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Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Jun. 30, 2017	Aug. 07, 2017
Document and Entity Information
Entity Registrant Name	Vericel Corp
Entity Central Index Key	0000887359
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Document Type	10-Q
Document Period End Date	Jun. 30, 2017
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	Q2
Amendment Flag	false
Entity Common Stock, Shares Outstanding (in shares)		32,824,531

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Current assets:
Cash	$ 14,041	$ 22,978
Accounts receivable (net of allowance for doubtful accounts of $108 and $225, respectively)	14,729	17,093
Inventory	3,155	3,488
Other current assets	1,116	1,164
Total current assets	33,041	44,723
Property and equipment, net	3,493	3,875
Total assets	36,534	48,598
Current liabilities:
Accounts payable	6,272	6,535
Accrued expenses	4,135	4,523
Current portion of term loan credit agreement, net of deferred costs of $110	2,112	779
Warrant liabilities	209	757
Other	215	259
Total current liabilities	12,943	12,853
Long term deferred rent	8,040	9,318
Revolving and term loan credit agreement, net of deferred costs of $238 and $293, respectively	1,567	1,687
Other long term debt	11	32
Total liabilities	22,561	23,890
COMMITMENTS AND CONTINGENCIES (Note 13)
Shareholders’ equity:
Common stock, no par value; shares authorized — 75,000; shares issued and outstanding — 32,768 and 31,595, respectively	369,540	329,720
Warrants	190	190
Accumulated deficit	355,757	343,591
Total shareholders’ equity	13,973	24,708
Total liabilities and shareholders’ equity	36,534	48,598
Series B-2
Shareholders’ equity:
Series B-2 voting convertible preferred stock, no par value: shares authorized and reserved — 39, shares issued and outstanding — 0 and 12, respectively	$ 0	$ 38,389

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Allowance for doubtful accounts	$ 108	$ 225
Current portion of term loan credit agreement, deferred costs	110	0
Revolving and term loan credit agreement, deferred costs	$ 238	$ 293
Common Stock, authorized (in shares)	75,000	75,000
Common Stock, issued (in shares)	32,768	31,595
Common Stock, outstanding (in shares)	32,768	31,595
Series B-2
Convertible preferred stock, authorized (in shares)	39	39
Convertible preferred stock, reserved (in shares)	39	39
Convertible preferred stock, issued (in shares)	0	12
Convertible preferred stock, outstanding (in shares)	0	12

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Income Statement [Abstract]
Product sales, net	$ 16,953	$ 12,823	$ 26,314	$ 26,931
Cost of product sales	7,670	7,300	14,779	13,860
Gross profit	9,283	5,523	11,535	13,071
Research and development	2,971	4,058	6,438	7,594
Selling, general and administrative	8,833	6,449	17,241	12,453
Total operating expenses	11,804	10,507	23,679	20,047
Loss from operations	(2,521)	(4,984)	(12,144)	(6,976)
Other income (expense):
Decrease in fair value of warrants	441	1,942	548	302
Foreign currency translation loss	(13)	(1)	(14)	(11)
Interest income	3	2	4	7
Interest expense	(299)	(3)	(561)	(6)
Other income (expense)	1	0	1	(10)
Total other income (expense)	133	1,940	(22)	282
Net loss	$ (2,388)	$ (3,044)	$ (12,166)	$ (6,694)
Net loss per share attributable to common shareholders (Basic and Diluted) (see note 12) (in dollars per share)	$ (0.07)	$ (0.22)	$ (0.38)	$ (0.46)
Weighted average number of common shares outstanding (Basic and Diluted) (in shares)	32,765	22,684	32,333	22,644

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Operating activities:
Net loss	$ (12,166)	$ (6,694)
Adjustments to reconcile net loss to net cash used for operating activities:
Depreciation and amortization	784	923
Stock compensation expense	1,298	1,319
Change in fair value of warrants	(548)	(302)
Inventory provision	160	86
Deferred rent expense	51	260
Tenant improvement reimbursement	0	607
Foreign currency translation loss	13	11
Changes in operating assets and liabilities:
Inventory	173	(1,099)
Accounts receivable	2,364	1,888
Other current assets	48	(385)
Accounts payable	(404)	(2,305)
Accrued expenses	(388)	(711)
Other assets and liabilities, net	(161)	0
Net cash used for operating activities	(8,776)	(6,402)
Investing activities:
Expenditures for property, plant and equipment	(273)	(1,074)
Other	0	93
Net cash used in investing activities	(273)	(981)
Financing activities:
Net proceeds from issuance of common stock	132	352
Deferred financing costs	0	(96)
Borrowings under revolving credit agreement and term loan	0	2,400
Payments on long-term debt	(20)	(19)
Net cash provided by financing activities	112	2,637
Net decrease in cash	(8,937)	(4,746)
Cash at beginning of period	22,978	14,581
Cash at end of period	14,041	9,835
Supplemental cash flow information (non-cash):
Additions to equipment in process included in accounts payable	129	11
Shares exchanged between common and preferred stock	38,389	0
Supplementary cash flows information:
Interest paid, net of interest capitalized	$ 452	$ 0

ORGANIZATION	6 Months Ended
ORGANIZATION	Jun. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
ORGANIZATION	Organization Vericel Corporation, a Michigan corporation (the Company, Vericel, we, us or our), was incorporated in March 1989 and began employee-based operations in 1991. On May 30, 2014, Vericel completed the acquisition of certain assets and assumed certain liabilities of Sanofi, a French société anonyme (Sanofi), including all of the outstanding equity interests of Genzyme Biosurgery ApS (Genzyme Denmark or the Danish subsidiary) (now known as Vericel Denmark ApS), a wholly-owned subsidiary of Sanofi, and over 250 patent applications of Sanofi and certain of its subsidiaries for purposes of acquiring the portion of the cell therapy and regenerative medicine business (the CTRM Business), which researches, develops, manufactures, markets and sells the Carticel^®, MACI^®, and Epicel^® products. The Company is a fully integrated, commercial-stage biopharmaceutical company dedicated to the identification, development and commercialization of innovative therapies that enable the body to repair and regenerate damaged tissues and organs to restore normal structure and function. Vericel has marketed products and developmental stage product candidates, and the Company’s goal is to become the leader in cell therapy and regenerative medicine by developing, manufacturing and marketing best-in-class therapies for patients with significant unmet medical needs. The Company operates its business primarily in the U.S. in one reportable segment — the research, product development, manufacture and distribution of patient-specific, expanded cellular therapies for use in the treatment of specific diseases. The accompanying consolidated financial statements have been prepared on a basis which assumes that the Company will continue as a going concern and contemplates the realization of assets and satisfaction of liabilities and commitments in the normal course of business. As of June 30, 2017, the Company has an accumulated deficit of $355.8 million and had a net loss of $2.4 million during the quarter ended June 30, 2017. The Company had cash of $14.0 million as of June 30, 2017. The Company expects that existing cash together with its term loan and revolving line of credit agreement with Silicon Valley Bank (SVB) and MidCap Financial Services (MidCap) (the SVB-MidCap facility), will be sufficient to support the Company's current operations through at least August 2018. In connection with the SVB-MidCap facility, the Company must remain in compliance with minimum monthly net revenue covenants (determined in accordance with GAAP), measured on a trailing twelve month basis. SVB and MidCap also have the ability to call debt based on material adverse change clauses which are subjectively determinable and result in a subjective acceleration clause. If the Company's cash requirements exceed its current expectations, or if it is not in compliance with the monthly net revenue covenants or the subjective acceleration clauses are triggered under the SVB-MidCap facility, then SVB may call the debt resulting in the Company immediately needing additional funds. As of June 30, 2017, the Company was in compliance with the minimum revenue covenant set forth in the Second Loan Modification Agreement between the Company, SVB and MidCap. The Company may seek additional funding through debt or equity financings including the at-the-market sales agreement in place with Cowen. However, the Company may not be able to obtain financing on acceptable terms or at all. The terms of any financing may adversely affect the holdings or the rights of the Company's shareholders. If the Company needs additional funds and is unable to obtain funding on a timely basis, the Company may need to significantly curtail its operations including its research and development programs in an effort to provide sufficient funds to continue its operations, which could adversely affect its business prospects.

BASIS OF PRESENTATION	6 Months Ended
BASIS OF PRESENTATION	Jun. 30, 2017
BASIS OF PRESENTATION
BASIS OF PRESENTATION	Basis of Presentation The condensed consolidated financial statements included herein have been prepared in accordance with the rules and regulations of the U.S. Securities and Exchange Commission (SEC). The preparation of condensed consolidated financial statements in conformity with generally accepted accounting principles in the United States of America (U.S. GAAP) requires management to make estimates, judgments, and assumptions that may affect the reported amounts of assets, liabilities, equity, revenues and expenses. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been omitted pursuant to such rules and regulations. The financial statements reflect, in the opinion of management, all adjustments (consisting only of normal, recurring adjustments) necessary to state fairly the financial position and results of operations as of and for the periods indicated. The results of operations for the three and six months ended June 30, 2017, are not necessarily indicative of the results to be expected for the full year or for any other period. The June 30, 2017 condensed consolidated balance sheet data was derived from the Company’s audited consolidated financial statements, but does not include all disclosures required by U.S. GAAP. These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2016, as filed with the SEC on March 13, 2017 (Annual Report).

RECENT ACCOUNTING PRONOUNCEMENTS	6 Months Ended
RECENT ACCOUNTING PRONOUNCEMENTS	Jun. 30, 2017
Accounting Policies [Abstract]
RECENT ACCOUNTING PRONOUNCEMENTS	Recent Accounting Pronouncements Revenue Recognition In May 2014, the Financial Accounting Standards Board (FASB) issued authoritative guidance requiring entities to apply a new model for recognizing revenue from contracts with customers and the reporting of principal versus agent considerations. The guidance will supersede the current revenue recognition guidance and require entities to evaluate their revenue recognition arrangements using a five step model to determine when a customer obtains control of a transferred good or service. The guidance is currently effective for annual reporting periods beginning after December 15, 2017 and may be adopted using a full or modified retrospective application. The Company is currently in the process of evaluating its revenue arrangements under the issued guidance and the impact to its consolidated financial statements. Accounting for Leases The FASB issued guidance to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. In accordance with the updated guidance, lessees are required to recognize the assets and liabilities arising from operating leases on the balance sheet. The guidance is effective for annual reporting periods beginning after December 15, 2018, including interim periods within 2018. The Company is currently reviewing the potential impact of adopting the new guidance. Share-based Payment Accounting The FASB issued guidance to simplify the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The new standard became effective and was implemented for the Company beginning January 1, 2017. Consistent with prior periods, the Company will continue to estimate forfeitures and therefore, the guidance did not have an impact on the Company's consolidated financial statements.

REVENUE	6 Months Ended
REVENUE	Jun. 30, 2017
Risks and Uncertainties [Abstract]
REVENUE	Revenue Revenue Recognition and Net Product Sales Total revenues are comprised of product sales of Carticel, Epicel, MACI and surgical kits. Revenue is recognized when persuasive evidence of an arrangement exists, the goods are shipped or delivered, depending on shipping terms, title and risk of loss pass to the customer and collectability is reasonably assured. Shipping and handling costs are included as a component of revenue. The Company recognizes product revenues from sales of Epicel, Carticel and MACI upon delivery to patients as long as (i) there is persuasive evidence that an arrangement exists between ourselves and the customer, (ii) collectability is reasonably assured and (iii) the price is fixed or determinable. For Carticel and MACI, prior authorization or confirmation of coverage level by the patient’s private insurance plan, hospital or government payer is a prerequisite to the shipment of product to a patient. The Company's net product revenues are calculated by estimating expected payments for insurance, hospital or patient payments at the time it recognizes the gross revenue. The estimates are updated prospectively as new information becomes available. The Company sells Epicel directly to hospitals and retains the credit and collection risk from the end customer. From July 1, 2016 through June 30, 2017, the Company utilized a direct sales model for Carticel and MACI whereby the Company retained the credit and collection risk from the end customer. During that period, the Company utilized Dohmen Life Science Services, LLC (DLSS) to provide patient support services and reimbursement services, but this provider did not purchase and take title to Carticel or MACI. On May 15, 2017, both parties mutually terminated the agreement effective June 30, 2017. The Company utilizes Vital Care, Inc. (Vital Care) to provide data reporting services and to purchase, bill and collect from certain payers for Carticel and MACI. In April 2017, the Company was notified of a contractual dispute between Vital Care and a third-party payer and as a result, during the three months ended March 31, 2017, the Company increased its estimated revenue allowances, reducing revenue by $2.1 million related to 2016 sales and $0.7 million related to 2017 sales to reflect the lower reimbursement that would be obtained if the claims are ultimately required to be treated as out-of-network. Subsequently, the dispute was resolved and the negotiated reimbursement resulted in the Company's ability to reduce its estimated sales allowances by $1.4 million, which resulted in additional revenue in the second quarter related to sales which originated primarily in 2016. As a result of the continuing evaluation and assessment of these expected payments, our estimates for expected payments could change. On May 15, 2017, the Company entered into a distribution agreement with Orsini Pharmaceutical Services, Inc. (Orsini) to appoint Orsini as a specialty pharmacy distributor of Carticel and MACI to patients' physicians and other healthcare providers. Orsini will work with the Company's third party service provider for the management of patient cases related to Carticel and MACI. The initial term of the distribution agreement will end on May 15, 2019 with the option of two additional two-year terms. Orsini takes title to Carticel and MACI upon shipment of the product and assumes credit and collection risk. The Company ships the product to the surgical suite. Concentration of Credit Risk Revenue from one customer, the Carticel and MACI distributor in the U.S., represented approximately 14% of total revenue during the three months ended June 30, 2017. Accounts receivable from the same customer accounted for 17% of the outstanding accounts receivable as of June 30, 2017. For the three and six months ended June 30, 2016, the Company's largest customer represented 69% and 65% of total revenue, respectively. The next largest customer represented approximately 11% and 14% of revenue for the three and six ended June 30, 2017, respectively, and 13% and 15% of total revenue during the three and six months ended June 30, 2016, respectively. No other customer accounted for more than 10% of revenue or accounts receivable in 2017 or as of December 31, 2016.

SELECTED BALANCE SHEET COMPONENTS

6 Months Ended

Jun. 30, 2017

Balance Sheet Related Disclosures [Abstract]

SELECTED BALANCE SHEET COMPONENTS

Selected Balance Sheet Components

Inventory as of June 30, 2017 and December 31, 2016:



(In thousands)	June 30, 2017		December 31, 2016
Raw materials	$	2,892	$	3,214
Work-in-process	250		257
Finished goods	13		17
Inventory	$	3,155	$	3,488

Property and equipment, net as of June 30, 2017 and December 31, 2016:



(In thousands)	June 30, 2017			December 31, 2016
Machinery and equipment	$	3,234		$	3,150
Furniture, fixtures and office equipment	931			931
Computer equipment and software	3,265			3,147
Leasehold improvements	3,332			3,332
Construction in process	608			408
Total property and equipment, gross	11,370			10,968
Less: Accumulated depreciation	(7,877		)	(7,093		)
	$	3,493		$	3,875

Depreciation expense for the three and six months ended June 30, 2017 and 2016 was $0.4 million and $0.8 million, respectively.

Accrued expenses as of June 30, 2017 and December 31, 2016:



(In thousands)	June 30, 2017		December 31, 2016
Bonus related compensation	$	1,335	$	2,433
Employee related accruals	1,696		1,668
Clinical trial related accruals	589		422
Other	515		—
	$	4,135	$	4,523

STOCK PURCHASE WARRANTS

6 Months Ended

Jun. 30, 2017

Warrants and Rights Note Disclosure [Abstract]

STOCK PURCHASE WARRANTS

Stock Purchase Warrants

The Company has historically issued warrants to purchase shares of the Company’s common stock in connection with certain of its common stock offerings and in September 2016 the Company issued warrants in connection with the updated debt agreement (September 2016 Warrants) discussed in note 7. The warrants issued in August 2013 (August 2013 Warrants) include anti-dilution price protection provisions that could require cash settlement of the warrants and accordingly requiring the warrants to be recorded as liabilities of the Company at the estimated fair value at the date of issuance, with changes in estimated fair value recorded as income or expense (non-cash) in the Company’s statement of operations in each subsequent period. The September 2016 Warrants meet the requirements for equity classification. The following table describes the outstanding warrants:



	August 2013 Warrants	September 2016 Warrants
Exercise price	$4.80	$2.48
Expiration date	August 16, 2018	September 9, 2022
Total shares issuable on exercise	724,950	117,074

On September 9, 2016, the Company issued 117,074 warrants to two holders in conjunction with the loan agreement described in note 7. The initial valuation of the September 2016 Warrants was recorded as debt issuance costs and is being amortized over the remaining life of the loan agreement to interest expense. The September 2016 Warrants are treated as equity instruments recorded at fair value with no subsequent remeasurement. Pursuant to the warrants, the holders may exercise their warrants for an aggregate of 117,074 shares of the Company’s common stock.

The fair value of the warrants described in the table above is measured using the Black-Scholes valuation model. Inherent in the Black-Scholes valuation model are assumptions related to expected stock-price volatility, expected life, risk-free interest rate and dividend yield. The Company estimates the volatility of its common stock based on historical volatility that matches the expected remaining life of the warrants. The risk-free interest rate is based on the U.S. Treasury zero-coupon yield curve on the grant date for a maturity similar to the expected remaining life of the warrants. The expected life of the warrants is assumed to be equivalent to their remaining contractual term. The dividend rate is based on the historical rate, which the Company anticipates to remain at zero. See further detail in note 9 of the condensed consolidated financial statements.

The assumptions used by the Company are summarized in the following tables:



August 2013 Warrants	June 30, 2017			December 31, 2016
Closing stock price	$	3.30		$	3.00
Expected dividend rate	—		%	—		%
Expected stock price volatility	48.7		%	97.9		%
Risk-free interest rate	1.2		%	1.0		%
Expected life (years)	1.13			1.62



September 2016 Warrants	September 9, 2016
Closing stock price	$	2.20
Expected dividend rate	—		%
Expected stock price volatility	89.8		%
Risk-free interest rate	1.4		%
Expected life (years)	6.00

DEBT	6 Months Ended
DEBT	Jun. 30, 2017
Debt Disclosure [Abstract]
DEBT	Debt On March 8, 2016, the Company entered into a $15.0 million debt financing with SVB which on September 9, 2016, was replaced by an expanded term loan and revolving line of credit agreement with SVB and MidCap, which together initially provided access to up to $20 million. The updated debt financing consists of a $4.0 million term loan which was drawn at the closing, a $4.0 million term loan which was drawn upon in November 2016, a $2.0 million term loan which is no longer available as it was not drawn upon by April 12, 2017 and up to $10.0 million of a revolving line of credit. The term loans are interest only (indexed to Wall Street Journal (WSJ) Prime plus 5.00%) until September 1, 2017 followed by 36 equal monthly payments of principal plus interest maturing September 9, 2020. The revolving line of credit is limited to a borrowing base calculated using eligible accounts receivable and maturing September 9, 2020 with an interest rate indexed to WSJ Prime plus 1.25%. The Company is subject to various financial and nonfinancial covenants including but not limited to monthly minimum net revenue covenants (determined in accordance with GAAP), measured on a trailing twelve month basis. SVB and MidCap have the ability to call debt based on material adverse change clauses which are subjectively determinable and result in a subjective acceleration clause. SVB and MidCap have a shared first priority perfected security interest in all assets of the Company other than intellectual property. As of June 30, 2017, there was an outstanding balance of $8.0 million under the term loan and $2.5 million under the revolving line of credit. The weighted average interest rate on the outstanding term and revolving credit loans as of June 30, 2017 was 7.9%. On December 30, 2016, the Company entered into an amendment to the SVB-MidCap facility to amend certain financial covenants and to modify the final payment of the term loan advance. The Company further amended the SVB-MidCap facility on May 9, 2017 to update the monthly net revenue requirement covenants, measured on a trailing twelve month basis. The amendment decreased the monthly 12 month trailing minimum revenue covenant and revised the December 31, 2017 minimum revenue covenant to $51.7 million. As of June 30, 2017, the Company was in compliance with the minimum revenue covenant. The amount of eligible account receivables used to calculate the availability under the revolving line of credit was also reduced under the amendment. As of June 30, 2017, there was $2.2 million remaining capacity under the revolving line of credit.

STOCK-BASED COMPENSATION

6 Months Ended

Jun. 30, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

STOCK-BASED COMPENSATION

Stock-based Compensation

Stock Option and Equity Incentive Plans

The Company can issue nonqualified and incentive stock options as well as other equity awards pursuant to its Second Amended and Restated 2009 Omnibus Incentive Plan (Option Plan). Such awards pursuant to the Option Plan may be granted by the Company’s Board of Directors to certain of the Company’s employees, directors and consultants.

During the three and six months ended June 30, 2017, the Company granted 658,170 and 1,550,560, respectively, service-based options to purchase common stock. The options were granted with exercise prices equal to the fair market value of the Company’s stock at the grant date, and other than those granted to non-employee directors, vest over four years, under a graded-vesting methodology, following the date of grant, and expire after ten years. The Company issues new shares upon the exercise of stock options. The weighted average grant-date fair value of service-based options granted under the Option Plan during the three and six month periods ended June 30, 2017 was $1.86 and $1.94, respectively and, $2.06 and $2.16, respectively for the same periods in 2016.

The net compensation expense recorded for the service-based stock options related to employees and directors was $0.8 million and $1.2 million for the three and six months ended June 30, 2017, respectively, and $0.7 million and $1.2 million for the same periods in 2016. The compensation cost includes forfeiture adjustments.

The fair value of each service-based stock option grant for the reported periods is estimated on the date of the grant using the Black-Scholes option-pricing model using the weighted average assumptions noted in the following table.



	Six Months Ended June 30,
Service-Based Stock Options	2017		2016
Expected dividend rate	—	%	—	%
Expected stock price volatility	80.1 – 88.2%		78.7 – 92.2%
Risk-free interest rate	1.88 – 2.31%		1.2 – 1.8%
Expected life (years)	5.5 – 6.3		5.5 – 6.3

The following table summarizes the activity for service-based stock options for the indicated periods:



Service-Based Stock Options	Options	Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value
Outstanding at December 31, 2016	3,355,692	$	4.66	8.2	$	610
Granted	1,550,560	$	2.75
Exercised	2,152	$	2.71		$	1
Expired	84,889	$	18.52
Forfeited	137,599	$	3.38
Outstanding at June 30, 2017	4,681,612	$	3.82	8.4	$	2,038
Exercisable at June 30, 2017	1,769,955	$	5.33	7.5	$	541

As of June 30, 2017 there was approximately $3.9 million of total unrecognized compensation cost related to non-vested service-based stock options granted under the Option Plan. That cost is expected to be recognized over a weighted-average period of 3.1 years.

The total fair value of options vested during the three and six months ended June 30, 2017 was $0.7 million and $1.2 million, respectively, and $0.6 million and $1.0 million, respectively, for the same periods in 2016.

Employee Stock Purchase Plan

Employees are able to purchase stock under the Vericel Corporation Employee Stock Purchase Plan (ESPP), which was implemented effective October 1, 2015. Participation in this plan is available to substantially all employees. Compensation expense is recorded based on the fair market value of the purchase options at the grant date, which corresponds to the first day of each purchase period and is amortized over the purchase period. On July 3, 2017, employees purchased 55,123 shares resulting in proceeds from the sale of common stock of $0.1 million under the ESPP. The total share-based compensation expense for the ESPP for each of the three and six months ended June 30, 2017 was less than $0.1 million.

FAIR VALUE MEASUREMENTS

6 Months Ended

Jun. 30, 2017

Fair Value Disclosures [Abstract]

FAIR VALUE MEASUREMENTS

Fair Value Measurements

The Company’s fair value measurements are classified and disclosed in one of the following three categories:


•	Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities;


•	Level 2: Quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability; and


•	Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity).

The following table summarizes the valuation of the Company’s investments and financial instruments that are measured at fair value on a recurring basis:



	June 30, 2017								December 31, 2016
			Fair value measurement category								Fair value measurement category
(In thousands)	Total		Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3
Liabilities:
Warrant liabilities	$	209	$	—	$	209	$	—	$	757	$	—	$	757	$	—

The following table summarizes the change in the estimated fair value of the Company’s warrant liabilities:



Warrant Liabilities (In thousands)
Balance at December 31, 2016	$	757
Decrease in fair value	(548		)
Balance at June 30, 2017	$	209

- 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

SHAREHOLDERS' EQUITY	6 Months Ended
SHAREHOLDERS' EQUITY	Jun. 30, 2017
Stockholders' Equity Note [Abstract]
SHAREHOLDERS' EQUITY	Shareholders' Equity At-the-Market Sales Agreement On October 10, 2016, the Company entered into our at-the-market sales agreement with Cowen (ATM Agreement), pursuant to which the Company may sell shares of our common stock through Cowen and Company, LLC (Cowen), as sales agent, in registered transactions from our shelf registration statement filed in June 2015, for aggregate proceeds of up to $25.0 million. Shares of common stock sold under the ATM are to be sold at market prices. The Company will pay up to 3% of the gross proceeds to Cowen as a commission. 357,856 shares of common stock have been sold to date under the ATM Agreement for net proceeds of $0.8 million and as of June 30, 2017 had remaining capacity of approximately $24.2 million.

PREFERRED STOCK	6 Months Ended
PREFERRED STOCK	Jun. 30, 2017
Equity [Abstract]
PREFERRED STOCK	Preferred Stock Series B Convertible Preferred Stock On February 10, 2017, the Company sent notice to Eastern Capital Limited (Eastern), an existing holder of shares of the Company’s Series B-1 Non-Voting Convertible Preferred Stock or Series B-2 Voting Convertible Preferred Stock (Preferred Stock), informing Eastern of the Company's election to convert all 12,308 of the outstanding shares of Preferred Stock held by Eastern, plus 9,570 shares of Preferred Stock in accumulated but undeclared dividends thereon, into 1,093,892 shares of the Company's common stock pursuant to the terms of the Amended and Restated Certificate of Designations, Preferences and Rights of Series B-1 Non-Voting Preferred Stock and Series B-2 Voting Preferred Stock of the Company (Mandatory Conversion). After the Mandatory Conversion on March 9, 2017, no shares of Preferred Stock of the Company remain outstanding as of June 30, 2017.

NET LOSS PER COMMON SHARE

6 Months Ended

Jun. 30, 2017

Earnings Per Share [Abstract]

NET LOSS PER COMMON SHARE

Net Loss Per Common Share

Basic earnings (loss) per share is calculated using the two-class method, which is an earnings allocation formula that determines earnings (loss) per share for the holders of the Company’s common shares and holders of the Series B preferred stock. The Series B preferred stock shares contain participation rights in undistributed earnings, but do not share in the losses of the Company. The dividends on the Series B preferred stock were treated as a reduction of earnings attributable to common shareholders.

The following reflects the net loss attributable to common shareholders and share data used in the basic and diluted earnings per share computations using the two class method:



	Three months ended June 30,						Six months ended June 30,
(Amounts in thousands except per share amounts)	2017			2016			2017			2016
Numerator:
Net loss	$	(2,388	)	$	(3,044	)	$	(12,166	)	$	(6,694	)
Dividends accumulated on convertible preferred stock	—			(1,856		)	—			(3,660		)
Net loss attributable to common shareholders	$	(2,388	)	$	(4,900	)	$	(12,166	)	$	(10,354	)
Denominator:
Denominator for basic and diluted EPS:
Weighted-average common shares outstanding	32,765			22,684			32,333			22,644
Net loss per share attributable to common shareholders (basic and diluted)	$	(0.07	)	$	(0.22	)	$	(0.38	)	$	(0.46	)

Common equivalent shares are not included in the diluted per share calculation where the effect of their inclusion would be anti-dilutive. The aggregate number of common equivalent shares (related to options, warrants and preferred stock) that have been excluded from the computations of diluted net loss per common share at June 30, 2017 and 2016 were 5.5 million and 6.4 million, respectively.

COMMITMENTS AND CONTINGENCIES

6 Months Ended

Jun. 30, 2017

Commitments and Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENCIES

Commitments and Contingencies

The Company leases facilities in Ann Arbor, Michigan and Cambridge, Massachusetts. In March 2016, the Company amended its current lease in Cambridge to, among other provisions, extend the terms until February 2022. Under the amendment, the landlord will contribute approximately $2.0 million toward the cost of tenant improvements. The contribution toward the cost of tenant improvements is recorded as deferred rent on the Company's consolidated balance sheet and is amortized to our consolidated statement of operations as reductions to rent expense over the lease term. As of June 30, 2017, the Company has recorded a tenant improvement of $0.9 million.

In addition to the property leases, the Company also leases an offsite warehouse, various vehicles and computer equipment. The Company's purchase commitments consists of minimum purchase amounts of material in manufacturing in addition to fees payable under the DLSS contract which provides a patient support services program for Carticel and MACI.

As of June 30, 2017, future minimum payments related to leases and other contractual obligations are as follows:



(In thousands)	Total		2017		2018		2019		2020		2021		More than 5 Years
Operating leases	$	21,709	$	2,689	$	4,799	$	4,452	$	4,462	$	4,546	$	761
Purchase commitments	4,111		1,111		600		600		600		600		600
Capital leases	54		22		32		—		—		—		—
Total	$	25,874	$	3,822	$	5,431	$	5,052	$	5,062	$	5,146	$	1,361

Rent expense for the three and six months ended June 30, 2017 was $1.3 million and $2.7 million, respectively, and $1.2 million and $2.4 million, respectively, for the three and six months ended June 30, 2016.

License Agreement

On May 10, 2017, the Company announced that it has entered into a License Agreement (License Agreement) with Innovative Cellular Therapeutics Co. Ltd, (ICT), a leading cell therapy company and developer of CAR-T cell therapy for cancer treatment, for the development and distribution of the Vericel product portfolio in Greater China, South Korea, Singapore, and other countries in Asia. ICT will acquire an exclusive license to certain patent rights, know-how and intellectual property relating to Carticel, MACI, Ixmyelocel-T, and Epicel as well as enter into a warrant purchase agreement. As part of the license and warrant purchase agreements, the Company will receive an upfront payment of $6.0 million, less any applicable taxes, within 60 days of the effective date of the License Agreement. The initiation of the technology transfer, the license grants in the License Agreement and the warrant purchase are contingent upon Vericel’s receipt of the upfront payment. Vericel is eligible to receive approximately $8.0 million in development and commercial milestones. ICT has also agreed to pay tiered royalties to Vericel equal to a percentage of net sales of each Licensed Product in the low double digits for the commercial life of the applicable Licensed Product. ICT will be responsible for funding the development of the programs and manufacturing of the products for commercialization in China and the rest of the territory. The funding transfer is subject to approval by the State Administration of Foreign Exchange of the People's Republic of China and has not occurred as of issuance date of the financial statements. As a result, the parties amended the agreement to provide additional time for ICT to pay and reset certain terms of the warrant. The initiation of the technology transfer, the license grants in the License Agreement and the warrant purchase have not occurred. As partial consideration for an amount included in the upfront payment Vericel will issue to ICT a warrant, exercisable for the number of shares of Vericel’s Common Stock equal to $5.0 million less the withholding tax payable thereon divided by $3.05 (formerly $2.55), with a strike price of $0.01 per share.

RECENT ACCOUNTING PRONOUNCEMENTS (Policies)	6 Months Ended
RECENT ACCOUNTING PRONOUNCEMENTS (Policies)	Jun. 30, 2017
Accounting Policies [Abstract]
Recent Accounting Pronouncements	Recent Accounting Pronouncements Revenue Recognition In May 2014, the Financial Accounting Standards Board (FASB) issued authoritative guidance requiring entities to apply a new model for recognizing revenue from contracts with customers and the reporting of principal versus agent considerations. The guidance will supersede the current revenue recognition guidance and require entities to evaluate their revenue recognition arrangements using a five step model to determine when a customer obtains control of a transferred good or service. The guidance is currently effective for annual reporting periods beginning after December 15, 2017 and may be adopted using a full or modified retrospective application. The Company is currently in the process of evaluating its revenue arrangements under the issued guidance and the impact to its consolidated financial statements. Accounting for Leases The FASB issued guidance to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. In accordance with the updated guidance, lessees are required to recognize the assets and liabilities arising from operating leases on the balance sheet. The guidance is effective for annual reporting periods beginning after December 15, 2018, including interim periods within 2018. The Company is currently reviewing the potential impact of adopting the new guidance. Share-based Payment Accounting The FASB issued guidance to simplify the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The new standard became effective and was implemented for the Company beginning January 1, 2017. Consistent with prior periods, the Company will continue to estimate forfeitures and therefore, the guidance did not have an impact on the Company's consolidated financial statements.

SELECTED BALANCE SHEET COMPONENTS (Tables)

6 Months Ended

Jun. 30, 2017

Balance Sheet Related Disclosures [Abstract]

Schedule of inventory

Inventory as of June 30, 2017 and December 31, 2016:



(In thousands)	June 30, 2017		December 31, 2016
Raw materials	$	2,892	$	3,214
Work-in-process	250		257
Finished goods	13		17
Inventory	$	3,155	$	3,488

Schedule of property and equipment, net

Property and equipment, net as of June 30, 2017 and December 31, 2016:



(In thousands)	June 30, 2017			December 31, 2016
Machinery and equipment	$	3,234		$	3,150
Furniture, fixtures and office equipment	931			931
Computer equipment and software	3,265			3,147
Leasehold improvements	3,332			3,332
Construction in process	608			408
Total property and equipment, gross	11,370			10,968
Less: Accumulated depreciation	(7,877		)	(7,093		)
	$	3,493		$	3,875

Schedule of accounts payable and accrued expenses

Accrued expenses as of June 30, 2017 and December 31, 2016:



(In thousands)	June 30, 2017		December 31, 2016
Bonus related compensation	$	1,335	$	2,433
Employee related accruals	1,696		1,668
Clinical trial related accruals	589		422
Other	515		—
	$	4,135	$	4,523

STOCK PURCHASE WARRANTS (Tables)

6 Months Ended

Jun. 30, 2017

Warrants and Rights Note Disclosure [Abstract]

Schedule of warrants outstanding

The following table describes the outstanding warrants:



	August 2013 Warrants	September 2016 Warrants
Exercise price	$4.80	$2.48
Expiration date	August 16, 2018	September 9, 2022
Total shares issuable on exercise	724,950	117,074

Schedule of assumptions used in calculating estimated fair value of warrants

The assumptions used by the Company are summarized in the following tables:



August 2013 Warrants	June 30, 2017			December 31, 2016
Closing stock price	$	3.30		$	3.00
Expected dividend rate	—		%	—		%
Expected stock price volatility	48.7		%	97.9		%
Risk-free interest rate	1.2		%	1.0		%
Expected life (years)	1.13			1.62



September 2016 Warrants	September 9, 2016
Closing stock price	$	2.20
Expected dividend rate	—		%
Expected stock price volatility	89.8		%
Risk-free interest rate	1.4		%
Expected life (years)	6.00

- Definition

Tabular disclosure of warrants or rights issued. Warrants and rights outstanding are derivative securities that give the holder the right to purchase securities (usually equity) from the issuer at a specific price within a certain time frame. Warrants are often included in a new debt issue to entice investors by a higher return potential. The main difference between warrants and call options is that warrants are issued and guaranteed by the company, whereas options are exchange instruments and are not issued by the company. Also, the lifetime of a warrant is often measured in years, while the lifetime of a typical option is measured in months. Disclose the title of issue of securities called for by warrants and rights outstanding, the aggregate amount of securities called for by warrants and rights outstanding, the date from which the warrants or rights are exercisable, and the price at which the warrant or right is exercisable.

+ References + Details

STOCK-BASED COMPENSATION (Tables)

6 Months Ended

Jun. 30, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule of weighted average assumptions used to estimate fair value of each service-based stock option grant



	Six Months Ended June 30,
Service-Based Stock Options	2017		2016
Expected dividend rate	—	%	—	%
Expected stock price volatility	80.1 – 88.2%		78.7 – 92.2%
Risk-free interest rate	1.88 – 2.31%		1.2 – 1.8%
Expected life (years)	5.5 – 6.3		5.5 – 6.3

Summary of activity for service-based stock options

The following table summarizes the activity for service-based stock options for the indicated periods:



Service-Based Stock Options	Options	Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value
Outstanding at December 31, 2016	3,355,692	$	4.66	8.2	$	610
Granted	1,550,560	$	2.75
Exercised	2,152	$	2.71		$	1
Expired	84,889	$	18.52
Forfeited	137,599	$	3.38
Outstanding at June 30, 2017	4,681,612	$	3.82	8.4	$	2,038
Exercisable at June 30, 2017	1,769,955	$	5.33	7.5	$	541

FAIR VALUE MEASUREMENTS (Tables)

6 Months Ended

Jun. 30, 2017

Fair Value Disclosures [Abstract]

Summary of valuation of the Company's investments and financial instruments that are measured at fair value on a recurring basis

The following table summarizes the valuation of the Company’s investments and financial instruments that are measured at fair value on a recurring basis:



	June 30, 2017								December 31, 2016
			Fair value measurement category								Fair value measurement category
(In thousands)	Total		Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3
Liabilities:
Warrant liabilities	$	209	$	—	$	209	$	—	$	757	$	—	$	757	$	—

Summary of change in estimated fair value of warrant liabilities

The following table summarizes the change in the estimated fair value of the Company’s warrant liabilities:



Warrant Liabilities (In thousands)
Balance at December 31, 2016	$	757
Decrease in fair value	(548		)
Balance at June 30, 2017	$	209

NET LOSS PER COMMON SHARE (Tables)

6 Months Ended

Jun. 30, 2017

Earnings Per Share [Abstract]

Schedule of net loss attributable to common shareholders and share data used in the basic and diluted earnings per share computations using the two class method

The following reflects the net loss attributable to common shareholders and share data used in the basic and diluted earnings per share computations using the two class method:



	Three months ended June 30,						Six months ended June 30,
(Amounts in thousands except per share amounts)	2017			2016			2017			2016
Numerator:
Net loss	$	(2,388	)	$	(3,044	)	$	(12,166	)	$	(6,694	)
Dividends accumulated on convertible preferred stock	—			(1,856		)	—			(3,660		)
Net loss attributable to common shareholders	$	(2,388	)	$	(4,900	)	$	(12,166	)	$	(10,354	)
Denominator:
Denominator for basic and diluted EPS:
Weighted-average common shares outstanding	32,765			22,684			32,333			22,644
Net loss per share attributable to common shareholders (basic and diluted)	$	(0.07	)	$	(0.22	)	$	(0.38	)	$	(0.46	)

COMMITMENTS AND CONTINGENCIES (Tables)

6 Months Ended

Jun. 30, 2017

Commitments and Contingencies Disclosure [Abstract]

Schedule of future minimum payments related to leases

As of June 30, 2017, future minimum payments related to leases and other contractual obligations are as follows:



(In thousands)	Total		2017		2018		2019		2020		2021		More than 5 Years
Operating leases	$	21,709	$	2,689	$	4,799	$	4,452	$	4,462	$	4,546	$	761
Purchase commitments	4,111		1,111		600		600		600		600		600
Capital leases	54		22		32		—		—		—		—
Total	$	25,874	$	3,822	$	5,431	$	5,052	$	5,062	$	5,146	$	1,361

ORGANIZATION (Details) $ in Thousands	3 Months Ended		6 Months Ended
ORGANIZATION (Details) $ in Thousands	Jun. 30, 2017 USD ($)	Jun. 30, 2016 USD ($)	Jun. 30, 2017 USD ($) segment	Jun. 30, 2016 USD ($)	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)	May 30, 2014 patent
Organization
Number of reportable segments \| segment			1
Accumulated deficit	$ 355,757		$ 355,757		$ 343,591
Net loss	2,388	$ 3,044	12,166	$ 6,694
Cash	$ 14,041	$ 9,835	$ 14,041	$ 9,835	$ 22,978	$ 14,581
CTRM Business
Organization
Number of patents and patents applications acquired \| patent							250

REVENUE (Details) $ in Millions			3 Months Ended			6 Months Ended
REVENUE (Details) $ in Millions	Jun. 30, 2017	May 15, 2017 term	Jun. 30, 2017 USD ($)	Mar. 31, 2017 USD ($)	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Customer concentration \| Carticel And MACI Distributor \| Revenue
CONCENTRATION
Concentration risk			14.00%
Customer concentration \| Carticel And MACI Distributor \| Accounts Receivable
CONCENTRATION
Concentration risk	17.00%
Customer concentration \| Largest Customer \| Revenue
CONCENTRATION
Concentration risk					69.00%		65.00%
Customer concentration \| Second Largest Customer \| Revenue
CONCENTRATION
Concentration risk			11.00%		13.00%	14.00%	15.00%
Orsini
CONCENTRATION
Distribution agreement, number of additional terms \| term		2
Distribution agreement, additional term		2 years
Allowance for Receivable from Insurance Provider \| Valuation Allowances And Reserves Period, Related To 2016
CONCENTRATION
Revenue reserves, deductions				$ 2.1
Allowance for Receivable from Insurance Provider \| Valuation Allowances And Reserves Period, Related To 2017
CONCENTRATION
Revenue reserves, deductions				$ 0.7
Allowance for Receivable from Insurance Provider \| Valuation Allowances And Reserves Period, Related To 2017 \| Disputes
CONCENTRATION
Revenue reserves, reversal of change in estimate			$ 1.4

SELECTED BALANCE SHEET COMPONENTS - INVENTORY (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Inventory:
Raw materials	$ 2,892	$ 3,214
Work-in-process	250	257
Finished goods	13	17
Inventory	$ 3,155	$ 3,488

SELECTED BALANCE SHEET COMPONENTS - PROPERTY PLANT AND EQUIPMENT (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Property and equipment, net:
Total property and equipment, gross	$ 11,370		$ 11,370		$ 10,968
Less: Accumulated depreciation	(7,877)		(7,877)		(7,093)
Total, net	3,493		3,493		3,875
Depreciation and amortization	400	$ 800	400	$ 800
Machinery and equipment
Property and equipment, net:
Total property and equipment, gross	3,234		3,234		3,150
Furniture, fixtures and office equipment
Property and equipment, net:
Total property and equipment, gross	931		931		931
Computer equipment and software
Property and equipment, net:
Total property and equipment, gross	3,265		3,265		3,147
Leasehold improvements
Property and equipment, net:
Total property and equipment, gross	3,332		3,332		3,332
Construction in process
Property and equipment, net:
Total property and equipment, gross	$ 608		$ 608		$ 408

SELECTED BALANCE SHEET COMPONENTS - ACCRUED EXPENSES (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Accounts payable and accrued expenses:
Bonus related compensation	$ 1,335	$ 2,433
Employee related accruals	1,696	1,668
Clinical trial related accruals	589	422
Other	515	0
Total	$ 4,135	$ 4,523

- Definition

The carrying amount of consideration received or receivable as of the balance sheet date on potential earnings that were not recognized as revenue in conformity with GAAP, and which are expected to be recognized as such within one year or the normal operating cycle, if longer, including sales, license fees, and royalties, but excluding interest income.

+ References + Details

STOCK PURCHASE WARRANTS (Details)		6 Months Ended	12 Months Ended
STOCK PURCHASE WARRANTS (Details)	Sep. 09, 2016 holder $ / shares shares	Jun. 30, 2017 $ / shares shares	Dec. 31, 2016 $ / shares
August 2013 Warrants
Stock Purchase Warrants
Exercise price per share (in dollars per share)		$ 4.80
Total shares issuable on exercise (in shares) \| shares		724,950
Assumptions used in calculating the estimated fair value of the warrants
Closing stock price (in dollars per share)		$ 3.3	$ 3
Expected dividend rate		0.00%	0.00%
Expected stock price volatility		48.70%	97.90%
Risk-free interest rate		1.20%	1.00%
Expected life		1 year 1 month 18 days	1 year 7 months 12 days
September 2016 Warrants
Stock Purchase Warrants
Exercise price per share (in dollars per share)		$ 2.48
Total shares issuable on exercise (in shares) \| shares		117,074
Warrants issued (in shares) \| shares	117,074
Number of warrant holders \| holder	2
Assumptions used in calculating the estimated fair value of the warrants
Closing stock price (in dollars per share)	$ 2.20
Expected dividend rate	0.00%
Expected stock price volatility	89.80%
Risk-free interest rate	1.40%
Expected life	6 years

DEBT (Details) - Silicon Valley Bank	Mar. 08, 2016 USD ($) installment	Jun. 30, 2017 USD ($)	May 09, 2017 USD ($)	Sep. 09, 2016 USD ($)
Debt Instrument [Line Items]
Weighted average interest rate		7.90%
Revolving Credit Facility \| December 31, 2017
Debt Instrument [Line Items]
Minimum revenue covenant			$ 51,700,000
Debt Financing Agreement
Debt Instrument [Line Items]
Debt instrument, face amount	$ 15,000,000.0
Maximum borrowing capacity (up to)				$ 20,000,000
Debt Financing Agreement \| Revolving Credit Facility \| Line of Credit
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 10,000,000.0
Line of credit, current		$ 2,500,000
Remaining borrowing capacity		2,200,000.0
Term Loan
Debt Instrument [Line Items]
Short-term bank loans and notes payable		$ 8,000,000
Term Loan \| Prime Rate
Debt Instrument [Line Items]
Basis spread on variable rate	5.00%
Number of installments \| installment	36
Term Loan \| Prime Rate \| Minimum
Debt Instrument [Line Items]
Basis spread on variable rate	1.25%
Term Loan \| Debt Instrument, Redemption, Period One
Debt Instrument [Line Items]
Debt instrument, face amount	$ 4,000,000.0
Term Loan \| Debt Instrument, Redemption, Period Two
Debt Instrument [Line Items]
Debt instrument, face amount	4,000,000.0
Term Loan \| Debt Instrument, Redemption, Period Three
Debt Instrument [Line Items]
Debt instrument, face amount	$ 2,000,000.0

STOCK-BASED COMPENSATION (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended		6 Months Ended		12 Months Ended
	Jul. 03, 2017	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Subsequent Event
Aggregate Intrinsic Value
Stock issued during period, employee stock purchase plans (in shares)	55,123
Service-Based Stock Options
Stock-Based Compensation
Vesting period				4 years
Expiration period				10 years
Grant date fair value (in dollars per share)		$ 1.86	$ 2.06	$ 1.94	$ 2.16
Stock-based compensation expense		$ 800	$ 700	$ 1,200	$ 1,200
Weighted average assumptions used to estimate fair value of each service-based stock option grant
Expected dividend rate				0.00%	0.00%
Options
Outstanding at the beginning of the period (in shares)				3,355,692
Granted (in shares)		658,170		1,550,560
Exercised (in shares)				2,152
Expired (in shares)				84,889
Forfeited (in shares)				137,599
Outstanding at the end of the period (in shares)		4,681,612		4,681,612		3,355,692
Exercisable at the end of the period (in shares)		1,769,955		1,769,955
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)				$ 4.66
Granted (in dollars per share)				2.75
Exercised (in dollars per share)				2.71
Expired (in dollars per share)				18.52
Forfeited (in dollars per share)				3.38
Outstanding at the end of the period (in dollars per share)		$ 3.82		3.82		$ 4.66
Exercisable at the end of the period (in dollars per share)		$ 5.33		$ 5.33
Weighted Average Remaining Contractual Term
Outstanding				8 years 4 months 24 days		8 years 2 months 12 days
Exercisable at the end of the period				7 years 6 months
Aggregate Intrinsic Value
Outstanding		$ 2,038		$ 2,038		$ 610
Exercised				1
Exercisable at end of period		541		541
Total unrecognized compensation cost		3,900		$ 3,900
Weighted average period over which unrecognized compensation is expected to be recognized				3 years 1 month 15 days
Total fair value of options vested		700	$ 600	$ 1,200	$ 1,000
Service-Based Stock Options \| Minimum
Weighted average assumptions used to estimate fair value of each service-based stock option grant
Expected stock price volatility				80.10%	78.70%
Risk-free interest rate				1.88%	1.20%
Expected life				5 years 6 months	5 years 6 months
Service-Based Stock Options \| Maximum
Weighted average assumptions used to estimate fair value of each service-based stock option grant
Expected stock price volatility				88.20%	92.20%
Risk-free interest rate				2.31%	1.80%
Expected life				6 years 3 months 18 days	6 years 3 months 18 days
Employee Stock
Stock-Based Compensation
Stock-based compensation expense		$ 100		$ 100
Employee Stock \| Subsequent Event
Aggregate Intrinsic Value
Stock issued during period, employee stock purchase plans	$ 100

FAIR VALUE MEASUREMENTS - RECURRING BASIS (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Liabilities that are measured at fair value on a recurring basis
Warrants	$ 190		$ 190
Change in the estimated fair value of warrant liabilities
Balance at December 31, 2016			190
Decrease in fair value	(441)	$ (1,942)	(548)	$ (302)
Balance at June 30, 2017	190		190
Warrants
Liabilities that are measured at fair value on a recurring basis
Warrants	209		757
Change in the estimated fair value of warrant liabilities
Balance at December 31, 2016			757
Decrease in fair value			(548)
Balance at June 30, 2017	209		209
Warrants \| Recurring
Liabilities that are measured at fair value on a recurring basis
Warrants	209		757
Change in the estimated fair value of warrant liabilities
Balance at December 31, 2016			757
Balance at June 30, 2017	209		209
Warrants \| Recurring \| Level 2
Liabilities that are measured at fair value on a recurring basis
Warrants	209		757
Change in the estimated fair value of warrant liabilities
Balance at December 31, 2016			757
Balance at June 30, 2017	209		209
Warrants \| Recurring \| Level 3
Liabilities that are measured at fair value on a recurring basis
Warrants	0		0
Change in the estimated fair value of warrant liabilities
Balance at December 31, 2016			0
Balance at June 30, 2017	$ 0		$ 0

SHAREHOLDERS' EQUITY (Details) - Cowen - USD ($)		3 Months Ended
SHAREHOLDERS' EQUITY (Details) - Cowen - USD ($)	Oct. 10, 2016	Dec. 31, 2016	Jun. 30, 2017
Class of Stock [Line Items]
At-the-market sales agreement, maximum aggregate proceeds	$ 25,000,000.0
At-the-market sales agreement, proceeds from issuance of common stock		$ 800,000
Amount of net capacity remaining on the at-the-market sales agreement			$ 24,200,000
Common Class A
Class of Stock [Line Items]
At-the-market sales agreement, shares issued (in shares)		357,856
Maximum
Class of Stock [Line Items]
Percentage of gross proceeds payable as commission	3.00%

PREFERRED STOCK (Details) - shares	Mar. 09, 2017	Feb. 10, 2017	Mar. 10, 2017
Convertible Preferred Stock
Conversion of stock, issued (in shares)	0
Preferred Class A And Class B
Convertible Preferred Stock
Conversion of stock, converted (in shares)		12,308
Accumulated undeclared dividends (in shares)			9,570
Common Class A
Convertible Preferred Stock
Conversion of stock, issued (in shares)		1,093,892

NET LOSS PER COMMON SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Numerator:
Net loss	$ (2,388)	$ (3,044)	$ (12,166)	$ (6,694)
Dividends accumulated on convertible preferred stock	0	(1,856)	0	(3,660)
Net loss attributable to common shareholders	$ (2,388)	$ (4,900)	$ (12,166)	$ (10,354)
Denominator:
Weighted-average common shares outstanding (in shares)	32,765	22,684	32,333	22,644
Net loss per share attributable to common shareholders (basic and diluted) (in dollars per share)	$ (0.07)	$ (0.22)	$ (0.38)	$ (0.46)
Aggregate number of common equivalent shares (related to options, warrants and preferred stock) that have been excluded from computations of diluted net loss per common share (in shares)			5,500	6,400

COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Incentive from Lessor	$ 2,000		$ 2,000
Deferred rent credit	900		900
Operating leases
Total	21,709		21,709
2017	2,689		2,689
2018	4,799		4,799
2019	4,452		4,452
2020	4,462		4,462
2021	4,546		4,546
More than 5 Years	761		761
Purchase commitments
Total	4,111		4,111
2017	1,111		1,111
2018	600		600
2019	600		600
2020	600		600
2021	600		600
More than 5 Years	600		600
Capital leases
Total	54		54
2017	22		22
2018	32		32
2019	0		0
2020	0		0
2021	0		0
More than 5 Years	0		0
Total
Total	25,874		25,874
2017	3,822		3,822
2018	5,431		5,431
2019	5,052		5,052
2020	5,062		5,062
2021	5,146		5,146
More than 5 Years	1,361		1,361
Rent expense	$ 1,300	$ 1,200	$ 2,700	$ 2,400

COMMITMENTS AND CONTINGENCIES - License Agreement (Details) - Innovative Cellular Therapeutics - USD ($)	May 10, 2017	May 09, 2017
Class of Stock [Line Items]
License agreement, initial payment	$ 6,000,000.0
License agreement, days within effective date of agreement initial payment due	60 days
License agreement, contingent consideration, asset	$ 8,000,000.0
License agreement, contingent consideration, liability	$ 5,000,000.0
Common Stock
Class of Stock [Line Items]
Warrants issued (in shares)	3.05	2.55
Exercise price per share (in dollars per share)	$ 0.01