% of the gross profit generated by our former product Hycet®, which we sold in 2013, up to a maximum of $1 million. Upon closing of the acquisition, Mr. Anderson, the Chief Executive Officer of Éclat, was appointed Chief Executive Officer of Flamel. Mr. Anderson retains a minority interest in Éclat Holdings, renamed Breaking Stick, and does not have the ability to control this entity by virtue of his minority interest. The senior secured note was repaid in full in March 2014 using the net proceeds from our public sale of ADSs.

On February 4, 2013, we entered into the Deerfield Facility through Flamel US with Deerfield Private Design Fund II, L.P. and Deerfield Private Design International II, L.P. (together, the “Deerfield Entities”) providing for debt financing of $15 million by the Deerfield Entities (the “Loan”). The Loan was repaid in full in March 2014 using the net proceeds from our public sale of ADSs.

The Deerfield Facility was subject to certain limitations, and allowed us to use the funds for working capital, including continued investment in our research and development projects. Interest accrued at 12.5% per annum to be paid quarterly in arrears, commencing on April 1, 2013, and on the first business day of each July, October, January and April thereafter. Pursuant to the Deerfield Facility, we were required to pay the Deerfield Entities a fee of $112,500 for entering into the transaction and to reimburse the Deerfield Entities for legal costs and expenses incurred in effecting the transaction.

In conjunction with our entry in the Deerfield Facility, Éclat entered into a Royalty Agreement with Horizon Santé FLML, Sarl and Deerfield Private Design Fund II, L.P., both affiliates of the Deerfield Entities (together, “Deerfield PDF/Horizon”). The Royalty Agreement provides for Éclat to pay Deerfield PDF/Horizon 1.75% of the net sales price of the products sold by us and any of our affiliates until December 31, 2024, with royalty payments accruing daily and paid in arrears for each calendar quarter during the term of the Royalty Agreement. The Royalty Agreement requires Éclat to take all commercially reasonable efforts to obtain the necessary regulatory approvals to sell the products in the United States and to market the Products after receiving such approvals.

We also entered into a Security Agreement dated February 4, 2013 with Deerfield PDF/Horizon, whereby Deerfield PDF/Horizon was granted a security interest in the intellectual property and regulatory rights related to the products to secure the obligations of Éclat and Flamel US, including the full and prompt payment of royalties to Deerfield PDF/Horizon under the Royalty Agreement.

We also entered into two pledge agreements on certain receivables and equipment we own. These agreements were required to be recorded under French law and on request of Deerfield. No request has been made and the receivable pledge was released in full in June 2014.

As of December 3, 2013, we and certain of our U.S. subsidiaries entered into a Facility Agreement (the “Broadfin Facility”) with Broadfin Healthcare Master Fund, Ltd. (“Broadfin”) providing for loans by Broadfin in an aggregate amount not to exceed $15.0 million. The loans under the Broadfin Facility were secured by a first priority security interest in intellectual property associated with our Medusa technology and a junior lien on substantially all of the assets of the borrowers, which were previously pledged in connection with the Deerfield Facility, the Royalty Agreement and the notes issued in connection with the Éclat acquisition. In addition, we have agreed to grant a junior lien on certain equipment located in France, if such previously pledged equipment under the Deerfield Facility and/or the Éclat note is recorded.

Under the terms of the Broadfin Facility, upon closing, Broadfin made an initial loan of $5.0 million and we had the ability to request, at any time prior to August 15, 2014, up to two additional loans in the amount of $5.0 million each, with funding subject to certain specified conditions. Loans under the Broadfin Facility were scheduled to mature upon the earlier to occur of (i) January 31, 2017 and (ii) the repayment in full of all outstanding amounts under the Deerfield Facility, but in no event prior to November 15, 2015. We had the ability to prepay the outstanding loans under the Broadfin Facility at any time, without prepayment penalty and the full $5.0 million outstanding was subsequently repaid using a portion of the net proceeds from our public sale of ADSs in March 2014. Prior to repayment, interest accrued on the loan under the Broadfin Facility at a rate of 12.5% per annum, payable quarterly in arrears, commencing on January 1, 2014.

In connection with entering into the Broadfin Facility, we also entered into a Royalty Agreement with Broadfin, dated as of December 3, 2013 (the “Broadfin Royalty Agreement”). Pursuant to the Broadfin Royalty Agreement, we are required to pay a royalty of 0.834% on the net sales of certain products sold by Éclat Pharmaceuticals, LLC and any of its affiliates until December 31, 2024.

Concurrent with entering into the Broadfin Facility, we also amended the terms of the Deerfield Facility and the agreement governing the Éclat notes to, among other things, permit the indebtedness and liens under the Broadfin Facility and to grant a junior lien to the respective lenders on the Medusa Technology.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References + Details

FAIR VALUE OF FINANCIAL INSTRUMENTS

9 Months Ended

Sep. 30, 2014

Fair Value Disclosures [Abstract]

Fair Value Disclosures [Text Block]

11. FAIR VALUE OF FINANCIAL INSTRUMENTS

At December 31, 2013 and September 30, 2014, the carrying values of financial instruments such as cash and cash equivalents, trade receivables and payables, other receivables and accrued liabilities and the current portion of long-term debt approximated their market values, based on the short-term maturities of these instruments.

The company calculates fair value for its marketable securities based on quoted market prices for identical assets and liabilities which represents Level 1 of ASC 820-10 fair value hierarchy.

At December 31, 2013 and September 30, 2014 the fair value of long-term debt and long term receivables was comparable with their carrying values.

The following table presents information about the Company securities based on quoted market prices for identical assets and liabilities for September 30, 2014 and indicates the fair value hierarchy of the valuation technics utilized to determine such fair value.

						Sept, 30 2014			Sept, 30 2013
						Operational	Financial		Operational	Financial
						Gain (losses)	Gain (losses)		Gain (losses)	Gain (losses)
(in thousands)	Net Carrying Value as of	Net Carrying Value as of	Fair Value Measured and Recorded Using			recognized in	recognized in		recognized in	recognized in
	December 31, 2013	Sept 30, 2014	Level 1	Level 2	Level 3	earnings	earnings	Total	earnings	earnings	Total
Assets
Cash and cash equivalent	6,636	24,006	24,006	-	-	-	-	-	-	-	-
Marketable securities	401	52,496	52,496	-	-	-	-	-	-	-	-
Liabilities
Acquisition liability contingent consideration (a)	37,991	55,679	-	-	55,679	(18,654)	-	(18,654)	(22,794)	-	(22,794)
Acquisition liability note (b)	10,405	-	-	-	-	(3,013)		(3,013)	(4,548)		(4,548)
Acquisition liability warrant consideration (c)	10,497	26,945	-	-	26,945	(16,448)	-	(16,448)	(5,300)	-	(5,300)
Deerfield Royalty Agreement (d)	4,590	6,334			6,334		(1,844)	(1,844)	-	(2,028)	(2,028)
Broadfin Royalty Agreement (e)	2,187	3,018			3,000		(879)	(879)	-	-	-
Total						(38,115)	(2,723)	(40,838)	(32,642)	(2,028)	(34,670)

The fair value of the financial instruments in connection with the acquisition of Éclat (see note 9 Long-Term Debt) are estimated as follows:

(a) Acquisition liability contingent consideration: the fair value is estimated using a discounted cash flow model based on probability adjusted projected annual gross profit of each of the products which formed the project portfolio at the time of acquisition of Éclat Pharmaceuticals (Note 9 Long Term Debt).

The fair value of the contingent consideration will change over time in accordance with the changes in market conditions and thus business plan projections as the relate to market size, market share, product pricing, competitive landscape, gross profit margins expected for each of the products.

(b) Acquisition liability Note: the Company uses a probability-weighted discounted cash flow model (see note 9 Long Term Debt). The note was repaid on March 24, 2014.

(c) Acquisition liability warrant consideration: the Company uses a Black-Scholes option pricing model. The fair value of the warrant consideration will change over time depending on the volatility and share price at balance sheet date (see note 9 Long Term Debt).

(d) Royalty Agreements: the fair value is estimated using a discounted cash flow model based on probability adjusted projected annual net sales of each of the products which may be approved and sold by Éclat Pharmaceuticals (Note 9 Long Term Debt). The discount rate is 20%.

The following tables provide a reconciliation of fair value for which the Company used Level 3 inputs:

	Acquisition
	Liabilities
Liability recorded upon acquisition	$	(50,927)
Operational gain (loss) recognized in earnings for fiscal year 2012	$	18,993
Operational gain (loss) recognized in earnings for fiscal year 2013	$	(26,959)
Net carrying value at January 1, 2014	$	(58,893)
Operational gain (loss) recognized in earnings for Nine months to Sept 30, 2014	$	(38,115)
Payment of interest on acquisition liability note	$	1,390
Reimbursment of acquisition liability note	$	12,000
Payment of deferred consideration	$	994
Net carrying value at Sept 30, 2014	$	(82,624)

	Deerfield		Broadfin
	Royalty		Royalty
	Agreement		Agreement

Liability recorded upon execution of Agreeement	$	(2,600)	$	(2,187)
Interest expense recognized in earnings for 2013	$	(2,028)
Interest expense recognized in earnings for nine months to Sept 30, 2014	$	(1,844)	$	(879)
Payment of royalty	$	138	$	48
Net carrying value at Sept 30, 2014	$	(6,334)	$	(3,018)

The acquisition liabilities, consisting of the note, warrants and deferred consideration, and Royalty Agreements all of which are classified as long-term debt, are measured at fair value and the income or expense may change significantly as assumptions regarding the valuations and probability of successful development and approval of products in development vary.

- 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

MARKETABLE SECURITIES (Tables)

9 Months Ended

Sep. 30, 2014

Investments, Debt and Equity Securities [Abstract]

Trading Securities [Table Text Block]

As of September 30, 2014, the unrealized gains or losses amounted to $150,000.

	Comparison Sept 30, 2013 vs Sept 30, 2014
									Unrealized Gains
(in thousands of U.S dollars)	Fair value				Value at cost				(Losses)
	2013		2014		2013		2014		2013		2014
Credit Agricole securities		401		14,017		401		14,017		-		-
Morgan Stanley securities		-		38,478		-		38,328		-		(150)
Total		401		52,495		401		52,345		-		(150)

STOCK COMPENSATION EXPENSE (Tables)

9 Months Ended

Sep. 30, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule Of Share Based Payment Award Warrants Valuation Assumptions [Table Text Block]

The grant date fair value of the warrants subscribed is calculated using the Black-Scholes option-pricing model with the following weighted average assumptions.

		Three months ended
		September 30, 2014
Risk-free interest rate		0.73%
Dividend yield		-
Expected volatility		58%
Expected term		2.5 years
Forfeiture rate		-

Schedule Of Earnings Per Share Basic And Diluted Before Stock Based Compensation [Table Text Block]

Net income (loss) before and after stock-based compensation is as follows:

	Three months ended				Nine months ended
	Sept 30,				Sept 30,
(in thousands except per share data)	2013		2014		2013		2014

Net income (loss)	$	(6,369)	$	(10,046)	$	(48,052)	$	(57,757)

Net income (loss) per share
Basic	$	(0.25)	$	(0.26)	$	(1.89)	$	(1.64)
Diluted	$	(0.25)	$	(0.26)	$	(1.89)	$	(1.64)

Number of shares used for computing (weighted average)
Basic		25,465		38,767		25,434		35,201
Diluted		25,465		38,767		25,434		35,201

Stock-based compensation (ASC 718)
Cost of products and services sold		5		10		15		30
Research and development		184		222		556		616
Selling, general and administrative		307		450		885		1,018
Total		496		682		1,456		1,664

Net income (loss) before stock-based compensation		(5,873)		(9,364)		(46,596)		(56,093)

Net income (loss) before stock-based compensation per share
Basic	$	(0.23)	$	(0.24)	$	(1.83)	$	(1.59)
Diluted	$	(0.23)	$	(0.24)	$	(1.83)	$	(1.59)

INTANGIBLE ASSETS (Tables)

9 Months Ended

Sep. 30, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Finite-Lived Intangible Assets [Table Text Block]

	December 31,								Sept 30,
	2013								2014
	Gross carrying		Accumulated				Intangible		Gross carrying		Accumulated				Intangible
(In thousands of U.S. dollars)	amount		amortization		Impairment		assets, net		amount		amortization		Impairment		assets, net
In-progess R&D		12,061		-		(7,170)		4,891		4,891		-				4,891
Intangible asset corresponding to acquired IPR&D of Bloxiverz		35,248						35,248		35,248		(8,813)				26,436
Total Intangible assets	$	47,309	$	-	$	(7,170)	$	40,139	$	40,139	$	(8,813)	$	-	$	31,327

INVENTORY (Tables)

9 Months Ended

Sep. 30, 2014

Inventory Disclosure [Abstract]

Schedule of Inventory, Current [Table Text Block]

The components of inventories were as follows:

	December		Sept
(In thousands of U.S. dollars)	31, 2013		30, 2014

Raw materials		1,715		2,197
Finished goods		2,047		4,276

Inventories, net		3,762		6,473

LONG-TERM DEBT (Tables)

9 Months Ended

Sep. 30, 2014

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments [Table Text Block]

Long-term debt comprises:

	December		Sept
(In thousands of U.S. dollars)	31, 2013		30, 2014

Government loans for R&D projects (a)		4,586		3,863
Acquisition liability contingent consideration (b)		37,991		55,679
Acquisition liability note (b)		10,405		-
Acquisition liability warrant consideration (b)		10,497		26,945
Deerfield Facility agreement (c)		12,492		-
Deerfield Royalty agreement (c)		4,590		6,334
Broadfin Facility agreement (d)		2,767		-
Broadfin Royalty agreement (d)		2,187		3,018

Total		85,515		95,838
Current portion		19,194		27,811
Long-term portion		66,321		68,027

two warrants to purchase a total of 3,300,000 ADSs; and

a commitment to make earn out payments of 20% of any gross profit generated by certain Éclat Pharmaceuticals launch products

As of September, 2014, the fair value of the warrants was determined by using a Black-Scholes option pricing model with the following assumptions:

	Three months ended	Three months ended
	September 30, 2013	September 30, 2014
Share price	$6.56	$14.31
Risk-free interest rate	1.39%	1.25%
Dividend yield	-	-
Expected volatility	49.5%	56.6%
Expected term	4.5 years	3.5 years

Schedule Of Fair Value Assumptions Of Warrant [Table Text Block]

As of September, 2014, the fair value of the warrants was determined by using a Black-Scholes option pricing model with the following assumptions:

	Three months ended	Three months ended
	September 30, 2013	September 30, 2014
Share price	$6.56	$14.31
Risk-free interest rate	1.39%	1.25%
Dividend yield	-	-
Expected volatility	49.5%	56.6%
Expected term	4.5 years	3.5 years

Schedule of Maturities of Long-term Debt [Table Text Block]

	Sept
(In thousands of U.S. dollars)	30, 2014

2014		7,253
2015		30,887
2016		25,636
2017		9,164
2018		7,614

		80,554

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
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Reference 2: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-SubTopic 10
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-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6479336&loc=d3e64711-112823

Reference 4: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-Paragraph 1
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Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 22
-Article 5

+ Details

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

9 Months Ended

Sep. 30, 2014

Fair Value Disclosures [Abstract]

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block]

						Sept, 30 2014			Sept, 30 2013
						Operational	Financial		Operational	Financial
						Gain (losses)	Gain (losses)		Gain (losses)	Gain (losses)
(in thousands)	Net Carrying Value as of	Net Carrying Value as of	Fair Value Measured and Recorded Using			recognized in	recognized in		recognized in	recognized in
	December 31, 2013	Sept 30, 2014	Level 1	Level 2	Level 3	earnings	earnings	Total	earnings	earnings	Total
Assets
Cash and cash equivalent	6,636	24,006	24,006	-	-	-	-	-	-	-	-
Marketable securities	401	52,496	52,496	-	-	-	-	-	-	-	-
Liabilities
Acquisition liability contingent consideration (a)	37,991	55,679	-	-	55,679	(18,654)	-	(18,654)	(22,794)	-	(22,794)
Acquisition liability note (b)	10,405	-	-	-	-	(3,013)		(3,013)	(4,548)		(4,548)
Acquisition liability warrant consideration (c)	10,497	26,945	-	-	26,945	(16,448)	-	(16,448)	(5,300)	-	(5,300)
Deerfield Royalty Agreement (d)	4,590	6,334			6,334		(1,844)	(1,844)	-	(2,028)	(2,028)
Broadfin Royalty Agreement (e)	2,187	3,018			3,000		(879)	(879)	-	-	-
Total						(38,115)	(2,723)	(40,838)	(32,642)	(2,028)	(34,670)

The fair value of the financial instruments in connection with the acquisition of Éclat (see note 9 Long-Term Debt) are estimated as follows:

(b) Acquisition liability Note: the Company uses a probability-weighted discounted cash flow model (see note 9 Long Term Debt). The note was repaid on March 24, 2014.

Fair Value Inputs, Liabilities, Quantitative Information [Table Text Block]

The following tables provide a reconciliation of fair value for which the Company used Level 3 inputs:

	Acquisition
	Liabilities
Liability recorded upon acquisition	$	(50,927)
Operational gain (loss) recognized in earnings for fiscal year 2012	$	18,993
Operational gain (loss) recognized in earnings for fiscal year 2013	$	(26,959)
Net carrying value at January 1, 2014	$	(58,893)
Operational gain (loss) recognized in earnings for Nine months to Sept 30, 2014	$	(38,115)
Payment of interest on acquisition liability note	$	1,390
Reimbursment of acquisition liability note	$	12,000
Payment of deferred consideration	$	994
Net carrying value at Sept 30, 2014	$	(82,624)

	Deerfield		Broadfin
	Royalty		Royalty
	Agreement		Agreement

Liability recorded upon execution of Agreeement	$	(2,600)	$	(2,187)
Interest expense recognized in earnings for 2013	$	(2,028)
Interest expense recognized in earnings for nine months to Sept 30, 2014	$	(1,844)	$	(879)
Payment of royalty	$	138	$	48
Net carrying value at Sept 30, 2014	$	(6,334)	$	(3,018)

REVENUES (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
REVENUES (Details Textual) - USD ($)	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
License and research revenue	$ 681,000	$ 1,192,000	$ 4,384,000	$ 4,115,000
Research Revenues			2,036,000	2,647,000
Licenses Revenue			2,348,000	1,468,000
Product sales and services	4,747,000	2,500,000	14,815,000	6,802,000
Other revenues	1,600,000	$ 1,891,000	5,086,000	5,347,000
Deferred Revenue	$ 1,505,000		1,505,000
Bloxiverz [Member]
Sales Revenue, Goods, Net, Total			7,981,000
Sales Revenue, Goods, Gross			9,913,000
Undisclosed Partners [Member]
License and research revenue			4,384,000
Gsk [Member]
Product sales and services			$ 5,802,000	$ 5,946,000

MARKETABLE SECURITIES (Details) - USD ($) $ in Thousands	9 Months Ended
MARKETABLE SECURITIES (Details) - USD ($) $ in Thousands	Sep. 30, 2014	Sep. 30, 2013
Available-for-sale Securities	$ 52,495	$ 401
Available-for-sale Securities, Amortized Cost Basis	52,345	401
Available-for-sale Securities, Gross Unrealized Gain (Loss)	(150)	0
Credit Agricole securities [Member]
Available-for-sale Securities	14,017	401
Available-for-sale Securities, Amortized Cost Basis	14,017	401
Available-for-sale Securities, Gross Unrealized Gain (Loss)	0	0
Morgan Stanley securities [Member]
Available-for-sale Securities	38,478	0
Available-for-sale Securities, Amortized Cost Basis	38,328	0
Available-for-sale Securities, Gross Unrealized Gain (Loss)	$ (150)	$ 0

RESEARCH TAX CREDIT (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
RESEARCH TAX CREDIT (Details Textual) - USD ($)	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Income Tax Reconciliation, Tax Credits, Research	$ 1,037,000	$ 1,204,000	$ 3,782,000	$ 3,721,000

SHAREHOLDERS' EQUITY (Details Textual) - USD ($)	9 Months Ended
SHAREHOLDERS' EQUITY (Details Textual) - USD ($)	Sep. 30, 2014	Dec. 31, 2013
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period	923,750
Common Stock, Shares, Outstanding	38,936,300	25,612,550
IPO [Member]
Stock Issued During Period, Shares, New Issues	12,400,000
Shares Issued, Price Per Share	$ 9.75
Payment of Commission Price Per Share	$ 0.585
Stock Issued During Period, Value, New Issues	$ 113,646,000
Payments for Fees	882,000
Proceeds from Issuance Initial Public Offering	$ 112,764,000

STOCK COMPENSATION EXPENSE (Details)	3 Months Ended
STOCK COMPENSATION EXPENSE (Details)	Sep. 30, 2014
Risk-free interest rate	73.00%
Dividend yield	0.00%
Expected volatility	58.00%
Expected term	2 years 6 months
Forfeiture rate	0.00%

STOCK COMPENSATION EXPENSE (Details 1) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Net income (loss)	$ (10,046)	$ (6,369)	$ (57,757)	$ (48,052)
Net income (loss) per share
Basic (in dollars per share)	$ (0.26)	$ (0.25)	$ (1.64)	$ (1.89)
Diluted (in dollars per share)	$ (0.26)	$ (0.25)	$ (1.64)	$ (1.89)
Number of shares used for computing (weighted average)
Basic (in shares)	38,767	25,465	35,201	25,434
Diluted (in shares)	38,767	25,465	35,201	25,434
Stock-based compensation (ASC 718)
Total	$ 682	$ 496	$ 1,664	$ 1,456
Net income (loss) before stock-based compensation	$ (9,364)	$ (5,873)	$ (56,093)	$ (46,596)
Net income (loss) before stock-based compensation per share
Basic (in dollars per share)	$ (0.24)	$ (0.23)	$ (1.59)	$ (1.83)
Diluted (in dollars per share)	$ (0.24)	$ (0.23)	$ (1.59)	$ (1.83)
Cost of Products and Services Sold [Member]
Stock-based compensation (ASC 718)
Total	$ 10	$ 5	$ 30	$ 15
Research and Development [Member]
Stock-based compensation (ASC 718)
Total	222	184	616	556
Selling, General and Administrative [Member]
Stock-based compensation (ASC 718)
Total	$ 450	$ 307	$ 1,018	$ 885

STOCK COMPENSATION EXPENSE (Details Textual)	9 Months Ended
STOCK COMPENSATION EXPENSE (Details Textual)	Sep. 30, 2014 USD ($)
Fair Value of Warrants Vested	$ 298,000

INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands	Sep. 30, 2014	Dec. 31, 2013
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	$ 40,139	$ 47,309
Accumulated amortization	(8,813)	0
Impairment	0	(7,170)
Intangible assets, net	31,327	40,139
Research and Development In Process [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	4,891	12,061
Accumulated amortization	0	0
Impairment		(7,170)
Intangible assets, net	4,891	4,891
IPR&D of Bloxiverz [Menber]
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	35,248	35,248
Accumulated amortization	(8,813)
Intangible assets, net	$ 26,436	$ 35,248

INTANGIBLE ASSETS (Details Textual)	9 Months Ended
INTANGIBLE ASSETS (Details Textual)	Sep. 30, 2014
Finite-Lived Intangible Asset, Useful Life	3 years

INVENTORY (Details) - USD ($) $ in Thousands	Sep. 30, 2014	Dec. 31, 2013
Inventory [LineItems]
Raw materials	$ 2,197	$ 1,715
Finished goods	4,276	2,047
Inventories, net	$ 6,473	$ 3,762

LONG-TERM DEBT (Details) - USD ($)
$ in Thousands

Sep. 30, 2014

Dec. 31, 2013

Total

$ 95,838

$ 85,515

Current portion

27,811

19,194

Long-term portion

68,028

66,320

Government Loans For Research And Development Projects [Member]

Total

^[1]

3,863

4,586

Acquisition Liability Contingent Consideration [Member]

Total

^[2]

55,679

37,991

Acquisition Liability Note [Member]

Total

^[2]

10,405

Acquisition Liability Warrant Consideration [Member]

Total

^[2]

26,945

10,497

Deerfield Facility Agreement [Member]

Total

^[3]

12,492

Deerfield Royalty Agreement [Member]

Total

^[3]

6,334

4,590

Broadfin Facility Agreement [Member]

Total

^[4]

2,767

Broadfin Royalty Agreement [Member]

Total

^[4]

$ 3,018

$ 2,187

[1]	French government agencies provide financing to French companies for research and development. At December 31, 2013 and September 30, 2014, the Company had outstanding loans of $4,586,000 and $3,863,000 respectively for various programs. These loans do not bear interest and are repayable only in the event the research project is technically or commercially successful. Potential repayment is scheduled to occur from 2014 through 2019.
[2]	The Acquisition liability relates to the acquisition by the Company on March 13, 2012, through its wholly owned subsidiary Flamel US Holdings, Inc., or Flamel US, all of the membership interests of Éclat Pharmaceuticals, LLC. In exchange for all of the issued and outstanding membership interests of Éclat Pharmaceuticals, Flamel US provided consideration consisting of:⋅ a $12 million senior, secured six-year note guaranteed by the Company and its subsidiaries and secured by the equity interests and assets of Éclat. The note was repaid on March 24, 2014 in its entirety; The accelerated reimbursement of this note resulted in operating expenses of $3.0 million ⋅ two warrants to purchase a total of 3,300,000 ADSs; and ⋅ a commitment to make earn out payments of 20% of any gross profit generated by certain Éclat Pharmaceuticals launch products
[3]	On February 4, 2013 the Company concluded a $15 million debt financing transaction (the “Deerfield Facility”) with Deerfield Management a current shareholder. The consideration received was as follows:⋅ $12.4 million for a facility agreement of a nominal value of $15 million, including a premium on reimbursement of $2.6 million. The indebtedness was repaid on March 24, 2014 in its entirety; The accelerated reimbursement of this note resulted in interest expenses of $2.5 million ⋅ $2.6 million for a Royalty Agreement whereby, the Company’s wholly owned subsidiary Éclat subject to required regulatory approvals and launch of product, is to pay a 1.75% royalty on the net sales of certain products sold by Éclat and any of its affiliates until December 31, 2024.
[4]	On December 3, 2013 the Company concluded with Broadfin Healthcare Master Fund, a current shareholder, a $15 million debt financing transaction (the “Broadfin Facility”) divided in 3 tranches of $5 million each, Under the terms of the Facility, upon closing Broadfin made an initial loan of $5 million. Consideration received was as follows:⋅ $2.8 million for a facility agreement of a nominal value of $5.0 million. Loans under the Broadfin Facility were scheduled to mature upon the earlier to occur of (i) January 31, 2017 and (ii) the repayment in full of all outstanding amounts under the Deerfield Facility, but in no event prior to November 15, 2015. The indebtedness was repaid on March 24, 2014 in its entirety; the accelerated reimbursement of this note resulted in interest expenses of $ 2.2 million. ⋅ $2.2 million for a royalty agreement whereby, the Company’s wholly owned subsidiary Éclat subject to required regulatory approvals and launch of product, is to pay a 0.834% royalty on the net sales of certain products sold by Éclat and any of its affiliates until December 31, 2024.

LONG-TERM DEBT (Details 1) - $ / shares	3 Months Ended
LONG-TERM DEBT (Details 1) - $ / shares	Sep. 30, 2014	Sep. 30, 2013
Share price	$ 14.31	$ 6.56
Risk-free interest rate	1.25%	1.39%
Dividend yield	0.00%	0.00%
Expected volatility	56.60%	49.50%
Expected term	3 years 6 months	4 years 6 months

LONG-TERM DEBT (Details 2) $ in Thousands	Sep. 30, 2014 USD ($)
2014	$ 7,253
2015	30,887
2016	25,636
2017	9,164
2018	7,614
Long-term Debt, Total	$ 80,554

LONG-TERM DEBT (Details Textual) - USD ($) $ in Millions			9 Months Ended
LONG-TERM DEBT (Details Textual) - USD ($) $ in Millions	Dec. 03, 2013	Feb. 04, 2013	Sep. 30, 2014
Fair Value Inputs, Discount Rate			20.00%
Line Of Credit Nominal Amount	$ 5.0
Facility Agreement [Member]
Line Of Credit Nominal Amount		$ 15.0
Long-term Line of Credit	$ 2.8	12.4
Premium On Reimbursement		2.6
Interest Expense, Total		$ 2.5
Royalty Agreement [Member]
Fair Value Inputs, Discount Rate	20.00%	20.00%
Long-term Line of Credit	$ 2.2	$ 2.6
Percentage of Royalty on Net Sales	0.834%	1.75%
Line of Credit Facility, Date of First Required Payment	Dec. 31, 2024	Dec. 31, 2024
Deerfield Facility Agreement [Member]
Line Of Credit Nominal Amount		$ 15.0
Broadfin Facility Agreement [Member]
Line Of Credit Nominal Amount	$ 15.0
Long-term Line of Credit	5.0
Debt Financing Transaction Divide into Three Tranche Each	5.0
Interest Expense, Total	$ 2.2
Eclat Pharmaceuticals [Member]
Percentage Of Earn Out Payment			20.00%
Fair Value Inputs, Discount Rate			20.00%
Eclat Pharmaceuticals [Member] \| Senior Secured Six Year Note [Member]
Secured Debt			$ 12.0
Operating Expenses, Total			$ 3.0
American Depository Shares [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			3,300,000

RELATED PARTY TRANSACTIONS (Details Textual) - USD ($)			1 Months Ended	3 Months Ended		9 Months Ended		12 Months Ended
RELATED PARTY TRANSACTIONS (Details Textual) - USD ($)	Dec. 03, 2013	Feb. 04, 2013	Mar. 31, 2012	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013
Contingent Potential Cash Payment								$ 1,000,000
Debt Financing Facility Agreement Amount	$ 5,000,000	$ 15,000,000
Business Combination Commitment Percentage								100.00%
Costs and Expenses, Related Party				$ 0	$ 0	$ 3,013,000	$ 0
Royalty Agreement [Member]
Long Term Debt Repayment Percentage	0.834%	1.75%
Debt Repayment Term	Dec. 31, 2024	Dec. 31, 2024
Facility Agreement [Member]
Line of Credit Facility, Maximum Borrowing Capacity	$ 15,000,000
Line Of Credit Facility Initial Loan	5,000,000
Line Of Credit Facility Additional Loan	$ 5,000,000
Line of Credit Facility, Interest Rate During Period	12.50%	12.50%
Costs and Expenses, Related Party		$ 112,500
Eclat Pharmaceuticals [Member]
Percentage Of Earn Out Payment						20.00%
Eclat Pharmaceuticals [Member] \| Senior Secured Six Year Note [Member]
Secured Debt				$ 12,000,000		$ 12,000,000
Warrants Issued During Period Warrants New Issues			3,300,000

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) - USD ($)
$ in Thousands

9 Months Ended

Sep. 30, 2014

Sep. 30, 2013

Dec. 31, 2013

Dec. 31, 2012

ASSETS

Cash and cash equivalent

$ 24,006

$ 7,805

$ 6,636

$ 2,742

Marketable securities

52,496

401

Liabilities

Operational Gain (losses) recognized in earnings

(38,115)

(32,642)

Financial Gain (losses) recognized in earnings

(2,723)

(2,028)

Total

(40,838)

(34,670)

Cash and Cash Equivalents [Member]

ASSETS

Cash and cash equivalent

24,006

6,636

Liabilities

Operational Gain (losses) recognized in earnings

Financial Gain (losses) recognized in earnings

Total

Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member]

ASSETS

Cash and cash equivalent

24,006

Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 2 [Member]

ASSETS

Cash and cash equivalent

Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 3 [Member]

ASSETS

Cash and cash equivalent

Marketable Securities [Member]

ASSETS

Marketable securities

52,496

401

Liabilities

Operational Gain (losses) recognized in earnings

Financial Gain (losses) recognized in earnings

Total

Marketable Securities [Member] | Fair Value, Inputs, Level 1 [Member]

ASSETS

Marketable securities

52,496

Marketable Securities [Member] | Fair Value, Inputs, Level 2 [Member]

ASSETS

Marketable securities

Marketable Securities [Member] | Fair Value, Inputs, Level 3 [Member]

ASSETS

Marketable securities

Acquisition Liability Contingent Consideration [Member]

Liabilities

Acquisition liability contingent consideration

^[1]

55,679

37,991

Operational Gain (losses) recognized in earnings

^[1]

(18,654)

(22,794)

Financial Gain (losses) recognized in earnings

^[1]

Total

^[1]

(18,654)

(22,794)

Acquisition Liability Contingent Consideration [Member] | Fair Value, Inputs, Level 1 [Member]

Liabilities

Acquisition liability contingent consideration

^[1]

Acquisition Liability Contingent Consideration [Member] | Fair Value, Inputs, Level 2 [Member]

Liabilities

Acquisition liability contingent consideration

^[1]

Acquisition Liability Contingent Consideration [Member] | Fair Value, Inputs, Level 3 [Member]

Liabilities

Acquisition liability contingent consideration

^[1]

55,679

Acquisition Liability Note [Member]

Liabilities

Acquisition liability contingent consideration

^[2]

10,405

Operational Gain (losses) recognized in earnings

^[2]

(3,013)

(4,548)

Total

^[2]

(3,013)

(4,548)

Acquisition Liability Note [Member] | Fair Value, Inputs, Level 1 [Member]

Liabilities

Acquisition liability contingent consideration

^[2]

Acquisition Liability Note [Member] | Fair Value, Inputs, Level 2 [Member]

Liabilities

Acquisition liability contingent consideration

^[2]

Acquisition Liability Note [Member] | Fair Value, Inputs, Level 3 [Member]

Liabilities

Acquisition liability contingent consideration

^[2]

Acquisition Liability Warrant Consideration [Member]

Liabilities

Acquisition liability contingent consideration

^[3]

26,945

10,497

Operational Gain (losses) recognized in earnings

^[3]

(16,448)

(5,300)

Financial Gain (losses) recognized in earnings

^[3]

Total

^[3]

(16,448)

(5,300)

Acquisition Liability Warrant Consideration [Member] | Fair Value, Inputs, Level 1 [Member]

Liabilities

Acquisition liability contingent consideration

^[3]

Acquisition Liability Warrant Consideration [Member] | Fair Value, Inputs, Level 2 [Member]

Liabilities

Acquisition liability contingent consideration

^[3]

Acquisition Liability Warrant Consideration [Member] | Fair Value, Inputs, Level 3 [Member]

Liabilities

Acquisition liability contingent consideration

^[3]

26,945

Deerfield Royalty Agreement [Member]

Liabilities

Acquisition liability contingent consideration

^[4]

6,334

4,590

Operational Gain (losses) recognized in earnings

^[4]

Financial Gain (losses) recognized in earnings

^[4]

(1,844)

(2,028)

Total

^[4]

(1,844)

(2,028)

Deerfield Royalty Agreement [Member] | Fair Value, Inputs, Level 3 [Member]

Liabilities

Acquisition liability contingent consideration

^[4]

6,334

Broadfin Royalty Agreement [Member]

Liabilities

Acquisition liability contingent consideration

3,018

$ 2,187

Operational Gain (losses) recognized in earnings

Financial Gain (losses) recognized in earnings

(879)

Total

(879)

$ 0

Broadfin Royalty Agreement [Member] | Fair Value, Inputs, Level 3 [Member]

Liabilities

Acquisition liability contingent consideration

$ 3,000

[1]	Acquisition liability contingent consideration: the fair value is estimated using a discounted cash flow model based on probability adjusted projected annual gross profit of each of the products which formed the project portfolio at the time of acquisition of Éclat Pharmaceuticals (Note 9 Long Term Debt). The fair value of the contingent consideration will change over time in accordance with the changes in market conditions and thus business plan projections as the relate to market size, market share, product pricing, competitive landscape, gross profit margins expected for each of the products.
[2]	Acquisition liability Note: the Company uses a probability-weighted discounted cash flow model (see note 9 Long Term Debt). The note was repaid on March 24, 2014.
[3]	Acquisition liability warrant consideration: the Company uses a Black-Scholes option pricing model. The fair value of the warrant consideration will change over time depending on the volatility and share price at balance sheet date (see note 9 Long Term Debt).
[4]	Royalty Agreements: the fair value is estimated using a discounted cash flow model based on probability adjusted projected annual net sales of each of the products which may be approved and sold by Éclat Pharmaceuticals (Note 9 Long Term Debt). The discount rate is 20%.

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details 1) - USD ($)	9 Months Ended		12 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013	Dec. 31, 2012
Operational gain (loss) recognized in earnings	$ (38,111,000)	$ (32,641,000)
Fair Value, Inputs, Level 3 [Member]
Liability recorded upon acquisition	(58,893)			$ (50,927)
Operational gain (loss) recognized in earnings	(38,115)		$ (26,959)	$ 18,993
Payment of interest on acquisition liability note	1,390
Reimbursment of acquisition liability note	12,000
Payment of deferred consideration	994
Net carrying value	(82,624)		(58,893)
Deerfield Royalty Agreement [Member] \| Fair Value, Inputs, Level 3 [Member]
Liability recorded upon acquisition	(2,600)
Interest expense recognized in earnings	(1,844)		(2,028)
Payment of royalty	138
Net carrying value	(6,334)		(2,600)
Broadfin Royalty Agreement [Member] \| Fair Value, Inputs, Level 3 [Member]
Liability recorded upon acquisition	(2,187)
Interest expense recognized in earnings	(879)
Payment of royalty	48
Net carrying value	$ (3,018)		$ (2,187)

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details Textual)	9 Months Ended
FAIR VALUE OF FINANCIAL INSTRUMENTS (Details Textual)	Sep. 30, 2014
Fair Value Inputs, Discount Rate	20.00%