Revenue Recognition

6 Months Ended

Jun. 30, 2018

9. Revenue Recognition

Our source of product revenue for six months ended June 30, 2018, consists of sales of HEPLISAV-B in the U.S. The following table summarizes balances and activity in each of the product revenue allowance and reserve categories for the six months ended June 30, 2018 (in thousands):

	Chargebacks, discounts and other fees			Returns		Total
Balance at December 31, 2017	$	-		$	-	$	-
Provision related to current period sales		825			118		943
Credit or payments made during the period		(262	)		-		(262	)
Balance at June 30, 2018	$	563		$	118	$	681

At June 30, 2018, reserves for chargebacks and discounts totaling $0.4 million were recorded as reductions of accounts receivable while the remaining reserves balances totaling $0.3 million were recorded as accrued liabilities in the condensed consolidated balance sheets.