FY2018First statedAnnual report
「In addition, our U.S. subsidiary Avanir Pharmaceuticals, headquartered in California, reached an agreement in principle with the U.S. Department of Justice regarding a settlement of the Department's investigation into its past promotional activities for NUEDEXTA®, a treatment for pseudobulbar affect in the United States. The agreement will take effect upon execution of a final agreement between Avanir Pharmaceuticals and the Department of Justice, which is currently under negotiation. However, because payments of US$120 million are expected as settlement and other costs, ¥10,064 million, excluding the amount expensed in the previous consolidated fiscal year, was recognized in selling, general and administrative expenses.」
For the first time, the Company disclosed the U.S. Department of Justice investigation into Avanir's past promotional activities and the agreement in principle on a settlement, recognizing ¥10,064 million in expenses based on expected settlement and other payments of US$120 million.