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Note 14 - Product Sale and Purchase Commitments | 12 Months Ended
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Dec. 31, 2018
Notes |
Note 14 - Product Sale and Purchase Commitments | Note 14 - Product Sale and Purchase Commitments The Company has had license agreements for the rights to develop and market certain products or technologies owned by unrelated parties. The confidential terms of such agreements are unique and varied, depending on many factors relating to the value and stage of development of the technology licensed. Royalties on future product sales are a normal component of such agreements and are included in the Company’s cost of goods sold on an ongoing basis. In 2018, 2017 and 2016, UTMD received royalties of $76, $86 and $91, respectively, for the use of intellectual property of Filshie Clip System as part of Femcare’s exclusive U.S. distribution agreement with CSI. UTMD had $1,638 in operating lease and purchase commitments as of December 31, 2018. In addition, on December 31, 2018, UTMD entered into a definitive purchase agreement with CSI to purchase the remaining term of CSI’s exclusive distribution agreement with Femcare Ltd. for the Filshie Clip System in the US for $21,000. As part of this agreement, UTMD will also purchase the remaining CSI inventory for approximately $2,000.

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