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Cover Page - shares shares in Millions	6 Months Ended
Cover Page - shares shares in Millions	Jun. 30, 2019	Jul. 26, 2019
Cover page.
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2019
Document Transition Report	false
Entity File Number	001-33137
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	14-1902018
Entity Address, Address Line One	400 Professional Drive
Entity Address, Address Line Two	Suite 400
Entity Address, City or Town	Gaithersburg
Entity Address, State or Province	MD
Entity Address, Postal Zip Code	20879
City Area Code	240
Local Phone Number	631-3200
Title of 12(b) Security	Common Stock, Par Value $0.001 per share
Trading Symbol	EBS
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		51.6
Entity Registrant Name	Emergent BioSolutions Inc.
Entity Central Index Key	0001367644
Current Fiscal Year End Date	--12-31
Amendment Flag	false
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2

Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Jun. 30, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents	$ 177.4	$ 112.2
Restricted cash	0.2	0.2
Accounts receivable, net	218.1	262.5
Inventories	232.0	205.8
Prepaid expenses and other current assets	65.0	40.1
Total current assets	692.7	620.8
Property, plant and equipment, net	520.5	510.2
Intangible assets, net	742.4	761.6
In-process research and development	41.0	50.0
Goodwill	268.3	259.7
Other assets	56.4	27.1
Total assets	2,321.3	2,229.4
Current liabilities:
Accounts payable	124.5	80.7
Accrued expenses	54.8	30.7
Contingent consideration, current portion	54.6	5.6
Accrued compensation	44.7	58.2
Debt, current portion	10.1	10.1
Other current liabilities	12.5	15.1
Total current liabilities	301.2	200.4
Contingent consideration	10.4	54.4
Non-current portion of debt	830.4	784.5
Deferred tax liability	65.6	67.5
Deferred revenue	77.0	62.5
Other liabilities	47.8	49.2
Total liabilities	1,332.4	1,218.5
Commitments and contingencies (Notes 8 & 16)
Stockholders' equity:
Preferred stock, $0.001 par value; 15.0 shares authorized, no shares issued or outstanding at both 2019 and 2018	0.0	0.0
Common stock, $0.001 par value; 200.0 shares authorized, 52.7 shares issued and 51.6 shares outstanding at 2019; 52.4 shares issued and 51.2 shares outstanding at 2018	0.1	0.1
Treasury stock, at cost, 1.2 common shares at both 2019 and 2018	(39.7)	(39.6)
Additional paid-in capital	701.8	688.6
Accumulated other comprehensive loss	(5.0)	(5.5)
Retained earnings	331.7	367.3
Total stockholders' equity	988.9	1,010.9
Total liabilities and stockholders' equity	$ 2,321.3	$ 2,229.4

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2019	Dec. 31, 2018
Stockholders' equity:
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized (in shares)	15,000,000.0	15,000,000.0
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	200,000,000.0	200,000,000.0
Common stock, shares issued (in shares)	52,700,000	52,400,000
Common stock, shares outstanding (in shares)	51,600,000	51,200,000
Treasury stock (in shares)	1,200,000	1,200,000

Condensed Consolidated Statements of Operations - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Revenues:
Total revenues	$ 243.2	$ 220.2	$ 433.9	$ 338.0
Operating expenses:
Cost of product sales and contract manufacturing	100.8	85.3	192.7	139.4
Research and development	63.9	24.7	110.0	53.8
Selling, general and administrative	70.8	39.5	136.4	79.7
Amortization of acquisition-related intangible assets	14.7	3.9	29.2	7.8
Total operating expenses	250.2	153.4	468.3	280.7
(Loss) income from operations	(7.0)	66.8	(34.4)	57.3
Other income (expense):
Interest expense	(9.5)	(1.0)	(19.0)	(1.2)
Other income, net	1.4	0.0	0.4	0.3
Total other expense, net	(8.1)	(1.0)	(18.6)	(0.9)
(Loss) income before income taxes	(15.1)	65.8	(53.0)	56.4
Income tax (benefit) expense	(5.6)	15.7	(17.4)	11.2
Net (loss) income	$ (9.5)	$ 50.1	$ (35.6)	$ 45.2
Net (loss) income per common share
Basic (in dollars per share)	$ (0.18)	$ 1.00	$ (0.69)	$ 0.91
Diluted (in dollars per share)	$ (0.18)	$ 0.98	$ (0.69)	$ 0.89
Shares used in computing (loss) income per share
Basic (in shares)	51,500,000	49,900,000	51,300,000	49,700,000
Diluted (in shares)	51,500,000	51,200,000	51,300,000	51,000,000.0
Product sales, net
Revenues:
Total revenues	$ 183.5	$ 180.1	$ 336.5	$ 255.8
Contract manufacturing
Revenues:
Total revenues	18.7	23.6	34.6	49.8
Contracts and grants
Revenues:
Total revenues	$ 41.0	$ 16.5	$ 62.8	$ 32.4

Condensed Consolidated Statements of Comprehensive (Loss) Income - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Statement of Comprehensive Income [Abstract]
Net (loss) income	$ (9.5)	$ 50.1	$ (35.6)	$ 45.2
Other comprehensive (loss) income, net of tax:
Foreign currency translations, net of tax	0.7	(1.2)	1.7	(0.7)
Derivatives	(1.2)		(1.2)
Derivatives		0.0		0.0
Total other comprehensive (loss) income, net of tax	(0.5)	(1.2)	0.5	(0.7)
Comprehensive (loss) income	$ (10.0)	$ 48.9	$ (35.1)	$ 44.5

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Cash flows provided by (used in) operating activities:
Net loss	$ (35.6)	$ 45.2
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Share-based compensation expense	14.9	11.7
Depreciation and amortization	55.1	24.7
Amortization of deferred financing costs	1.5	0.0
Deferred income taxes	(1.3)	8.5
Change in fair value of contingent consideration, net	5.5	1.7
Other	2.9	1.2
Changes in operating assets and liabilities:
Accounts receivable	44.6	(46.2)
Inventories	(26.1)	3.4
Prepaid expenses and other assets	(44.9)	(9.3)
Accounts payable	42.6	(4.4)
Accrued expenses	6.9	5.6
Accrued compensation	(13.5)	(8.6)
Deferred revenue	16.4	0.1
Net cash provided by operating activities:	69.0	33.6
Cash flows used in investing activities:
Purchases of property, plant and equipment and other	(35.5)	(25.2)
Milestone payment from prior asset acquisition	(10.0)	0.0
Proceeds from sale of assets	0.0	2.6
Net cash used in investing activities:	(45.5)	(22.6)
Cash flows provided by (used in) financing activities:
Proceeds from revolving credit facility	130.0	0.0
Principal payments on revolving credit facility	(80.0)	0.0
Principal payments on term loan facility	(5.6)	0.0
Issuances of stock under share-based benefit plans	4.6	8.5
Taxes paid on behalf of employees for equity activity	(6.3)	(6.0)
Contingent consideration payments	(1.0)	(1.3)
Purchase of treasury stock	0.0	(0.1)
Net cash provided by financing activities:	41.7	1.1
Effect of exchange rate changes on cash, cash equivalents and restricted cash	0.0	(0.1)
Net increase in cash, cash equivalents and restricted cash	65.2	12.0
Cash, cash equivalents and restricted cash at beginning of period	112.4	179.3
Cash, cash equivalents and restricted cash at end of period	$ 177.6	$ 191.3

Condensed Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Millions	Total	$0.001 Par Value Common Stock	Additional Paid-In Capital	Treasury Stock	Accumulated Other Comprehensive Loss	Retained Earnings
Balance (in shares) at Dec. 31, 2017		(50,600,000)		(1,200,000)
Balance at Dec. 31, 2017	$ 912.3	$ 0.1	$ 618.4	$ (39.5)	$ (3.8)	$ 337.1
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Employee equity plans activity (in shares)		600,000
Employee equity plans activity	14.0		14.1	$ (0.1)
Net loss	45.2					45.2
Other comprehensive income	(0.7)				(0.7)
Balance (in shares) at Jun. 30, 2018		(51,200,000)		(1,200,000)
Balance at Jun. 30, 2018	938.3	$ 0.1	632.5	$ (39.6)	(4.5)	349.8
Balance (in shares) at Mar. 31, 2018		(51,000,000.0)		(1,200,000)
Balance at Mar. 31, 2018	881.3	$ 0.1	624.4	$ (39.6)	(3.3)	299.7
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Employee equity plans activity (in shares)		200,000
Employee equity plans activity	8.1		8.1
Net loss	50.1					50.1
Other comprehensive income	(1.2)				(1.2)
Balance (in shares) at Jun. 30, 2018		(51,200,000)		(1,200,000)
Balance at Jun. 30, 2018	$ 938.3	$ 0.1	632.5	$ (39.6)	(4.5)	349.8
Balance (in shares) at Dec. 31, 2018	(52,400,000)	(52,400,000)		(1,200,000)
Balance at Dec. 31, 2018	$ 1,010.9	$ 0.1	688.6	$ (39.6)	(5.5)	367.3
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Employee equity plans activity (in shares)		300,000
Employee equity plans activity	13.1		13.2	$ (0.1)
Net loss	(35.6)					(35.6)
Other comprehensive income	$ 0.5				0.5
Balance (in shares) at Jun. 30, 2019	(52,700,000)	(52,700,000)		(1,200,000)
Balance at Jun. 30, 2019	$ 988.9	$ 0.1	701.8	$ (39.7)	(5.0)	331.7
Balance (in shares) at Mar. 31, 2019		(52,600,000)		(1,200,000)
Balance at Mar. 31, 2019	987.3	$ 0.1	690.1	$ (39.6)	(4.5)	341.2
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Employee equity plans activity (in shares)		100,000
Employee equity plans activity	11.6		11.7	$ (0.1)
Net loss	(9.5)					(9.5)
Other comprehensive income	$ (0.5)				(0.5)
Balance (in shares) at Jun. 30, 2019	(52,700,000)	(52,700,000)		(1,200,000)
Balance at Jun. 30, 2019	$ 988.9	$ 0.1	$ 701.8	$ (39.7)	$ (5.0)	$ 331.7

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

Condensed Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - $ / shares	Jun. 30, 2019	Dec. 31, 2018
Statement of Stockholders' Equity [Abstract]
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001

Business

6 Months Ended

Jun. 30, 2019

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Business

Emergent is a global life sciences company focused on providing specialty products for civilian and military populations that address accidental, deliberate and naturally occurring PHTs.

The Company is focused on innovative preparedness and response products and solutions addressing the following four distinct PHT categories: Chemical, Biological, Radiological, Nuclear and Explosives (CBRNE); emerging infectious diseases (EID); travelers’ diseases; and opioids. The USG is the Company's largest customer and provides the Company with substantial funding for the development of a number of the Company's product candidates.

The majority of the Company's revenue comes from a product portfolio that includes:


•	Vaccines and Anti-Infectives - BioThrax® (Anthrax Vaccine Adsorbed), ACAM2000® (Smallpox (Vaccinia) Vaccine, Live), Vaxchora® (Cholera Vaccine, Live, Oral), and Vivotif® (Typhoid Vaccine, Live, Oral Ty21a).


•	Devices - NARCAN® (naloxone HCl) Nasal Spray for opioid overdose, RSDL® (Reactive Skin Decontamination Lotion Kit), and the Trobigard® (atropine sulfate, obidoxime chloride a nerve agent countermeasure) auto-injector.


•	Antibody Therapeutics - raxibacumab (Anthrax Monoclonal antibody therapeutic for anthrax), Anthrasil®( Anthrax Immune Globulin Intravenous (Human)), BAT®(Botulism Antitoxin Heptavalent), and VIGIV (Vaccinia Immune Globulin Intravenous (Human) therapeutic) for complications from smallpox vaccinations.

The Company also generates revenue from contract development and manufacturing services including pharmaceutical product process development, manufacturing and filling services for injectable and other sterile products, inclusive of process design, technical transfer, manufacturing validations, laboratory analytical development support, aseptic filling, lyophilization, final packaging and accelerated and ongoing stability studies, as well as manufacturing of vial and pre-filled syringe formats, bulk drug products and finished units of clinical and commercial drugs.

We operate as one operating segment.

Basis of Presentation and Principles of Consolidation	6 Months Ended
Basis of Presentation and Principles of Consolidation	Jun. 30, 2019
Accounting Policies [Abstract]
Basis of Presentation and Principles of Consolidation	Basis of Presentation and Principles of Consolidation Basis of Presentation The accompanying unaudited condensed consolidated financial statements include the accounts of Emergent and its wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. The unaudited consolidated financial statements included herein have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X issued by the SEC. Certain information and footnote disclosures normally included in consolidated financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto contained in the Company's Annual Report on Form 10-K for the year ended December 31, 2018, as filed with the SEC. All adjustments contained in the accompanying unaudited condensed consolidated financial statements are of a normal recurring nature and are necessary to present fairly the financial position of the Company as of June 30, 2019. Interim results are not necessarily indicative of results that may be expected for any other interim period or for an entire year. Significant Accounting Policies During the six months ended June 30, 2019, there have been no significant changes to the Company's summary of significant accounting policies contained in the Company's Annual Report on Form 10-K for the year ended December 31, 2018, as filed with the SEC, except for recently adopted accounting standards. Fair Value Measurements Separate disclosure is required for assets and liabilities measured at fair value on a recurring basis from those measured at fair value on a non-recurring basis. The Company has interest rate swaps and contingent consideration liabilities that are measured at fair value on a recurring basis (Note 8 and Note 9). The Company also records the assets and liabilities of acquisitions at fair value (Note 3). As of June 30, 2019 and December 31, 2018, the Company had no other significant assets or liabilities that were measured at fair value on a non-recurring basis. Recently Adopted Accounting Pronouncements Leases In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) 2016-02, Leases, which increases transparency and comparability among organizations by requiring the recognition of lease assets and lease liabilities on the balance sheet and disclosure of key information about leasing arrangements for both lessees and lessors. The Company adopted the new standard effective January 1, 2019 using the modified retrospective approach. As of January 1, 2019 total right of use assets increased $13.4 million, while total operating lease liabilities increased $14.0 million. There was no adjustment to the opening balance of retained earnings as of January 1, 2019. The standard will not materially affect the Company's consolidated net earnings. The Company continues to apply the legacy guidance from the old lease accounting standard, including its disclosure requirements, in the comparative periods presented. The Company did not reassess existing contracts for lease classification or the classification of existing leases or associated costs. The Company will not reflect leases with an initial term of 12 months or less as a right of use asset or liability, but will recognize those lease payments in the consolidated statements of operations on a straight-line basis over the lease term. In addition, the Company will account for non-lease components of the arrangement separate from lease components (see Note 6). SEC Simplification In August 2018, the SEC issued Final Rule Release No. 33-10532, Disclosure Update and Simplification, which makes a number of changes meant to simplify interim disclosures. The new rule requires a presentation of changes in stockholders’ equity and noncontrolling interest in the form of a reconciliation, for the current and comparative year-to-date interim periods. The Company adopted the new disclosure requirements beginning in its March 31, 2019 Form 10-Q and included these disclosures in the condensed consolidated statements of changes in stockholders' equity. The additional elements of this release did not have a material impact on the Company's overall condensed consolidated financial statements. Tax Effects from Accumulated Other Comprehensive Income In February 2018, the FASB issued ASU 2018-02, Income Statement—Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. ASU 2018-02 provides the option to reclassify certain income tax effects related to the Tax Cuts and Jobs Act passed in December of 2017 between accumulated other comprehensive income and retained earnings and also requires additional disclosures. The Company adopted the new standard effective January 1, 2019. There was no impact for the adoption of ASU 2018-02 on the Company's condensed consolidated financial statements. New Accounting Pronouncements Financial Instruments - Credit Losses In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses. ASU 2016-13 provides guidance on measurement of credit losses on financial instruments that changes the impairment model for most financial assets and certain other instruments, including trade and other receivables, held-to-maturity debt securities and loans, and that requires entities to use a new, forward-looking “expected loss” model that is likely to result in the earlier recognition of allowances for losses. The guidance was further amended in January 2019 to clarify or address stakeholders’ specific issues about certain aspects of the amendments in the update and in May 2019 to provide an option to irrevocably elect the fair value option for certain financial assets previously measured on an amortized cost basis. The guidance is effective for annual periods beginning after December 15, 2019, including interim periods within those years, but early adoption is permitted. The Company is currently evaluating the effect that the pronouncement will have on its consolidated financial statements. Goodwill In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. ASU 2017-04 simplifies the subsequent measurement of goodwill and eliminates Step 2 from the goodwill impairment test. ASU 2017-04 is effective for annual and interim goodwill tests beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates on or after January 1, 2017. The Company is currently evaluating the impact that the adoption of this standard will have on its condensed consolidated financial statements. Fair Value Measurements In August 2018 the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement. This new standard modifies certain disclosure requirements on fair value measurements. This new standard will be effective for the Company on January 1, 2020. The Company does not expect that the adoption of this new standard will have a material impact on the Company's disclosures. Compensation - Retirement Benefits - Defined Benefit Plans In August 2018, the FASB issued ASU 2018-14, Compensation - Retirement Benefits - Defined Benefit Plans - General. ASU 2018-14 modifies the disclosure requirements for defined benefit pension plans and other postretirement plans. ASU 2018-14 is effective for all entities for fiscal years ending after December 15, 2020, and earlier adoption is permitted. The Company is currently evaluating the impact of adopting ASU 2018-14 on its consolidated financial statements. There are no other recently issued accounting pronouncements that are expected to have a material impact on the Company's financial position, results of operations or cash flows.

Acquisitions

6 Months Ended

Jun. 30, 2019

Business Combinations [Abstract]

Acquisitions

Adapt

On October 15, 2018, the Company acquired Adapt, a company focused on developing new treatment options and commercializing products addressing opioid overdose and addiction. Adapt's NARCAN® (naloxone HCl) Nasal Spray marketed product is the first needle-free formulation of naloxone approved by the FDA and Health Canada for the emergency treatment of known or suspected opioid overdose as manifested by respiratory and/or central nervous system depression. This acquisition includes approximately 50 employees, located in the U.S., Canada, and Ireland, including those responsible for supply chain management, research and development, government affairs, and commercial operations. The products and product candidates within Adapt's portfolio are consistent with the Company's mission and expands the Company's core business of addressing public health threats.

Under the acquisition method of accounting, the assets and liabilities of Adapt have been recorded as of October 15, 2018, the acquisition date, at their respective fair values, and combined with those of the Company. As the Company continues to finalize the fair value of assets acquired and liabilities assumed, purchase price adjustments have been recorded and additional purchase price adjustments may be recorded during the measurement period. The Company reflects measurement period adjustments in the period in which the adjustments occur. The adjustments for the six months ended June 30, 2019 resulted from the receipt of additional financial information associated with certain acquired contract assets and the value of associated contingent purchase consideration. These adjustments did not impact the Company's statements of operations. As of June 30, 2019, certain fair value estimates relating to intangible assets acquired and income taxes could be subject to further adjustment.

The total purchase price, revised for current period adjustments is summarized below:



	October 15, 2018
Cash	$	581.5
Equity	37.7
Fair value of contingent purchase consideration	48.0
Preliminary purchase consideration	667.2
Adjustments	1.5
Updated purchase consideration	$	668.7

The Company issued 733,309 shares of common stock at $60.44 per share, the closing price of Emergent's common stock on October 15, 2018, with a total value of $44.3 million. The $44.3 million value of the common shares issued has been adjusted to a fair value of $37.7 million considering a discount for lack of marketability due to a two-year lock-up period beginning on October 15, 2018. The remaining contingent consideration payable for the acquisition consists of up to $100 million in cash based on the achievement of certain sales milestones through 2022, which the Company has determined had a fair value of 48.0 million as of June 30, 2019 and for the payment of additional consideration based on the collectability of identified acquired contract assets. The fair value of the contingent purchase consideration is based on management’s assessment of the potential future realization of the contingent purchase consideration

payments. This assessment is based on inputs that have no observable market inputs (Level 3). The obligation is measured using a discounted cash flow model.

The table below summarizes the preliminary allocation of the purchase price based upon estimated fair values of assets acquired and liabilities assumed at October 15, 2018 updated for measurement period adjustments recorded through June 30, 2019.



	October 15, 2018			Measurement Period Adjustments			Updated October 15, 2018
Estimated fair value of tangible assets acquired and liabilities assumed:
Cash	$	17.7		$	—		$	17.7
Accounts receivable	21.3			—			21.3
Inventory	41.4			—			41.4
Prepaid expenses and other assets	7.8			3.0			10.8
Accounts payable	(32.2		)	—			(32.2		)
Accrued expenses and other liabilities	(50.4		)	—			(50.4		)
Deferred tax liability, net	(62.4		)	(0.5		)	(62.9		)
Total estimated fair value of tangible assets acquired and liabilities assumed	(56.8		)	2.5			(54.3		)

Acquired in-process research and development	41.0			—			41.0
Acquired intangible assets	534.0			—			534.0
Goodwill	149.0			(1.0		)	148.0
Total purchase price	$	667.2		$	1.5		$	668.7

The Company determined the estimated fair value of the intangible asset using the income approach. The preliminary estimated fair value of the intangible asset acquired for Adapt's marketed product NARCAN® Nasal Spray is valued at $534.0 million. The Company has determined the useful life of the NARCAN® Nasal Spray intangible asset to be 15 years. The Company estimated the fair value of the NARCAN® Nasal Spray intangible asset using the income approach which is based on the present value of future cash flows with a discount rate of 10.5%, which is based on the estimated weighted-average cost of capital for companies with profiles substantially similar to that of Adapt. This is comparable to the estimated internal rate of return for the acquisition and represents the rate that market participants would use to value these intangible assets. The projected cash flows from the NARCAN® Nasal Spray intangible asset were based on key assumptions including: estimates of revenues and operating profits, and risks related to the viability of and potential alternative treatments in any future target markets. The fair value measurements are based on significant unobservable inputs that are developed by the Company using estimates and assumptions of the respective market and market penetration of the acquired company's products.

The intangible asset associated with the IPR&D acquired from Adapt is related to a product candidate. Management determined that the estimated acquisition-date fair value of intangible assets related to IPR&D was $41.0 million. The estimated fair value was determined using the income approach, which discounts expected future cash flows to present value. The Company estimated the fair value using a discount rate of 11.0%, which is based on the estimated weighted-average cost of capital for companies with profiles substantially similar to that of Adapt and IPR&D assets at a similar stage of development as the product candidate. This is comparable to the estimated internal rate of return for the acquisition and represents the rate that market participants would use to value the IPR&D. The projected cash flows for the product candidate were based on key assumptions including: estimates of revenues and operating profits, the stage of development of pipeline programs on the acquisition date; the time and resources needed to complete the development and approval of the product candidate; the life of the potential commercialized product and associated risks, including the inherent difficulties and uncertainties in developing a product candidate, such as obtaining marketing approval from the FDA and other regulatory agencies; and risks related to the viability of and potential for alternative treatments in any future target markets. IPR&D assets are considered to be indefinite-lived until the completion or abandonment of the associated research and development efforts (see Note 7).

The Company determined the fair value of inventory using the comparative sales method, which estimates the expected sales price reduced for all costs expected to be incurred to complete/dispose of the inventory with a profit on those costs.

The Company has recorded $148.0 million in goodwill related to the Adapt acquisition, which is calculated as the purchase price paid in excess of the fair value of the tangible and intangible assets acquired representing the future economic benefits the Company expects to receive as a result of the acquisition. The goodwill created from the Adapt acquisition is associated with early stage pipeline products. Substantially all of the goodwill generated from the Adapt acquisition is not expected to be deductible for tax purposes due to the legal structure of the transaction.

PaxVax

On October 4, 2018, the Company completed the acquisition of PaxVax, a company focused on developing, manufacturing, and commercializing specialty vaccines that protect against existing and emerging infectious diseases. This acquisition includes Vivotif® (Typhoid Vaccine Live Oral Ty21a), the only oral vaccine licensed by the FDA for the prevention of typhoid fever, Vaxchora® (Cholera Vaccine, Live, Oral), the only FDA-licensed vaccine for the prevention of cholera, and clinical-stage vaccine candidates targeting chikungunya and other emerging infectious diseases, European-based current good manufacturing practices (cGMP) biologics manufacturing facilities, and approximately 250 employees including those in research and development, manufacturing, and commercial operations with a specialty vaccines salesforce in the U.S. and in select European countries. The products and product candidates within PaxVax's portfolio are consistent with the Company’s mission and will expand the Company’s core business of addressing PHTs. In addition, the acquisition expands the Company's manufacturing infrastructure and related capabilities.

The Company paid cash consideration of $273.1 million for PaxVax. As of the date of this filing, the accounting for the PaxVax acquisition is preliminary due to the Company's need to gather data to assess the fair value of property, plant and equipment, intangible assets and accounting for taxes. The table below summarizes the preliminary allocation of the purchase price based upon estimated fair values of assets acquired and liabilities assumed at October 4, 2018 updated for measurement period adjustments recorded through June 30, 2019.



	October 4, 2018			Measurement Period Adjustments			Updated October 4, 2018
Estimated fair value of tangible assets acquired and liabilities assumed:
Cash	$	9.0		$	—		$	9.0
Accounts receivable	4.1			—			4.1
Inventory	19.7			—			19.7
Prepaid expenses and other assets	12.2			—			12.2
Property, plant and equipment	57.8			—			57.8
Deferred tax assets	3.8			—			3.8
Accounts payable	(3.5		)	—			(3.5		)
Accrued expenses and other liabilities	(33.6		)	(0.4		)	(34.0		)
Total estimated fair value of tangible assets acquired and liabilities assumed	69.5			(0.4		)	69.1

Acquired in-process research and development	9.0			(9.0		)	—
Acquired intangible assets	133.0			—			133.0
Goodwill	61.6			9.4			71.0
Total purchase price	$	273.1		$	—		$	273.1

The preliminary estimated fair value of the intangible assets acquired for PaxVax's marketed products is a total of $133.0 million. The Company determined the estimated fair value of the intangible assets using the income approach, which is based on the present value of future cash flows. The fair value measurements are based on significant unobservable inputs that are developed by the Company using estimates and assumptions of the respective market and market penetration of the acquired products. The Company has determined that the weighted average useful lives of the intangible assets to be 19 years. The Company estimated the fair value of the Vivotif and Vaxchora intangible assets

using a present value discount rate of 14.5% and 15.0%, respectively, which is based on the estimated weighted-average cost of capital for companies with profiles substantially similar to that of PaxVax. This is comparable to the estimated internal rate of return for the acquisition and represents the rate that market participants would use to value these intangible assets. The projected cash flows from these intangible assets were based on key assumptions, including: estimates of revenues and operating profits, and risks related to the viability of and potential alternative treatments in any future target markets.

The intangible asset associated with the IPR&D the measurement of the amounts recognized as of that date. The Company estimates the fair value based on the income approach.

The Company determined the fair value of the inventory using the comparative sales method, which estimates the expected sales price reduced for all costs expected to be incurred to complete/dispose of the inventory with a profit on those costs.

The Company determined the fair value of the property, plant and equipment utilizing both the cost approach and the sales comparison approach. The cost approach is determined by establishing replacement cost of the asset and then subtracting any value that has been lost due to economic obsolescence, functional obsolescence, or physical deterioration. The sales comparison approach values an asset based on the market price of assets with comparable features such as design, location, size, construction, materials, use, capacity, specification, operational characteristics and other features or descriptions.

The Company recorded approximately $71.0 million in goodwill related to the PaxVax acquisition, calculated as the purchase price paid in the acquisition that was in excess of the fair value of the tangible and intangible assets acquired representing the future economic benefits the Company expects to receive as a result of the acquisition. The goodwill created from the PaxVax acquisition is associated with early stage pipeline products along with potential contract manufacturing services. The majority of the goodwill generated from the PaxVax acquisition is expected to be deductible for tax purposes based upon the structure used in the acquisition.

Impact of Business Acquisitions

The operations of each of the two business acquisitions discussed above were included in the consolidated financial statements as of each of their respective acquisition dates. The following table presents their revenue and earnings as reported within the consolidated financial statements.



	Three months ended June 30,		Six months ended June 30,
	2019		2019
Revenue	$	88.2	$	163.1
Operating income	8.2		4.4

Inventories

6 Months Ended

Jun. 30, 2019

Inventory Disclosure [Abstract]

Inventories

The components of inventory are as follows:



	June 30, 2019		December 31, 2018
Raw materials and supplies	$	66.3	$	51.8
Work-in-process	119.1		103.2
Finished goods	46.6		50.8
Total inventories	$	232.0	$	205.8

Property, Plant and Equipment

6 Months Ended

Jun. 30, 2019

Property Plant and Equipment Income Statement Disclosures [Abstract]

Property, Plant and Equipment

Property, plant and equipment consisted of the following:



	June 30, 2019			December 31, 2018
Land and improvements	$	46.7		$	44.6
Buildings, building improvements and leasehold improvements	228.0			216.2
Furniture and equipment	318.8			293.9
Software	56.3			55.2
Construction-in-progress	59.9			71.8
Property, plant and equipment, gross	709.7			681.7
Accumulated depreciation and amortization	(189.2		)	(171.5		)
Total property, plant and equipment, net	$	520.5		$	510.2

Leases

6 Months Ended

Jun. 30, 2019

Leases [Abstract]

Leases

The Company has operating leases for corporate offices, research and development facilities and manufacturing facilities. We determine if an arrangement is a lease at inception. Operating leases are included in right-of-use (ROU) assets and liabilities.

ROU assets represent the Company's right to use an underlying asset for the lease term and lease liabilities represent the Company's obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of the Company's leases do not provide an implicit rate, the Company uses an incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The Company uses an implicit rate when readily determinable. At the beginning of a lease, the operating lease ROU asset also includes any concentrated lease payments expected to be paid and excludes lease incentives. The Company's lease ROU asset may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise those options.

Lease expense for lease payments is recognized on a straight-line basis over the lease term. The Company has lease agreements with lease and non-lease components, which are accounted for separately. The Company's leases have remaining lease terms of 1 year to 15 years, some of which include options to extend the leases for up to 5 years, and some of which include options to terminate the leases within 1 year.

The components of lease expense were as follows:



	Three months ended June 30,		Six months ended June 30,
	2019		2019
Operating lease cost:
Amortization of right-of-use assets	$	0.7	$	1.3
Interest on lease liabilities	0.2		0.3
Total operating lease cost	$	0.9	$	1.6

Supplemental balance sheet information related to leases was as follows:



(In millions, except lease term and discount rate)	Balance Sheet Location	June 30, 2019
Operating lease right-of-use assets	Other assets	$	15.7

Operating lease liabilities, current portion	Other current liabilities	1.9
Operating lease liabilities	Other liabilities	14.6
Total operating lease liabilities		$	16.5

Operating leases:
Weighted Average Remaining Lease Term (years)		10.3
Weighted Average Discount Rate		4.62		%

Leases

The components of lease expense were as follows:



	Three months ended June 30,		Six months ended June 30,
	2019		2019
Operating lease cost:
Amortization of right-of-use assets	$	0.7	$	1.3
Interest on lease liabilities	0.2		0.3
Total operating lease cost	$	0.9	$	1.6

Supplemental balance sheet information related to leases was as follows:



(In millions, except lease term and discount rate)	Balance Sheet Location	June 30, 2019
Operating lease right-of-use assets	Other assets	$	15.7

Operating lease liabilities, current portion	Other current liabilities	1.9
Operating lease liabilities	Other liabilities	14.6
Total operating lease liabilities		$	16.5

Operating leases:
Weighted Average Remaining Lease Term (years)		10.3
Weighted Average Discount Rate		4.62		%

Intangible Assets

6 Months Ended

Jun. 30, 2019

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets

The Company's intangible assets consist of products acquired via business combinations or asset acquisitions. The following table summarizes the carrying amount of the Company's intangible assets and goodwill, net of accumulated amortization:



	June 30, 2019
	Estimated Life (years)	Cost		Measurement Period Adjustment			Additions		Gross Total		Accumulated Amortization			Net
Intangible assets, net	5-22	$	818.4	$	—		$	10.0	$	828.4	$	(86.0	)	$	742.4
IPR&D	indefinite	50.0		(9.0		)	—		41.0		—			41.0
Goodwill	indefinite	259.7		8.6			—		268.3		—			268.3



	December 31, 2018
	Estimated Life (years)	Cost		Measurement Period Adjustment		Additions		Gross Total		Accumulated Amortization			Net
Intangible assets, net	5-22	$	151.4	$	—	$	667.0	$	818.4	$	(56.8	)	$	761.6
IPR&D	indefinite	50.0		—		—		50.0		—			50.0
Goodwill	indefinite	49.1		—		210.6		259.7		—			259.7

During the six months ended June 30, 2019 and 2018, the Company recorded amortization expense for intangible assets of $29.2 million and $7.8 million, respectively. During the three months ended June 30, 2019 and 2018, the Company recorded amortization expense for intangible assets of $14.7 million and 3.9 million, respectively. As of June 30, 2019, the weighted average amortization period remaining for intangible assets was 14.0 years. IPR&D assets are considered to be indefinite-lived until the completion or abandonment of the associated research and development efforts.

Contingent Consideration

6 Months Ended

Jun. 30, 2019

Fair Value Disclosures [Abstract]

Contingent Consideration

Contingent consideration liabilities associated with business combinations are fair value measurement items. These liabilities represent an obligation of the Company to transfer additional assets to the selling shareholders and owners if future events occur or conditions are met. These liabilities associated with business combinations are measured at fair value at inception and at each subsequent reporting date with the exception of the milestone achievement. The changes in the fair value are primarily due to the expected amount and timing of future net sales, which are inputs that have no observable market (Level 3).

The Company also has contingent consideration associated with its asset acquisitions. These liabilities are not recorded as level 3 fair value measurements, but rather are accrued when the milestone has been achieved and is payable.

The following table is a reconciliation of the beginning and ending balance of contingent considerations and is based on level 3 significant unobservable inputs, other than the raxibacumb milestone accrual, which is based on achievement of contractual milestones.




Balance at December 31, 2018	$	60.0
Milestone achievement - asset acquisition	10.0
Measurement period adjustment	1.5
Change in fair value	5.5
Settlements	(12.0		)
Balance at June 30, 2019	$	65.0

During the six months ended June 30, 2019, a contingent milestone was achieved related to the Company's acquisition of raxibacumab in October 2017. The acquisition of raxibacumab was accounted for as an asset acquisition and therefore the achievement of the $10.0 million milestone resulted in an increase to the contingent consideration liability with a corresponding increase in intangible assets.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Derivative Instruments and Hedging Activities

6 Months Ended

Jun. 30, 2019

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments and Hedging Activities Disclosure

Derivative Instruments and Hedging Activities

Risk Management Objective of Using Derivatives

The Company is exposed to certain risk arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its assets and liabilities and the use of derivative financial instruments. Specifically, the Company has entered into interest rate swaps to manage exposures that arise from the Company's senior secured credit agreement's payments of variable interest rate debt.

Accounting Policy for Derivative Instruments and Hedging Activities

The Company's interest rate swaps qualify for hedge accounting as cash flow hedges. All derivatives are recorded on the balance sheet at fair value. Hedge accounting provides for the matching of the timing of gain or loss recognition on these interest rate swaps with the recognition of the changes in interest expense on the Company's variable rate debt. For derivatives designated as cash flow hedges of interest rate risk, the gain or loss on the derivative is recorded in accumulated other comprehensive income and subsequently reclassified into interest expense in the same period during which the hedged transaction affects earnings. Amounts reported in accumulated other comprehensive income related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. The cash flows from the designated interest rate swaps are classified as a component of operating cash flows, similar to interest expense. If current fair values of designated interest rate swaps remained static over the next twelve months, the Company would reclassify $0.4 million of net deferred gains from accumulated other comprehensive loss into income over the next twelve months. All outstanding cash flow hedges mature in October 2023.

As of June 30, 2019, the Company had the following outstanding interest rate derivatives that were designated as cash flow hedges of interest rate risk:



	Number of Instruments	Notional
Interest Rate Swaps	7	$	350.0

The table below presents the fair value of the Company’s derivative financial instruments designated as hedges as well as their classification on the balance sheet.

Asset Derivatives

Liability Derivatives

June 30, 2019

December 31, 2018

June 30, 2019

December 31, 2018

Balance Sheet Location

Fair Value

Balance Sheet Location

Fair Value

Balance Sheet Location

Fair Value

Balance Sheet Location

Fair Value

Interest Rate Swaps

Other Assets

0.4

Other Assets

—

Other Liabilities

1.6

Other Liabilities

—

The valuation of the interest rate swaps is determined using widely accepted valuation techniques, including discounted cash flow analysis on the expected cash flows of each interest rate swap. This analysis reflects the contractual terms of the interest rate swaps, including the period to maturity, and uses observable market-based inputs, including interest rate curves and implied volatilities. The fair values of interest rate swaps are determined using the market standard methodology of netting the discounted future fixed cash payments (or receipts) and the discounted expected variable cash receipts (or payments). The variable cash payments (or receipts) are based on an expectation of future interest rates (forward curves) derived from observable market interest rate curves. To comply with the provisions of ASC 820, Fair Value Measurement, we incorporate credit valuation adjustments in the fair value measurements to appropriately reflect both our own nonperformance risk and the respective counterparty’s nonperformance risk. These credit valuation adjustments were concluded to not be significant inputs for the fair value calculations for the periods presented. In adjusting the fair value of our derivative contracts for the effect of nonperformance risk, we have considered the impact of netting and any applicable credit enhancements, such as the posting of collateral, thresholds, mutual puts and guarantees. The valuation of interest rate swaps fall into Level 2 in the fair value hierarchy.

The table below presents the effect of cash flow hedge accounting on accumulated other comprehensive income.



Hedging derivatives	Amount of Gain/(Loss) Recognized in OCI on Derivative			Location of Gain or (Loss) Reclassified from Accumulated OCI into Income	Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income
	June 30, 2019		June 30, 2018		June 30, 2019		June 30, 2018
Interest Rate Swaps	$	1.2	—	Interest expense	$	—	$	—

Debt

6 Months Ended

Jun. 30, 2019

Debt Disclosure [Abstract]

Debt

The components of debt are as follows:



	June 30, 2019			December 31, 2018
Senior secured credit agreement - Term loan due 2023	$	441.6		$	447.2
Senior secured credit agreement - Revolver loan due 2023	398.0			348.0
2.875% Convertible Senior Notes due 2021	10.6			10.6
Other	3.0			3.0
Total debt	853.2			808.8
Current portion of long-term debt, net of debt issuance costs	(10.1		)	(10.1		)
Unamortized debt issuance costs	(12.7		)	(14.2		)
Non-current portion of debt	$	830.4		$	784.5

Senior Secured Credit Agreement

On September 29, 2017, the Company entered into a senior secured credit agreement (the “2017 Credit Agreement”) with four lending financial institutions. On October 15, 2018, the Company entered into an Amended and Restated Credit Agreement (the "Amended Credit Agreement") with multiple lending institutions, which modified the 2017 Credit Agreement. The Amended Credit Agreement (i) increased the revolving credit facility (the "Revolving Credit Facility") from $200 million to $600 million, (ii) extended the maturity of the Revolving Credit Facility from September 29, 2022 to October 13, 2023, (iii) provided for a term loan in the original principal amount of $450 million (the "Term Loan Facility," and together with the Revolving Credit Facility, the "Senior Secured Credit Facilities"). The Company may request incremental term loan facilities or increases in the Revolving Credit Facility (each an "Incremental Loan") if requirements relating to net leverage ratio will be maintained on a pro forma basis.

Borrowings under the Revolving Credit Facility and the Term Loan Facility will bear interest at a rate per annum equal to (a) a eurocurrency rate plus a margin ranging from 1.25% to 2.00% per annum, depending on the Company's consolidated net leverage ratio or (b) a base rate (which is the highest of the prime rate, the federal funds rate plus 0.50%, and a eurocurrency rate for an interest period of one month plus 1%) plus a margin ranging from 0.25% to 1.00%, depending on the Company's consolidated net leverage ratio. The Company is required to make quarterly payments under the Amended Credit Agreement for accrued and unpaid interest on the outstanding principal balance, based on the above interest rates. In addition, the Company is required to pay commitment fees ranging from 0.15% to 0.30% per annum, depending on the Company's consolidated net leverage ratio, in respect of the average daily unused commitments under the Revolving Credit Facility. The Company is to repay the outstanding principal amount of the Term Loan Facility in quarterly installments based on an annual percentage equal to 2.5% of the original principal amount of the Term Loan Facility during each of the first two years of the Term Loan Facility, 5% of the original principal amount of the Term Loan Facility during the third year of the Term Loan Facility and 7.5% of the original principal amount of the Term Loan Facility during each year of the remainder of the term of the Term Loan Facility until the maturity date of the Term Loan Facility, at which time the entire unpaid principal balance of the Term Loan Facility will be due and payable. The Company has the right to prepay the Term Loan Facility without premium or penalty. The Revolving Credit Facility and the Term Loan Facility mature (unless earlier terminated) on October 13, 2023.

The Amended Credit Agreement also requires mandatory prepayments of the Term Loan Facility in the event the Company or its Subsidiaries (a) incur indebtedness not otherwise permitted under the Amended Credit Agreement or (b) receive cash proceeds in excess of $100 million during the term of the Amended Credit Agreement from certain dispositions of property or from casualty events involving their property, subject to certain reinvestment rights.

The Amended Credit Agreement contains financial covenants, which were amended in June 2019. The financial covenants require the quarterly presentation of a minimum consolidated 12 month rolling debt service coverage ratio of 2.50 to 1.00, and an amended maximum consolidated net leverage ratio of 4.95 to 1.00 for the quarter ended June 30, 2019, 4.75 to 1.00 for the quarter ending September 30, 2019, 3.75 to 1.00 for the quarterly filing periods from October 1, 2019 through September 29, 2020 and 3.50 to 1.0 thereafter, which may be adjusted to 4.00 to 1.00 for a four quarter period in connection with a material permitted acquisition. The Amended Credit Agreement also contains affirmative and negative covenants, which were also amended in June 2019 to limit the amount of restricted payments as defined in the Amended Credit Agreement to $25 million until the filing of the Company's December 31, 2019 Form 10-K. Negative covenants in the Amended Credit Agreement, among other things, limit the ability of the Company to incur indebtedness and liens, dispose of assets, make investments and enter into certain merger or consolidation transactions. As of the date of these financial statements, the Company is in compliance with all affirmative and negative covenants.

2.875% Convertible Senior Notes due 2021

On January 29, 2014, the Company issued 2.875% convertible senior notes due 2021 (the "Notes"). The Notes bear interest at a rate of 2.875% per year, payable semi-annually in arrears on January 15 and July 15 of each year. The Notes mature on January 15, 2021.

Revenue recognition

6 Months Ended

Jun. 30, 2019

Revenue from Contract with Customer [Abstract]

Revenue recognition

The Company operates as one operating segment. Therefore, results of its operations are reported on a consolidated basis for purposes of segment reporting, consistent with internal management reporting. The Company's revenues disaggregated by the major sources were as follows:



	Three Months Ended June 30, 2019						Three Months Ended June 30, 2018
	U.S. Government		Non-U.S. Government		Total		U.S. Government		Non-U.S. Government		Total
Product sales	$	94.6	$	88.9	$	183.5	$	169.9	$	10.2	$	180.1
Contract manufacturing	—		18.7		18.7		—		23.6		23.6
Contracts and grants	38.3		2.7		41.0		15.3		1.2		16.5
Total revenues	$	132.9	$	110.3	$	243.2	$	185.2	$	35.0	$	220.2



	Six months ended June 30, 2019						Six Months Ended June 30, 2018
	U.S. Government		Non-U.S. Government		Total		U.S. Government		Non-U.S. Government		Total
Product sales	$	167.9	$	168.6	$	336.5	$	235.9	$	19.9	$	255.8
Contract manufacturing	—		34.6		34.6		—		49.8		49.8
Contracts and grants	58.7		4.1		62.8		30.1		2.3		32.4
Total revenues	$	226.6	$	207.3	$	433.9	$	266.0	$	72.0	$	338.0

Contract liabilities

When performance obligations are not transferred to a customer at the end of a reporting period, the amount allocated to those performance obligations is reflected as deferred revenue on the consolidated balance sheets and is deferred until control of these performance obligations is transferred to the customer. The following table presents the rollforward of deferred revenue contract liability balances:




December 31, 2018	$	73.1
Deferral of revenue	23.8
Revenue recognized	(7.4		)
June 30, 2019	$	89.5

Transaction price allocated to remaining performance obligations

As of June 30, 2019, the Company had expected future revenues associated with performance obligations that have not been satisfied of approximately $533.2 million. The Company expects to recognize a majority of these revenues within the next 24 months, with the remainder recognized thereafter. However, the amount and timing of revenue recognition for unsatisfied performance obligations can materially change due to timing of funding appropriations from the USG and the overall success of the Company's development activities associated with its PHT product candidates that are then receiving development funding support from the USG under development contracts. In addition, the amount of future revenues associated with unsatisfied performance obligations excludes the value associated with unexercised option periods in the Company's contracts.

Contract assets

The Company considers unbilled accounts receivables and deferred costs associated with revenue generating contracts, which are not included in inventory or property, plant and equipment, as contract assets. As of June 30, 2019 and December 31, 2018, the Company had contract assets associated with deferred costs of $26.5 million and $1.2 million, respectively, which is reflected as a component of prepaid expenses and other current assets on the Company's consolidated balance sheets.

Accounts receivable

Accounts receivable including unbilled accounts receivable contract assets consist of the following:



	June 30, 2019		December 31, 2018
Billed, net	$	179.5	$	234.0
Unbilled	38.6		28.5
Total, net	$	218.1	$	262.5

As of June 30, 2019 and December 31, 2018, allowances for doubtful accounts were de minimis.

Income taxes	6 Months Ended
Income taxes	Jun. 30, 2019
Income Tax Disclosure [Abstract]
Income taxes	Income taxes The estimated effective annual tax rate for the Company, which excludes discrete adjustments, was 27% and 25% for the six months ended June 30, 2019 and 2018, respectively. The increase in the estimated effective annual tax rate is primarily due to the impact of foreign and state taxes. For each of the six month periods ended June 30, 2019 and 2018, the Company recorded a discrete tax benefit of $3.2 million, primarily due to activity associated with equity awards. For the three months ended June 30, 2019 and 2018, the Company recorded a discrete tax benefit of $1.4 million and $0.9 million, respectively, also primarily due to activity associated with equity awards.

(Loss) earnings per share

6 Months Ended

Jun. 30, 2019

Earnings Per Share [Abstract]

(Loss) earnings per share

arnings per share

The following table presents the calculation of basic and diluted net (loss) income per share:



	Three Months Ended June 30,					Six Months Ended June 30,
	2019			2018		2019			2018
Numerator:
Net (loss) earnings	$	(9.5	)	$	50.1	$	(35.6	)	$	45.2

Denominator:
Weighted-average number of shares—basic	51.5			49.9		51.3			49.7
Dilutive securities—equity awards	—			1.3		—			1.3
Weighted-average number of shares—diluted	51.5			51.2		51.3			51.0

Net (loss) earnings per share - basic	$	(0.18	)	$	1.00	$	(0.69	)	$	0.91
Net (loss) earnings per share - diluted	$	(0.18	)	$	0.98	$	(0.69	)	$	0.89

For the three and six months ended June 30, 2019 and 2018, basic earnings per share is computed by dividing net gain/(loss) by the weighted average number of shares of common stock outstanding during the period.

For the three and six months ended June 30, 2019 and 2018, diluted earnings per share is computed using the treasury method by dividing net loss by the weighted average number of shares of common stock outstanding during the period, adjusted for the potential dilutive effect of other securities if such securities were converted or exercised and are not anti-dilutive. No adjustment for the potential dilutive effect of dilutive securities is reported as the effect would have been anti-dilutive for the three and six months ended June 30, 2019 due to the Company's net loss. The share-based awards that were excluded from the calculation of diluted loss per share, because they were anti-dilutive, were 3.0 million for the three and six months ended June 30, 2019.

Share-based compensation	6 Months Ended
Share-based compensation	Jun. 30, 2019
Stockholders' Equity Note [Abstract]
Share-based compensation	Share-based compensation During the six months ended June 30, 2019, the Company granted stock options to purchase 0.3 million shares of common stock and 0.5 million restricted stock units under the Emergent BioSolutions Inc. Stock Incentive Plan. The grants vest over three equal annual installments beginning on the day prior to the anniversary of the grant date.

Defined benefit plan

6 Months Ended

Jun. 30, 2019

Retirement Benefits [Abstract]

Defined benefit plan

The Company sponsors a defined benefit pension plan covering eligible employees in Switzerland (the Swiss Plan). Under the Swiss Plan, the Company and certain of its employees with annual earnings in excess of government determined amounts are required to make contributions into a fund managed by an independent investment fiduciary. Employer contributions must be in an amount at least equal to the employee’s contribution. The Swiss Plan assets are comprised of an insurance contract that has a fair value consistent with its contract value based on the practicability exception using level 3 inputs. The entire liability is listed as non-current, because plan assets are greater than the expected benefit payments over the next year. The Company recognizes pension expense as a component of selling, general and administrative expense.

The measurement date used for the Swiss Plan is December 31, annually. The expense components of the Swiss Plan consisted of the following:



	Three Months Ended June 30, 2019			Six months ended June 30, 2019
Net service cost	$	0.3		$	0.6
Expected return on plan assets, net of expenses	(0.1		)	(0.1		)
Total pension expense	$	0.2		$	0.5

Commitments and Contingencies	6 Months Ended
Commitments and Contingencies	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies ANDA Litigation - Perrigo 4mg On September 14, 2018, Adapt Pharma Inc., Adapt Pharma Operations Limited and Adapt Pharma Ltd. (collectively, Adapt Pharma), and Opiant Pharmaceuticals, Inc. (Opiant), received notice from Perrigo UK FINCO Limited Partnership (Perrigo) that Perrigo had filed an Abbreviated New Drug Application (ANDA) with the FDA, seeking regulatory approval to market a generic version of NARCAN® (naloxone hydrochloride) Nasal Spray 4mg/spray before the expiration of U.S. Patent Nos. 9,211,253 (the ‘253 Patent), 9,468,747 (the ‘747 Patent), 9,561,177 (the ‘177 Patent), 9,629,965 (the ‘965 Patent), and 9,775,838 (the ‘838 Patent). On or about October 25, 2018, Perrigo sent a subsequent notice letter relating to U.S. Patent No. 10,085,937 (the ‘937 Patent). Perrigo’s notice letters assert that its generic product will not infringe any valid and enforceable claim of these patents. On October 25, 2018, Emergent BioSolutions’ Adapt Pharma subsidiaries and Opiant (collectively, Plaintiffs), filed a complaint for patent infringement of the ‘253, ‘747, ‘177, ‘965, and the ‘838 Patents against Perrigo in the United States District Court for the District of New Jersey arising from Perrigo’s ANDA filing with the FDA. Plaintiffs filed a second complaint against Perrigo on December 7, 2018, for the infringement of the ‘937 Patent. As a result of timely filing the first lawsuit in accordance with the Hatch-Waxman Act, a 30-month stay of approval will be imposed by the FDA on Perrigo’s ANDA, which is expected to remain in effect until March 2021 absent an earlier judgment, unfavorable to the Plaintiffs, by the Court. ANDA Litigation - Teva 2mg On or about February 27, 2018, Adapt Pharma Inc. and Adapt Pharma Operations Limited and Opiant received notice from Teva Pharmaceuticals Industries Ltd. and Teva Pharmaceuticals USA, Inc. (collectively Teva), that Teva had filed an ANDA with the FDA seeking regulatory approval to market a generic version of NARCAN® (naloxone hydrochloride) Nasal Spray 2 mg/spray before the expiration of U.S. Patent No. 9,480,644 (the ‘644 Patent), and U.S. Patent No. 9,707,226 (the '226 Patent). Teva's notice letter asserts that the commercial manufacture, use or sale of its generic drug product described in its ANDA will not infringe the '644 Patent or the '226 Patent, or that the '644 Patent and '226 Patent are invalid or unenforceable. Adapt Pharma Inc. and Adapt Pharma Operations Limited and Opiant filed a complaint for patent infringement against Teva in the United States District Court for the District of New Jersey. ANDA Litigation - Teva 4mg On or about September 13, 2016, Adapt Pharma Inc. and Adapt Pharma Operations Limited and Opiant received notice from Teva that Teva had filed an ANDA with the FDA seeking regulatory approval to market a generic version of NARCAN® (naloxone hydrochloride) Nasal Spray 4 mg/spray before the expiration of the '253 Patent. Adapt Pharma Inc. and Adapt Pharma Operations Limited and Opiant received additional notices from Teva relating to the '747, the '177, the '965, the '838, and the ‘937 Patents. Teva's notice letters assert that the commercial manufacture, use or sale of its generic drug product described in its ANDA will not infringe the '253, the '747, the '177, the '965, the '838, or the ‘937 Patent, or that the '253, the '747, the '177, the '965, the '838, and the ‘937 Patents are invalid or unenforceable. Adapt Pharma Inc. and Adapt Pharma Operations Limited and Opiant filed a complaint for patent infringement against Teva in the United States District Court for the District of New Jersey with respect to the '253 Patent. Adapt Pharma Inc. and Adapt Pharma Operations Limited and Opiant also filed complaints for patent infringement against Teva in the United States District Court for the District of New Jersey with respect to the '747, the '177, the '965, and the '838 Patents. All five proceedings have been consolidated. As of the date of this filing, Adapt Pharma Inc., Adapt Pharma Operations Limited, and Opiant, have not filed a complaint related to the ‘937 Patent. In the complaints described in the paragraphs above, the Plaintiffs seek, among other relief, orders that the effective date of FDA approvals of the Teva ANDA products and the Perrigo ANDA product be a date not earlier than the expiration of the patents listed for each product, equitable relief enjoining Teva and Perrigo from making, using, offering to sell, selling, or importing the products that are the subject of Teva and Perrigo’s respective ANDAs, until after the expiration of the patents listed for each product, and monetary relief or other relief as deemed just and proper by the court. Shareholder Class Action Lawsuit filed July 19, 2016 On July 19, 2016, Plaintiff William Sponn (Sponn), filed a putative class action complaint in the United States District Court for the District of Maryland on behalf of purchasers of the Company’s common stock between January 11, 2016 and June 21, 2016, inclusive (the Class Period), seeking to pursue remedies under the Exchange Act against the Company and certain of its senior officers and directors (collectively, the Defendants). The complaint alleged, among other things, that the Defendants made materially false and misleading statements about the government’s demand for BioThrax and expectations that the Company’s five-year exclusive procurement contract with the U.S. Department of Health and Human Services (HHS) would be renewed, and omitted certain material facts. Sponn sought unspecified damages, including legal costs. On October 25, 2016, the court added City of Cape Coral Municipal Firefighters’ Retirement Plan and City of Sunrise Police Officers’ Retirement Plan as plaintiffs and appointed them Lead Plaintiffs and Robbins Geller Rudman & Dowd LLP as Lead Counsel. On December 27, 2016, the plaintiffs filed an amended complaint that cited the same class period, named the same defendants and made similar allegations to the original complaint. The Defendants filed a Motion to Dismiss on February 27, 2017. The plaintiffs filed an opposition brief on April 28, 2017. The Defendants’ Motion to Dismiss was heard and denied on July 6, 2017. The Defendants filed an answer on July 28, 2017. The parties then engaged in the discovery process. The plaintiffs filed an amended motion for class certification and appointment of Lead Plaintiffs, Sponn, and Geoffrey L. Flagstad (Flagstad) as Class Representatives on December 20, 2017. A hearing on that motion was heard on May 2, 2018. On June 8, 2018 the Court granted class certification with a shortened class period, from May 5, 2016 to June 21, 2016. In that same order, the court appointed Flagstad as Class Representative and Robbins Geller Rudman & Dowd LLP as Class Counsel. The Defendants have denied, and continue to deny, any and all allegations of fault, liability, wrongdoing, or damages. However, recognizing the risk, time, and expense of litigating any case to trial, on August 27, 2018, the Defendants reached an agreement in principle with plaintiffs to settle all of the related claims of any individual plaintiff that purchased or acquired Company stock from January 11, 2016 to June 21, 2016, for $6.5 million, an amount that was paid by the Company’s insurance carrier. The settlement required no payment by any of the Defendants. The Defendants continue to deny any and all liability. The parties executed the settlement agreement on October 16, 2018 and filed the agreement with the court on October 17, 2018. The court granted preliminary approval of the settlement on October 18, 2018. At the time of the approval of the settlement on January 22, 2019, there were no objections to the settlement, but there were two shareholders who had submitted opt-outs so that they could be excluded from the settlement. On January 25, 2019, the court issued an order and final judgment approving the settlement. The time to file a notice of appeal has passed. Defendants continue to believe that the allegations in the complaint are without merit.

Supplemental Information

6 Months Ended

Jun. 30, 2019

Supplemental Cash Flow Elements [Abstract]

Supplemental Information

The following table provides a reconciliation of cash, cash equivalents and restricted cash:



	June 30, 2019		December 31, 2018
Cash and cash equivalents	$	177.4	$	112.2
Restricted cash	0.2		0.2
Total cash, cash equivalents and restricted cash	$	177.6	$	112.4

Basis of Presentation and Principles of Consolidation (Policies)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Basis of presentation and consolidation	The accompanying unaudited condensed consolidated financial statements include the accounts of Emergent and its wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. The unaudited consolidated financial statements included herein have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X issued by the SEC. Certain information and footnote disclosures normally included in consolidated financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto contained in the Company's Annual Report on Form 10-K for the year ended December 31, 2018, as filed with the SEC. All adjustments contained in the accompanying unaudited condensed consolidated financial statements are of a normal recurring nature and are necessary to present fairly the financial position of the Company as of June 30, 2019. Interim results are not necessarily indicative of results that may be expected for any other interim period or for an entire year.
Recently Adopted and New Accounting Pronouncements	Recently Adopted Accounting Pronouncements Leases In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) 2016-02, Leases, which increases transparency and comparability among organizations by requiring the recognition of lease assets and lease liabilities on the balance sheet and disclosure of key information about leasing arrangements for both lessees and lessors. The Company adopted the new standard effective January 1, 2019 using the modified retrospective approach. As of January 1, 2019 total right of use assets increased $13.4 million, while total operating lease liabilities increased $14.0 million. There was no adjustment to the opening balance of retained earnings as of January 1, 2019. The standard will not materially affect the Company's consolidated net earnings. The Company continues to apply the legacy guidance from the old lease accounting standard, including its disclosure requirements, in the comparative periods presented. The Company did not reassess existing contracts for lease classification or the classification of existing leases or associated costs. The Company will not reflect leases with an initial term of 12 months or less as a right of use asset or liability, but will recognize those lease payments in the consolidated statements of operations on a straight-line basis over the lease term. In addition, the Company will account for non-lease components of the arrangement separate from lease components (see Note 6). SEC Simplification In August 2018, the SEC issued Final Rule Release No. 33-10532, Disclosure Update and Simplification, which makes a number of changes meant to simplify interim disclosures. The new rule requires a presentation of changes in stockholders’ equity and noncontrolling interest in the form of a reconciliation, for the current and comparative year-to-date interim periods. The Company adopted the new disclosure requirements beginning in its March 31, 2019 Form 10-Q and included these disclosures in the condensed consolidated statements of changes in stockholders' equity. The additional elements of this release did not have a material impact on the Company's overall condensed consolidated financial statements. Tax Effects from Accumulated Other Comprehensive Income In February 2018, the FASB issued ASU 2018-02, Income Statement—Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. ASU 2018-02 provides the option to reclassify certain income tax effects related to the Tax Cuts and Jobs Act passed in December of 2017 between accumulated other comprehensive income and retained earnings and also requires additional disclosures. The Company adopted the new standard effective January 1, 2019. There was no impact for the adoption of ASU 2018-02 on the Company's condensed consolidated financial statements. New Accounting Pronouncements Financial Instruments - Credit Losses In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses. ASU 2016-13 provides guidance on measurement of credit losses on financial instruments that changes the impairment model for most financial assets and certain other instruments, including trade and other receivables, held-to-maturity debt securities and loans, and that requires entities to use a new, forward-looking “expected loss” model that is likely to result in the earlier recognition of allowances for losses. The guidance was further amended in January 2019 to clarify or address stakeholders’ specific issues about certain aspects of the amendments in the update and in May 2019 to provide an option to irrevocably elect the fair value option for certain financial assets previously measured on an amortized cost basis. The guidance is effective for annual periods beginning after December 15, 2019, including interim periods within those years, but early adoption is permitted. The Company is currently evaluating the effect that the pronouncement will have on its consolidated financial statements. Goodwill In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. ASU 2017-04 simplifies the subsequent measurement of goodwill and eliminates Step 2 from the goodwill impairment test. ASU 2017-04 is effective for annual and interim goodwill tests beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates on or after January 1, 2017. The Company is currently evaluating the impact that the adoption of this standard will have on its condensed consolidated financial statements. Fair Value Measurements In August 2018 the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement. This new standard modifies certain disclosure requirements on fair value measurements. This new standard will be effective for the Company on January 1, 2020. The Company does not expect that the adoption of this new standard will have a material impact on the Company's disclosures. Compensation - Retirement Benefits - Defined Benefit Plans In August 2018, the FASB issued ASU 2018-14, Compensation - Retirement Benefits - Defined Benefit Plans - General. ASU 2018-14 modifies the disclosure requirements for defined benefit pension plans and other postretirement plans. ASU 2018-14 is effective for all entities for fiscal years ending after December 15, 2020, and earlier adoption is permitted. The Company is currently evaluating the impact of adopting ASU 2018-14 on its consolidated financial statements.

Acquisitions (Tables)

6 Months Ended

Jun. 30, 2019

Business Combinations [Abstract]

Total purchase price

The total purchase price, revised for current period adjustments is summarized below:



	October 15, 2018
Cash	$	581.5
Equity	37.7
Fair value of contingent purchase consideration	48.0
Preliminary purchase consideration	667.2
Adjustments	1.5
Updated purchase consideration	$	668.7

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed



	October 15, 2018			Measurement Period Adjustments			Updated October 15, 2018
Estimated fair value of tangible assets acquired and liabilities assumed:
Cash	$	17.7		$	—		$	17.7
Accounts receivable	21.3			—			21.3
Inventory	41.4			—			41.4
Prepaid expenses and other assets	7.8			3.0			10.8
Accounts payable	(32.2		)	—			(32.2		)
Accrued expenses and other liabilities	(50.4		)	—			(50.4		)
Deferred tax liability, net	(62.4		)	(0.5		)	(62.9		)
Total estimated fair value of tangible assets acquired and liabilities assumed	(56.8		)	2.5			(54.3		)

Acquired in-process research and development	41.0			—			41.0
Acquired intangible assets	534.0			—			534.0
Goodwill	149.0			(1.0		)	148.0
Total purchase price	$	667.2		$	1.5		$	668.7

The table below summarizes the preliminary allocation of the purchase price based upon estimated fair values of assets acquired and liabilities assumed at October 4, 2018 updated for measurement period adjustments recorded through June 30, 2019.



	October 4, 2018			Measurement Period Adjustments			Updated October 4, 2018
Estimated fair value of tangible assets acquired and liabilities assumed:
Cash	$	9.0		$	—		$	9.0
Accounts receivable	4.1			—			4.1
Inventory	19.7			—			19.7
Prepaid expenses and other assets	12.2			—			12.2
Property, plant and equipment	57.8			—			57.8
Deferred tax assets	3.8			—			3.8
Accounts payable	(3.5		)	—			(3.5		)
Accrued expenses and other liabilities	(33.6		)	(0.4		)	(34.0		)
Total estimated fair value of tangible assets acquired and liabilities assumed	69.5			(0.4		)	69.1

Acquired in-process research and development	9.0			(9.0		)	—
Acquired intangible assets	133.0			—			133.0
Goodwill	61.6			9.4			71.0
Total purchase price	$	273.1		$	—		$	273.1

Impact of Business Acquisitions

The following table presents their revenue and earnings as reported within the consolidated financial statements.



	Three months ended June 30,		Six months ended June 30,
	2019		2019
Revenue	$	88.2	$	163.1
Operating income	8.2		4.4

Inventories (Tables)

6 Months Ended

Jun. 30, 2019

Inventory Disclosure [Abstract]

Inventories

The components of inventory are as follows:



	June 30, 2019		December 31, 2018
Raw materials and supplies	$	66.3	$	51.8
Work-in-process	119.1		103.2
Finished goods	46.6		50.8
Total inventories	$	232.0	$	205.8

Property, Plant and Equipment (Tables)

6 Months Ended

Jun. 30, 2019

Property Plant and Equipment Income Statement Disclosures [Abstract]

Property, Plant and Equipment

Property, plant and equipment consisted of the following:



	June 30, 2019			December 31, 2018
Land and improvements	$	46.7		$	44.6
Buildings, building improvements and leasehold improvements	228.0			216.2
Furniture and equipment	318.8			293.9
Software	56.3			55.2
Construction-in-progress	59.9			71.8
Property, plant and equipment, gross	709.7			681.7
Accumulated depreciation and amortization	(189.2		)	(171.5		)
Total property, plant and equipment, net	$	520.5		$	510.2

Leases (Tables)

6 Months Ended

Jun. 30, 2019

Leases [Abstract]

Lease, Cost

The components of lease expense were as follows:



	Three months ended June 30,		Six months ended June 30,
	2019		2019
Operating lease cost:
Amortization of right-of-use assets	$	0.7	$	1.3
Interest on lease liabilities	0.2		0.3
Total operating lease cost	$	0.9	$	1.6

Schedule of Leases Supplemental Balance Sheets

Supplemental balance sheet information related to leases was as follows:



(In millions, except lease term and discount rate)	Balance Sheet Location	June 30, 2019
Operating lease right-of-use assets	Other assets	$	15.7

Operating lease liabilities, current portion	Other current liabilities	1.9
Operating lease liabilities	Other liabilities	14.6
Total operating lease liabilities		$	16.5

Operating leases:
Weighted Average Remaining Lease Term (years)		10.3
Weighted Average Discount Rate		4.62		%

Intangible Assets (Tables)

6 Months Ended

Jun. 30, 2019

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Indefinite-Lived Intangible Assets

The following table summarizes the carrying amount of the Company's intangible assets and goodwill, net of accumulated amortization:



	June 30, 2019
	Estimated Life (years)	Cost		Measurement Period Adjustment			Additions		Gross Total		Accumulated Amortization			Net
Intangible assets, net	5-22	$	818.4	$	—		$	10.0	$	828.4	$	(86.0	)	$	742.4
IPR&D	indefinite	50.0		(9.0		)	—		41.0		—			41.0
Goodwill	indefinite	259.7		8.6			—		268.3		—			268.3

Schedule of Finite-Lived Intangible Assets

The following table summarizes the carrying amount of the Company's intangible assets and goodwill, net of accumulated amortization:



	June 30, 2019
	Estimated Life (years)	Cost		Measurement Period Adjustment			Additions		Gross Total		Accumulated Amortization			Net
Intangible assets, net	5-22	$	818.4	$	—		$	10.0	$	828.4	$	(86.0	)	$	742.4
IPR&D	indefinite	50.0		(9.0		)	—		41.0		—			41.0
Goodwill	indefinite	259.7		8.6			—		268.3		—			268.3

Contingent Consideration (Tables)

6 Months Ended

Jun. 30, 2019

Fair Value Disclosures [Abstract]

Reconciliation of Liabilities Measured at Fair Value Using Significant Unobservable Inputs (Level 3)




Balance at December 31, 2018	$	60.0
Milestone achievement - asset acquisition	10.0
Measurement period adjustment	1.5
Change in fair value	5.5
Settlements	(12.0		)
Balance at June 30, 2019	$	65.0

Derivative Instruments and Hedging Activities (Tables)

6 Months Ended

Jun. 30, 2019

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments

As of June 30, 2019, the Company had the following outstanding interest rate derivatives that were designated as cash flow hedges of interest rate risk:



	Number of Instruments	Notional
Interest Rate Swaps	7	$	350.0

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The table below presents the fair value of the Company’s derivative financial instruments designated as hedges as well as their classification on the balance sheet.

Asset Derivatives

Liability Derivatives

June 30, 2019

December 31, 2018

June 30, 2019

December 31, 2018

Balance Sheet Location

Fair Value

Balance Sheet Location

Fair Value

Balance Sheet Location

Fair Value

Balance Sheet Location

Fair Value

Interest Rate Swaps

Other Assets

0.4

Other Assets

—

Other Liabilities

1.6

Other Liabilities

—

Derivative Instruments, Gain (Loss)

The table below presents the effect of cash flow hedge accounting on accumulated other comprehensive income.



Hedging derivatives	Amount of Gain/(Loss) Recognized in OCI on Derivative			Location of Gain or (Loss) Reclassified from Accumulated OCI into Income	Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income
	June 30, 2019		June 30, 2018		June 30, 2019		June 30, 2018
Interest Rate Swaps	$	1.2	—	Interest expense	$	—	$	—

- Definition

Tabular disclosure of pertinent information about a derivative or group of derivatives on a disaggregated basis, such as for individual instruments, or small groups of similar instruments. May include a combination of the type of instrument, risks being hedged, notional amount, hedge designation, related hedged item, inception date, maturity date, or other relevant item.

+ References

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+ Details

Debt (Tables)

6 Months Ended

Jun. 30, 2019

Debt Disclosure [Abstract]

Schedule of Debt

The components of debt are as follows:



	June 30, 2019			December 31, 2018
Senior secured credit agreement - Term loan due 2023	$	441.6		$	447.2
Senior secured credit agreement - Revolver loan due 2023	398.0			348.0
2.875% Convertible Senior Notes due 2021	10.6			10.6
Other	3.0			3.0
Total debt	853.2			808.8
Current portion of long-term debt, net of debt issuance costs	(10.1		)	(10.1		)
Unamortized debt issuance costs	(12.7		)	(14.2		)
Non-current portion of debt	$	830.4		$	784.5

Revenue recognition (Tables)

6 Months Ended

Jun. 30, 2019

Revenue from Contract with Customer [Abstract]

Disaggregation of Revenue

The Company's revenues disaggregated by the major sources were as follows:



	Three Months Ended June 30, 2019						Three Months Ended June 30, 2018
	U.S. Government		Non-U.S. Government		Total		U.S. Government		Non-U.S. Government		Total
Product sales	$	94.6	$	88.9	$	183.5	$	169.9	$	10.2	$	180.1
Contract manufacturing	—		18.7		18.7		—		23.6		23.6
Contracts and grants	38.3		2.7		41.0		15.3		1.2		16.5
Total revenues	$	132.9	$	110.3	$	243.2	$	185.2	$	35.0	$	220.2



	Six months ended June 30, 2019						Six Months Ended June 30, 2018
	U.S. Government		Non-U.S. Government		Total		U.S. Government		Non-U.S. Government		Total
Product sales	$	167.9	$	168.6	$	336.5	$	235.9	$	19.9	$	255.8
Contract manufacturing	—		34.6		34.6		—		49.8		49.8
Contracts and grants	58.7		4.1		62.8		30.1		2.3		32.4
Total revenues	$	226.6	$	207.3	$	433.9	$	266.0	$	72.0	$	338.0

Rollforward of Contract Liabilities

The following table presents the rollforward of deferred revenue contract liability balances:




December 31, 2018	$	73.1
Deferral of revenue	23.8
Revenue recognized	(7.4		)
June 30, 2019	$	89.5

Schedule of Accounts Receivable, Net

Accounts receivable including unbilled accounts receivable contract assets consist of the following:



	June 30, 2019		December 31, 2018
Billed, net	$	179.5	$	234.0
Unbilled	38.6		28.5
Total, net	$	218.1	$	262.5

(Loss) earnings per share (Tables)

6 Months Ended

Jun. 30, 2019

Earnings Per Share [Abstract]

Basic and Diluted Net Income per Share

The following table presents the calculation of basic and diluted net (loss) income per share:



	Three Months Ended June 30,					Six Months Ended June 30,
	2019			2018		2019			2018
Numerator:
Net (loss) earnings	$	(9.5	)	$	50.1	$	(35.6	)	$	45.2

Denominator:
Weighted-average number of shares—basic	51.5			49.9		51.3			49.7
Dilutive securities—equity awards	—			1.3		—			1.3
Weighted-average number of shares—diluted	51.5			51.2		51.3			51.0

Net (loss) earnings per share - basic	$	(0.18	)	$	1.00	$	(0.69	)	$	0.91
Net (loss) earnings per share - diluted	$	(0.18	)	$	0.98	$	(0.69	)	$	0.89

Defined benefit plan (Tables)

6 Months Ended

Jun. 30, 2019

Retirement Benefits [Abstract]

Schedule of Net Benefit Costs

The expense components of the Swiss Plan consisted of the following:



	Three Months Ended June 30, 2019			Six months ended June 30, 2019
Net service cost	$	0.3		$	0.6
Expected return on plan assets, net of expenses	(0.1		)	(0.1		)
Total pension expense	$	0.2		$	0.5

Supplemental Information (Tables)

6 Months Ended

Jun. 30, 2019

Supplemental Cash Flow Elements [Abstract]

Schedule of Cash Flow, Supplemental Disclosures

The following table provides a reconciliation of cash, cash equivalents and restricted cash:



	June 30, 2019		December 31, 2018
Cash and cash equivalents	$	177.4	$	112.2
Restricted cash	0.2		0.2
Total cash, cash equivalents and restricted cash	$	177.6	$	112.4

Business (Details)	6 Months Ended
Business (Details)	Jun. 30, 2019 segment
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of operating segments	1

Basis of Presentation and Principles of Consolidation (Details) - USD ($) $ in Millions	Jun. 30, 2019	Jan. 01, 2019
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Operating lease, right-of-use asset	$ 15.7
Operating lease liabilities	$ 16.5
ASC 842
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Operating lease, right-of-use asset		$ 13.4
Operating lease liabilities		$ 14.0

Acquisitions - Adapt Narrative (Details) $ / shares in Units, $ in Millions		6 Months Ended	12 Months Ended
	Oct. 15, 2018 USD ($) employee $ / shares shares	Jun. 30, 2019 USD ($)	Dec. 31, 2018 USD ($)
Business Acquisition [Line Items]
Contingent consideration		$ 10.4	$ 54.4
Goodwill		268.3	$ 259.7
Adapt Pharma
Business Acquisition [Line Items]
Number of employees \| employee	50
Common stock issued for acquisition (in shares) \| shares	733,309
Share price (in dollars per share) \| $ / shares	$ 60.44
Consideration transferred, equity interests issued and issuable	$ 44.3
Equity	$ 37.7
Lock-up period for adjustment of fair value	2 years
Fair value of contingent purchase consideration		$ 48.0
Acquired intangible asset	$ 534.0
Amortization period of intangible asset	15 years
Present value, discount rate	10.50%
Acquired in-process research and development	$ 41.0
Goodwill	148.0
Maximum
Business Acquisition [Line Items]
Amortization period of intangible asset		22 years	22 years
Maximum \| Adapt Pharma
Business Acquisition [Line Items]
Contingent consideration	$ 100.0
IPR&D \| Adapt Pharma
Business Acquisition [Line Items]
Present value, discount rate	11.00%
Previously Reported \| Adapt Pharma
Business Acquisition [Line Items]
Acquired intangible asset	$ 534.0
Goodwill	149.0
Previously Reported \| IPR&D \| Adapt Pharma
Business Acquisition [Line Items]
Acquired in-process research and development	$ 41.0

Acquisitions - Adapt Total Purchase Price (Details) - USD ($) $ in Millions		6 Months Ended	9 Months Ended
	Oct. 15, 2018	Jun. 30, 2019	Jun. 30, 2019
Business Acquisition [Line Items]
Total purchase price		$ 0.0
Adapt Pharma
Business Acquisition [Line Items]
Cash paid for acquisition	$ 581.5
Equity	37.7
Total purchase price	668.7
Total purchase price		$ 1.5	$ 1.5
Adapt Pharma \| Previously Reported
Business Acquisition [Line Items]
Total purchase price	$ 667.2

Acquisitions - Adapt Preliminary Allocation of Purchase Price (Details) - USD ($) $ in Millions		6 Months Ended	9 Months Ended
	Oct. 15, 2018	Jun. 30, 2019	Jun. 30, 2019	Dec. 31, 2018
Estimated fair value of tangible assets acquired and liabilities assumed:
Goodwill		$ 268.3	$ 268.3	$ 259.7
Measurement Period Adjustments
Goodwill, measurement period adjustments		8.6
Total purchase price		0.0
Adapt Pharma
Estimated fair value of tangible assets acquired and liabilities assumed:
Cash	$ 17.7
Accounts receivable	21.3
Inventory	41.4
Prepaid expenses and other assets	10.8
Accounts payable	(32.2)
Accrued expenses and other liabilities	(50.4)
Deferred tax liability, net of current	(62.9)
Total fair value of tangible assets acquired and liabilities assumed	(54.3)
Acquired in-process research and development	41.0
Acquired intangible asset	534.0
Goodwill	148.0
Total purchase price	668.7
Measurement Period Adjustments
Prepaid expenses and other assets, measurements period adjustments			3.0
Deferred tax liability, net, measurement period adjustments			(0.5)
Total fair value of tangible assets acquired and liabilities assumed, measurement period adjustments			2.5
Goodwill, measurement period adjustments			(1.0)
Total purchase price		$ 1.5	$ 1.5
Adapt Pharma \| Previously Reported
Estimated fair value of tangible assets acquired and liabilities assumed:
Cash	17.7
Accounts receivable	21.3
Inventory	41.4
Prepaid expenses and other assets	7.8
Accounts payable	(32.2)
Accrued expenses and other liabilities	(50.4)
Deferred tax liability, net of current	(62.4)
Total fair value of tangible assets acquired and liabilities assumed	(56.8)
Acquired intangible asset	534.0
Goodwill	149.0
Total purchase price	$ 667.2

Acquisitions - PaxVax Narrative (Details) $ in Millions		6 Months Ended
Acquisitions - PaxVax Narrative (Details) $ in Millions	Oct. 04, 2018 USD ($) employee	Jun. 30, 2019 USD ($)	Dec. 31, 2018 USD ($)
Business Acquisition [Line Items]
Weighted average amortization period		14 years
Goodwill		$ 268.3	$ 259.7
PaxVax
Business Acquisition [Line Items]
Number of employees \| employee	250
Total purchase price	$ 273.1
Acquired intangible asset	$ 133.0
Weighted average amortization period	19 years
Goodwill	$ 71.0
Vivotif \| PaxVax
Business Acquisition [Line Items]
Present value, discount rate	14.50%
Vaxchora \| PaxVax
Business Acquisition [Line Items]
Present value, discount rate	15.00%

Acquisitions - PaxVax Preliminary Allocation of Purchase Price (Details) - USD ($) $ in Millions		6 Months Ended	9 Months Ended
	Oct. 04, 2018	Jun. 30, 2019	Jun. 30, 2019	Dec. 31, 2018
Estimated fair value of tangible assets acquired and liabilities assumed:
Goodwill		$ 268.3	$ 268.3	$ 259.7
Measurement Period Adjustments
Goodwill, measurement period adjustments		8.6
Total purchase price		$ 0.0
PaxVax
Estimated fair value of tangible assets acquired and liabilities assumed:
Cash	$ 9.0
Accounts receivable	4.1
Inventory	19.7
Prepaid expenses and other assets	12.2
Property, plant and equipment	57.8
Deferred tax assets	3.8
Accounts payable	(3.5)
Accrued expenses and other liabilities	(34.0)
Total fair value of tangible assets acquired and liabilities assumed	69.1
Acquired in-process research and development	0.0
Acquired intangible assets	133.0
Goodwill	71.0
Total purchase price	273.1
Measurement Period Adjustments
Accrued expenses and other liabilities, measurement period adjustment			(0.4)
Total fair value of tangible assets acquired and liabilities assumed, measurement period adjustments			(0.4)
Acquired in-process research and development, measurement period adjustment			(9.0)
Goodwill, measurement period adjustments			$ 9.4
PaxVax \| Previously Reported
Estimated fair value of tangible assets acquired and liabilities assumed:
Cash	9.0
Accounts receivable	4.1
Inventory	19.7
Prepaid expenses and other assets	12.2
Property, plant and equipment	57.8
Deferred tax assets	3.8
Accounts payable	(3.5)
Accrued expenses and other liabilities	(33.6)
Total fair value of tangible assets acquired and liabilities assumed	69.5
Acquired in-process research and development	9.0
Acquired intangible assets	133.0
Goodwill	61.6
Total purchase price	$ 273.1

Acquisitions - Impact of Business Acquisitions (Details) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2019 USD ($) acquisition	Jun. 30, 2018 USD ($)	Jun. 30, 2019 USD ($) acquisition	Jun. 30, 2018 USD ($)
Business Acquisition [Line Items]
Number of business acquisitions \| acquisition	2		2
Impact of Business Acquisitions [Abstract]
Revenues	$ 243.2	$ 220.2	$ 433.9	$ 338.0
Operating income (loss)	(7.0)	$ 66.8	(34.4)	$ 57.3
Adapt And PaxVax
Impact of Business Acquisitions [Abstract]
Revenues	88.2		163.1
Operating income (loss)	$ 8.2		$ 4.4

Inventories (Details) - USD ($) $ in Millions	Jun. 30, 2019	Dec. 31, 2018
Inventory Disclosure [Abstract]
Raw materials and supplies	$ 66.3	$ 51.8
Work-in-process	119.1	103.2
Finished goods	46.6	50.8
Total inventories	$ 232.0	$ 205.8

Property, Plant and Equipment (Details) - USD ($) $ in Millions	Jun. 30, 2019	Dec. 31, 2018
Property, Plant and Equipment [Abstract]
Property, plant and equipment, gross	$ 709.7	$ 681.7
Accumulated depreciation and amortization	(189.2)	(171.5)
Total property, plant and equipment, net	520.5	510.2
Land and improvements
Property, Plant and Equipment [Abstract]
Property, plant and equipment, gross	46.7	44.6
Buildings, building improvements and leasehold improvements
Property, Plant and Equipment [Abstract]
Property, plant and equipment, gross	228.0	216.2
Furniture and equipment
Property, Plant and Equipment [Abstract]
Property, plant and equipment, gross	318.8	293.9
Software
Property, Plant and Equipment [Abstract]
Property, plant and equipment, gross	56.3	55.2
Construction-in-progress
Property, Plant and Equipment [Abstract]
Property, plant and equipment, gross	$ 59.9	$ 71.8

Leases - Narrative (Details)	6 Months Ended
Leases - Narrative (Details)	Jun. 30, 2019
Lessee, Lease, Description [Line Items]
Operating lease, renewal term	5 years
Operating lease, termination period	1 year
Minimum
Lessee, Lease, Description [Line Items]
Operating lease, term of contract	1 year
Maximum
Lessee, Lease, Description [Line Items]
Operating lease, term of contract	15 years

Leases - Components of Lease Expense (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2019
Operating lease cost:
Amortization of right-of-use assets	$ 0.7	$ 1.3
Interest on lease liabilities	0.2	0.3
Total operating lease cost	$ 0.9	$ 1.6

Leases - Supplemental Balance Sheet Information (Details) $ in Millions	Jun. 30, 2019 USD ($)
Operating Leases
Operating lease right-of-use assets	$ 15.7
Operating lease liabilities, current portion	1.9
Operating lease liabilities	14.6
Total operating lease liabilities	$ 16.5
Operating leases:
Weighted Average Remaining Lease Term (years)	10 years 3 months 18 days
Operating leases:
Weighted Average Discount Rate	4.62%

Intangible Assets - Schedule of Finite-lived Intangible Assets (Details) $ in Millions	6 Months Ended	12 Months Ended
	Jun. 30, 2019 USD ($)	Dec. 31, 2018 USD ($)	Dec. 31, 2017 USD ($)
Cost
Intangible assets, gross	$ 828.4	$ 818.4	$ 151.4
Finite-lived intangible assets acquired	10.0	667.0
Finite-lived intangible assets, accumulated amortization	(86.0)	(56.8)
Intangible assets, net	742.4	761.6
Goodwill [Roll Forward]
Goodwill, cost	268.3	259.7	$ 49.1
Goodwill, measurement period adjustments	8.6
Goodwill, acquired during period		210.6
Goodwill	$ 268.3	$ 259.7
Minimum
Finite-Lived Intangible Assets [Line Items]
Amortization period of intangible asset	5 years	5 years
Maximum
Finite-Lived Intangible Assets [Line Items]
Amortization period of intangible asset	22 years	22 years
IPR&D
Indefinite-lived Intangible Assets [Roll Forward]
Indefinite-lived intangible assets (excluding goodwill)	$ 50.0	$ 50.0
Indefinite-lived intangible assets, purchase accounting adjustments	(9.0)
Indefinite-lived intangible assets (excluding goodwill)	$ 41.0	$ 50.0

Intangible Assets - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization	$ 14.7	$ 3.9	$ 29.2	$ 7.8
Weighted average amortization period			14 years

Contingent Consideration (Details) $ in Millions	6 Months Ended
Contingent Consideration (Details) $ in Millions	Jun. 30, 2019 USD ($)
Unobservable Input Reconciliation [Roll Forward]
Balance, beginning of period	$ 60.0
Milestone achievement - asset acquisition	10.0
Measurement period adjustment	1.5
Change in fair value	5.5
Settlements	(12.0)
Balance, end of period	65.0
Raxibacumab
Business Acquisition [Line Items]
Contingent consideration liability increase	$ 10.0

Derivative Instruments and Hedging Activities - Narrative (Details) $ in Millions	6 Months Ended
	Jun. 30, 2019 USD ($)
Interest Rate Swaps
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income	$ 0.4

Derivative Instruments and Hedging Activities - Derivative Designated as Cash Flow Hedges (Details) - Designated as Hedging Instrument - Interest Rate Swaps	Jun. 30, 2019 USD ($) instrument
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Number of Instruments \| instrument	7
Notional \| $	$ 350,000,000.0

Derivative Instruments and Hedging Activities - Fair Value by Balance Sheet Location (Details) - Interest Rate Swaps - Designated as Hedging Instrument - USD ($) $ in Millions	Jun. 30, 2019	Dec. 31, 2018
Other Assets
Derivatives, Fair Value [Line Items]
Asset Derivatives	$ 0.4	$ 0.0
Other Liabilities
Derivatives, Fair Value [Line Items]
Liability Derivatives	$ 1.6	$ 0.0

Derivative Instruments and Hedging Activities - Cash Flow Hedging on AOCI (Details) - Interest Rate Swaps - USD ($)	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Amount of Gain/(Loss) Recognized in OCI on Derivative	$ 1,200,000	$ 0
Cash Flow Hedging \| Interest expense
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income	$ 0	$ 0

Debt - Schedule (Details) - USD ($) $ in Millions	Jun. 30, 2019	Dec. 31, 2018
Debt Instrument [Line Items]
Long-term debt	$ 853.2	$ 808.8
Current portion of long-term debt, net of debt issuance costs	(10.1)	(10.1)
Unamortized debt issuance costs	(12.7)	(14.2)
Non-current portion of debt	830.4	784.5
2.875% Convertible Senior Notes due 2021
Debt Instrument [Line Items]
Long-term debt	10.6	10.6
Other
Debt Instrument [Line Items]
Long-term debt	3.0	3.0
Senior secured credit agreement - Term loan due 2023
Debt Instrument [Line Items]
Long-term debt	441.6	447.2
Senior secured credit agreement - Revolver loan due 2023
Debt Instrument [Line Items]
Long-term debt	$ 398.0	$ 348.0

Debt Debt - Narrative (Details)		1 Months Ended	6 Months Ended
Debt Debt - Narrative (Details)	Oct. 15, 2018 USD ($)	Jun. 30, 2019 USD ($)	Jun. 30, 2019 USD ($)	Jan. 29, 2014
Debt Instrument [Line Items]
Debt instrument, covenant, net leverage ratio rolling period		12 months
Debt instrument, covenant, debt service coverage ratio		2.50
Debt instrument, covenant, net leverage ratio through June 30, 2019		4.95
Debt instrument, covenant, net leverage ratio to September 30, 2019		4.75
Debt instrument, covenant, net leverage ratio from October 1, 2019 to September 29, 2020		3.75
Debt instrument, covenant, net leverage ratio thereafter		3.50
Debt instrument, covenant, net leverage ratio, adjusted		4.00
Debt instrument, covenant, net leverage ratio adjustment period		12 months
2017 Credit Agreement
Debt Instrument [Line Items]
Number of lending institutions			4
Current borrowing capacity	$ 200,000,000
Amended Credit Agreement
Debt Instrument [Line Items]
Debt instrument, restricted payments limit, amount		$ 25,000,000
Amended Credit Agreement \| Minimum
Debt Instrument [Line Items]
Commitment fee percentage	0.15%
Amended Credit Agreement \| Maximum
Debt Instrument [Line Items]
Commitment fee percentage	0.30%
Amended Credit Agreement \| Eurocurrency
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	1.00%
Amended Credit Agreement \| Eurocurrency \| Minimum
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	1.25%
Amended Credit Agreement \| Eurocurrency \| Maximum
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.00%
Amended Credit Agreement \| Federal Funds Rate
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	0.50%
Amended Credit Agreement \| Base Rate \| Minimum
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	0.25%
Amended Credit Agreement \| Base Rate \| Maximum
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	1.00%
2.875% Convertible Senior Notes due 2021
Debt Instrument [Line Items]
Stated percentage				2.875%
Senior secured credit agreement - Revolver loan due 2023 \| Amended Credit Agreement
Debt Instrument [Line Items]
Current borrowing capacity		$ 600,000,000	$ 600,000,000
Senior secured credit agreement - Term loan due 2023 \| Amended Credit Agreement
Debt Instrument [Line Items]
Current borrowing capacity	$ 450,000,000
Percentage of original principal amount required to repay in the first two years	2.50%
Percentage of original principal amount required to repay during the third year	5.00%
Percentage of original principal amount required to repay remaining year	7.50%
Cash proceeds excess amount from dispositions of property or casualty events subject to certain reinvestment right	$ 100,000,000

Revenue recognition - Narrative (Details) $ in Millions	6 Months Ended
Revenue recognition - Narrative (Details) $ in Millions	Jun. 30, 2019 USD ($) segment	Dec. 31, 2018 USD ($)
Revenue from Contract with Customer [Abstract]
Number of operating segments \| segment	1
Revenue, remaining performance obligation, amount	$ 533.2
Revenue, remaining performance obligation, expected timing of satisfaction, period	24 months
Deferred costs, current	$ 26.5	$ 1.2

Revenue recognition - Disaggregation of Revenue (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Disaggregation of Revenue [Line Items]
Total revenues	$ 243.2	$ 220.2	$ 433.9	$ 338.0
U.S. Government
Disaggregation of Revenue [Line Items]
Total revenues	132.9	185.2	226.6	266.0
Non-U.S. Government
Disaggregation of Revenue [Line Items]
Total revenues	110.3	35.0	207.3	72.0
Product sales, net
Disaggregation of Revenue [Line Items]
Total revenues	183.5	180.1	336.5	255.8
Product sales, net \| U.S. Government
Disaggregation of Revenue [Line Items]
Total revenues	94.6	169.9	167.9	235.9
Product sales, net \| Non-U.S. Government
Disaggregation of Revenue [Line Items]
Total revenues	88.9	10.2	168.6	19.9
Contract manufacturing
Disaggregation of Revenue [Line Items]
Total revenues	18.7	23.6	34.6	49.8
Contract manufacturing \| U.S. Government
Disaggregation of Revenue [Line Items]
Total revenues	0.0	0.0	0.0	0.0
Contract manufacturing \| Non-U.S. Government
Disaggregation of Revenue [Line Items]
Total revenues	18.7	23.6	34.6	49.8
Contracts and grants
Disaggregation of Revenue [Line Items]
Total revenues	41.0	16.5	62.8	32.4
Contracts and grants \| U.S. Government
Disaggregation of Revenue [Line Items]
Total revenues	38.3	15.3	58.7	30.1
Contracts and grants \| Non-U.S. Government
Disaggregation of Revenue [Line Items]
Total revenues	$ 2.7	$ 1.2	$ 4.1	$ 2.3

Revenue recognition - Contract Liabilities (Details) $ in Millions	6 Months Ended
	Jun. 30, 2019 USD ($)
Change in Contract With Customer, Liability [Roll Forward]
Contract with customer, liability, beginning balance	$ 73.1
Deferral of revenue	23.8
Revenue recognized	(7.4)
Contract with customer, liability, ending balance	$ 89.5

Revenue recognition - Accounts Receivable (Details) - USD ($) $ in Millions	Jun. 30, 2019	Dec. 31, 2018
Revenue from Contract with Customer [Abstract]
Billed, net	$ 179.5	$ 234.0
Unbilled	38.6	28.5
Total, net	$ 218.1	$ 262.5

Income taxes (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
Income taxes (Details) - USD ($) $ in Millions	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Income Tax Disclosure [Abstract]
Effective annual tax rate			27.00%	25.00%
Discrete tax benefit	$ 1.4	$ 0.9	$ 3.2	$ 3.2

(Loss) earnings per share (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Numerator:
Net (loss) earnings	$ (9.5)	$ 50.1	$ (35.6)	$ 45.2
Denominator:
Weighted-average number of shares-basic (in shares)	51,500,000	49,900,000	51,300,000	49,700,000
Dilutive securities-equity awards (in shares)	0	1,300,000	0	1,300,000
Weighted-average number of shares-diluted (in shares)	51,500,000	51,200,000	51,300,000	51,000,000.0
Net income per share - basic (in dollars per share)	$ (0.18)	$ 1.00	$ (0.69)	$ 0.91
Net income per share - diluted (in dollars per share)	$ (0.18)	$ 0.98	$ (0.69)	$ 0.89
Antidilutive securities excluded from computation of earnings per share	3,000,000		3,000,000.0

- Definition

The amount of net income (loss) for the period per each share of common stock or unit outstanding during the reporting period.

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+ Details

- Definition

The amount of net income (loss) for the period available to each share of common stock or common unit outstanding during the reporting period and to each share or unit that would have been outstanding assuming the issuance of common shares or units for all dilutive potential common shares or units outstanding during the reporting period.

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+ Details

Share-based compensation (Details) shares in Millions	6 Months Ended
Share-based compensation (Details) shares in Millions	Jun. 30, 2019 shares
Stock Options
Stock issued or granted during period [Abstract]
Stock options granted (in shares)	0.3
Award vesting period	3 years
Restricted Stock Units
Stock issued or granted during period [Abstract]
Restricted stock units granted (in shares)	0.5
Award vesting period	3 years
Tranche One \| Stock Options
Stock issued or granted during period [Abstract]
Award vesting rights, percentage	33.33%
Tranche One \| Restricted Stock Units
Stock issued or granted during period [Abstract]
Award vesting rights, percentage	33.33%
Tranche Two \| Stock Options
Stock issued or granted during period [Abstract]
Award vesting rights, percentage	33.33%
Tranche Two \| Restricted Stock Units
Stock issued or granted during period [Abstract]
Award vesting rights, percentage	33.33%
Tranche Three \| Stock Options
Stock issued or granted during period [Abstract]
Award vesting rights, percentage	33.33%
Tranche Three \| Restricted Stock Units
Stock issued or granted during period [Abstract]
Award vesting rights, percentage	33.33%

Defined benefit plan (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
Defined benefit plan (Details) - USD ($) $ in Millions	Jun. 30, 2019	Jun. 30, 2019
Retirement Benefits [Abstract]
Net service cost	$ 0.3	$ 0.6
Expected return on plan assets, net of expenses	(0.1)	(0.1)
Total pension expense	$ 0.2	$ 0.5

Commitments and Contingencies - Narrative (Details) $ in Millions	6 Months Ended
	Jun. 30, 2019 USD ($)
Shareholder Class Action Lawsuit
Loss Contingencies [Line Items]
Litigation settlement, amount awarded to other party	$ 6.5

Supplemental Information (Details) - USD ($) $ in Millions	Jun. 30, 2019	Dec. 31, 2018	Jun. 30, 2018	Dec. 31, 2017
Supplemental Cash Flow Elements [Abstract]
Cash and cash equivalents	$ 177.4	$ 112.2
Restricted cash	0.2	0.2
Total cash, cash equivalents and restricted cash	$ 177.6	$ 112.4	$ 191.3	$ 179.3

Label	Element	Value
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	$ (32,500,000)
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1	879,800,000
Retained Earnings [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	(32,500,000)
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1	$ 304,600,000
Treasury Stock [Member]
Common Stock, Shares, Issued	us-gaap_CommonStockSharesIssued	1,200,000
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1	$ (39,500,000)
Additional Paid-in Capital [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1	$ 618,400,000
Common Stock [Member]
Common Stock, Shares, Issued	us-gaap_CommonStockSharesIssued	50,600,000
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1	$ 100,000
AOCI Attributable to Parent [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1	$ (3,800,000)