Fortress Biotech, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Property and Equipment

Property and Equipment

9 Months Ended

Sep. 30, 2017

Property, Plant and Equipment [Abstract]

6. Property and Equipment

Fortress's property and equipment, exclusive of National's property and equipment, consisted of the following ($ in thousands):

	Estimated Useful	September 30,		December 31,
	Lives (in years)	2017		2016
Computer equipment	3	$	523	$	440
Furniture and fixtures	5		1,002		821
Leasehold improvements	Various		5,351		5,396
Construction in process ⁽¹⁾	N/A		139		-
Total property and equipment			7,015		6,657
Less: accumulated depreciation			(986)		(445)
Property and equipment, net		$	6,029	$	6,212

(1)

In connection with Mustang’s manufacturing facility, Mustang incurred $0.1 million related to the design of the facility as of September 30, 2017.

Fortress's depreciation expense for the three months ended September 30, 2017 and 2016, was approximately $0.2 million and $0.2 million, respectively, and was recorded in both research and development expense and general and administrative expense in the Condensed Consolidated Statements of Operations. Fortress's depreciation expense for the nine months ended September 30, 2017 and 2016, was approximately $0.5 million and $0.2 million, respectively, and was recorded in both research and development expense and general and administrative expense in the Condensed Consolidated Statements of Operations.

National's property and equipment as of June 30, 2017 consisted of the following ($ in thousands):

	Estimated Useful		June 30,
	Lives (in years)		2017
Equipment		5	$	1,305
Furniture and fixtures		5		240
Leasehold improvements		Lesser of useful life or term of lease		685
Capital leases (primarily composed of computer equipment)		5		276
Total property and equipment				2,506
Less: accumulated depreciation				(314)
Property and equipment, net			$	2,192