Item 5. Other Information
Item 5. Other Information.
As further discussed in Note 9 “Segment reporting” of the Company’s notes to condensed consolidated financial statements, included elsewhere in this Quarterly Report on Form 10-Q, the Company previously allocated centralized research and development expenditures for early stage research, nuclease development and the purchase of general laboratory supplies to the Therapeutics and Food segments based on headcount and presented such allocated expenditures separately from segment operational cash expenditures. Beginning January 1, 2020, such allocated expenditures are included within segment operational cash expenditures. Prior periods have been revised to reflect the current period presentation .
This information is intended to assist investors in making comparisons of the Company’s historical financial information with future financial information. The reported financial information below has been reclassified to conform to the current presentation.
The table below summarizes the reclassified presentation of the Company’s segment reporting.
For the Years Ended December 31,
(in thousands)
2019
2018
Revenue:
Therapeutics
$
20,632
$
9,523
Food
1,606
1,360
Total segment revenue
22,238
10,883
Segment operational cash expenditures:
Therapeutics
$
70,059
$
46,650
Food
6,984
12,026
Total segment operational cash expenditures
77,043
58,676
Segment operating income (loss):
Therapeutics
$
(49,427
)
$
(37,127
)
Food
(5,378
)
(10,666
)
Total segment operating loss
$
(54,805
)
$
(47,793
)
The table below summarizes the Company’s segment reporting as originally reported on the Annual Report on Form 10-K.
For the Years Ended December 31,
(in thousands)
2019
2018
Revenue:
Therapeutics
$
20,632
$
9,523
Food
1,606
1,360
Total segment revenue
22,238
10,883
Segment operational cash expenditures:
Therapeutics
$
45,941
$
35,045
Food
6,984
9,125
Total segment operational cash expenditures
52,925
44,170
Allocation of centralized research and development operational
cash expenditures:
Therapeutics
$
24,118
$
11,605
Food
—
2,901
Total allocation of centralized research and development
operational cash expenditures
24,118
14,506
Segment operating income (loss):
Therapeutics
$
(49,427
)
$
(37,127
)
Food
(5,378
)
(10,666
)
Total segment operating loss
$
(54,805
)
$
(47,793
)
92
Item 6. E xhibits.
Exhibit
Number
Description
Form
File No.
Exhibit
Filing
Date
Filed/Furnished
Herewith
3.1
Amended and Restated Certificate of Incorporation of Precision BioSciences, Inc.
8-K
001-38841
3.1
4/1/2019
3.2
Amended and Restated Bylaws of Precision BioSciences, Inc.
8-K
001-38841
3.2
4/1/2019
4.3
Form of Indenture.
S-3
333 -238857
4.3
6/1/2020
10.1
Third Amendment to Lease, dated June 15, 2020, to Lease Agreement between Precision BioSciences, Inc. and Durham TW Alexander, LLC, dated October 2, 2018, as amended
*
10.2 †
Third Amendment to the Loan and Security Agreement, dated June 23, 2020, among Precision BioSciences, Inc., Elo Life Systems, Inc. and Pacific Western Bank.
8-K
001-38841
10.1
6/26/2020
31.1
Certification of Principal Executive Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
*
31.2
Certification of Principal Financial Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
*
32.1
Certification of Principal Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
**
32.2
Certification of Principal Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
**
101.INS
XBRL Instance Document
*
101.SCH
XBRL Taxonomy Extension Schema Document
*
101.CAL
XBRL Taxonomy Extension Calculation Linkbase Document
*
101.DEF
XBRL Taxonomy Extension Definition Linkbase Document
*
101.LAB
XBRL Taxonomy Extension Label Linkbase Document
*
101.PRE
XBRL Taxonomy Extension Presentation Linkbase Document
*
*
Filed herewith.
**
Furnished herewith.
†
Portions of this exhibit have been omitted pursuant to Item 601(b)(10)(iv) of Regulation S-K.
Certain agreements filed as exhibits to this Quarterly Report on Form 10-Q contain representations and warranties that the parties thereto made to each other. These representations and warranties have been made solely for the benefit of the other parties to such agreements and may have been qualified by certain information that has been disclosed to the other parties to such agreements and that may not be reflected in such agreements. In addition, these representations and warranties may be intended as a way of allocating risks among parties if the statements contained therein prove to be incorrect, rather than as actual statements of fact. Accordingly, there can be no reliance on any such representations and warranties as characterizations of the actual state of facts. Moreover, information concerning the subject matter of any such representations and warranties may have changed since the date of such agreements.
93
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
Company Name
Date: August 13, 2020
By:
/s/ Matthew Kane
Matthew Kane
President, Chief Executive Officer and Director
(principal executive officer and authorized signatory)
Date: August 13, 2020
By:
/s/ Abid Ansari
Abid Ansari
Chief Financial Officer
(principal financial officer)
94
Text extracted from the filing as submitted to EDGAR. Formatting, tables and exhibits are simplified for reading; the original document is authoritative for anything you rely on.