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Restructuring, Impairment and Costs of Terminated Program (Tables) | 12 Months Ended
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Dec. 31, 2023
Restructuring and Related Activities [Abstract] |
Schedule of Restructuring, Impairment and Costs of Terminated Program | Restructuring, impairment and costs of terminated program includes the following (in thousands):
| Year Ended December 31, |
| 2023 |  |  | 2022 |
| 2022 Restructuring Plan |  |  | 2023 Restructuring Plan |  |  | Total |  |  | 2022 Restructuring Plan |
Clinical trial expense, other third-party and employee costs for the wind down of the bempegaldesleukin program | $ | 5,492 |  |  | $ | — |  |  | $ | 5,492 |  |  | $ | 31,693 |
Severance and benefit expense |  | — |  |  |  | 7,885 |  |  |  | 7,885 |  |  |  | 30,904 |
Impairment of right-of-use assets and property, plant and equipment |  | 14,728 |  |  |  | 20,600 |  |  |  | 35,328 |  |  |  | 65,761 |
Loss (gain) on sale or disposal of other property, plant and equipment, net |  | — |  |  |  | 1,300 |  |  |  | 1,300 |  |  |  | (3,326 | )
Contract termination and other restructuring costs |  | 1,919 |  |  |  | 34 |  |  |  | 1,953 |  |  |  | 10,898 |
Restructuring, impairment and costs of terminated program | $ | 22,139 |  |  | $ | 29,819 |  |  | $ | 51,958 |  |  | $ | 135,930 |
The following table provides details regarding the severanc e and benefit expense for the years ended December 31, 2023 and 2022 pursuant to the 2022 and 2023 Restructuring Plans and a reconciliation of the severance and benefits liability for the year ended December 31, 2023 pursuant to the 2022 and 2023 Restructuring Plans, which we report within accrued expenses on our Consolidated Balance Sheets (in thousands):
|  | 2023 Restructuring Plan |  |  | 2022 Restructuring Plan |  |  | Total |
Liability balance as of December 31, 2021 |  | $ | — |  |  | $ | — |  |  | $ | — |
Expense recognized during the period |  |  | — |  |  |  | 30,904 |  |  |  | 30,904 |
Payments during the period |  |  | — |  |  |  | (27,605 | ) |  |  | (27,605 | )
Liability balance as of December 31, 2022 |  | $ | — |  |  | $ | 3,299 |  |  | $ | 3,299 |
Expense recognized during the period |  |  | 7,885 |  |  |  | — |  |  |  | 7,885 |
Payments during the period |  |  | (7,689 | ) |  |  | (3,299 | ) |  |  | (10,988 | )
Liability balance as of December 31, 2023 |  | $ | 196 |  |  | $ | — |  |  | $ | 196 |
We recorded non-cash impairment charges of lease assets pertaining to the 2022 and 2023 Restructuring Plans as follows (in thousands):
|  | Three-months Ended |
Sublease Spaces |  | June 30, 2022 |  |  | September 30, 2022 |  |  | December 31, 2022 |  |  | March 31, 2023 |  |  | June 30, 2023 |  |  | September 30, 2023 |  |  | December 31, 2023 |  |  | Total |
Mission Bay Blvd. South |  | $ | 3,000 |  |  | $ | 1,200 |  |  | $ | 361 |  |  | $ | — |  |  | $ | 7,061 |  |  | $ | 1,467 |  |  | $ | — |  |  | $ | 13,089 |
Third St |  |  | 49,200 |  |  |  | — |  |  |  | 12,000 |  |  |  | — |  |  |  | 6,200 |  |  |  | — |  |  |  | — |  |  |  | 67,400 |
Total 2022 Restructuring Plan |  |  | 52,200 |  |  |  | 1,200 |  |  |  | 12,361 |  |  |  | — |  |  |  | 13,261 |  |  |  | 1,467 |  |  |  | — |  |  |  | 80,489 |
Mission Bay Blvd. South - 2023 Restructuring Plan |  | N/A |  |  | N/A |  |  | N/A |  |  |  | 11,500 |  |  |  | — |  |  |  | 9,100 |  |  |  | — |  |  |  | 20,600 |
Total impairment of lease assets |  | $ | 52,200 |  |  | $ | 1,200 |  |  | $ | 12,361 |  |  | $ | 11,500 |  |  | $ | 13,261 |  |  | $ | 10,567 |  |  | $ | — |  |  | $ | 101,089 |
The following are reconciliations of the impairment charges we recorded for the years ended December 31, 2023 and 2022, including the net book values of the sublease assets before the impairment and the fair values of the sublease assets. Since we recorded multiple impairment charges for certain spaces as a resulting of worsening lease markets, we present the net book value before the first impairment in such year and the fair value after the second impairment in such year (in thousands):
|  | Year Ended December 31, 2022 |
|  | Operating Lease |  |  | Property, Plant and |  |  |  |
|  | Right-of-Use Assets |  |  | Equipment |  |  | Total |
Net book value of impaired sublease assets |  | $ | 72,481 |  |  | $ | 16,348 |  |  | $ | 88,829 |
Less: Fair value of impaired sublease assets — Level 3 of Fair Value Hierarchy |  |  | (16,174 | ) |  |  | (4,780 | ) |  |  | (20,954 | )
Book value in excess of fair value |  |  | 56,307 |  |  |  | 11,568 |  |  |  | 67,875 |
Less: Amounts recorded as amortization between June 30, 2022 and December 31, 2022 for Third St. facility |  |  | (1,717 | ) |  |  | (397 | ) |  |  | (2,114 | )
Total impairment of sublease assets |  | $ | 54,590 |  |  | $ | 11,171 |  |  | $ | 65,761 |
|  | Year Ended December 31, 2023 |
|  | Operating Lease Right-of-Use Assets |  |  | Property, Plant and Equipment |  |  | Total |
Net book value of impaired facilities before write-off |  | $ | 46,292 |  |  | $ | 7,206 |  |  | $ | 53,498 |
Less: Fair value of impaired facilities — Level 3 of Fair Value Hierarchy |  |  | (14,364 | ) |  |  | (2,172 | ) |  |  | (16,536 | )
Book value in excess of fair value |  |  | 31,928 |  |  |  | 5,034 |  |  |  | 36,962 |
Less: Amounts recorded as amortization between March 31, 2023 and September 30, 2023 for Mission Bay facility |  |  | (1,371 | ) |  |  | (263 | ) |  |  | (1,634 | )
Total impairment of right-of-use assets and property, plant and equipment |  | $ | 30,557 |  |  | $ | 4,771 |  |  | $ | 35,328 |
The following is a reconciliation of the contract termination and other costs for the 2022 Restructuring Plan and the related liability of which we report $3.0 million within accrued expenses and the remaining within other long-term liabilities on our Consolidated Balance Sheet as of December 31, 2023:
|  | Year Ended |
|  | December 31, 2023 |
Liability balance as of December 31, 2021 |  | $ | — |
Expense recognized during the period |  |  | 10,898 |
Payments during the period |  |  | (3,188 | )
Liability balance as of December 31, 2022 |  |  | 7,710 |
Expense recognized during the period |  |  | 1,919 |
Payments during the period |  |  | (4,087 | )
Liability balance as of December 31, 2023 |  | $ | 5,542 |
Schedule of Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment consists of the following (in thousands):
|  | December 31, |
|  | 2023 |  |  | 2022 |
Building and leasehold improvements |  | $ | 43,184 |  |  | $ | 74,889 |
Laboratory equipment |  |  | 14,537 |  |  |  | 24,243 |
Computer equipment and software |  |  | 22,438 |  |  |  | 26,205 |
Manufacturing equipment |  |  | 24,315 |  |  |  | 25,052 |
Furniture, fixtures, and other |  |  | 541 |  |  |  | 4,263 |
Depreciable property, plant and equipment at cost |  |  | 105,015 |  |  |  | 154,652 |
Less: accumulated depreciation |  |  | (86,898 | ) |  |  | (124,731 | )
Depreciable property, plant and equipment, net |  |  | 18,117 |  |  |  | 29,921 |
Construction-in-progress |  |  | 739 |  |  |  | 2,530 |
Property, plant and equipment, net |  | $ | 18,856 |  |  | $ | 32,451 |
We recorded the gains and losses as follows (in thousands):
|  | Year Ended December 31, |
|  | 2023 |  | 2022 |
Proceeds from sales |  | $ | 1,245 |  | $ | 13,196 |
Net book value of assets |  |  | 2,545 |  |  | 9,870 |
Total (gain) loss on sale or disposal of other property, plant and equipment, net |  | $ | 1,300 |  | $ | (3,326 | )

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