2012 Annual Report  BMS obtained full U.S. commercialization rights to Amylin’s two primary commercialized assets,  Bydureon , a once-weekly diabetes  treatment and  Byetta , a daily diabetes treatment, both of which are glucagon-like peptide-1 (GLP-1) receptor agonists approved in  certain countries to improve glycemic control in adults with type 2 diabetes. BMS also obtained full commercialization rights to  Symlin  (pramlintide acetate), an amylinomimetic approved in the U.S. for adjunctive therapy to mealtime insulin to treat diabetes.  Goodwill generated from this acquisition was primarily attributed to the expansion of our diabetes franchise.  IPRD was attributed to metreleptin, an analog of the human hormone leptine being studied and developed for the treatment of diabetes  and/or hypertriglyceridemia in pediatric and adult patients with inherited or acquired lipodystrophy. The estimated useful life and the  cash flows utilized to value metreleptin assumed initial positive cash flows to commence shortly after the expected receipt of  regulatory approvals, subject to trial results.  On February 13, 2012, BMS completed its acquisition of the outstanding shares of Inhibitex, Inc. (Inhibitex), a clinical-stage  biopharmaceutical company focused on developing products to prevent and treat serious infectious diseases. Acquisition costs of $12  million were included in other expense.  BMS obtained Inhibitex’s lead asset, INX-189, an oral nucleotide polymerase (NS5B) inhibitor in Phase II development for the  treatment of chronic hepatitis C virus infections. Goodwill generated from this acquisition was primarily attributed to the potential to  offer a full portfolio of therapy choices for hepatitis virus infections as well as to provide additional levels of sustainability to BMS’s  virology pipeline.  IPRD was primarily attributed to INX-189. INX-189 was expected to be most effective when used in combination therapy and it was  assumed all market participants would inherently maintain franchise synergies attributed to maximizing the cash flows of their  existing virology pipeline assets. The cash flows utilized to value INX-189 included such synergies and also assumed initial positive  cash flows to commence shortly after the expected receipt of regulatory approvals, subject to trial results.  In August 2012, the Company discontinued development of INX-189 in the interest of patient safety. As a result, the Company  recognized a non-cash, pre-tax impairment charge of $1.8 billion related to the IPRD intangible asset in the third quarter of 2012. For  further information discussion of the impairment charge, see Note 13 “Goodwill and Other Intangible Assets.”  On September 7, 2011, BMS completed its acquisition of the outstanding shares of Amira Pharmaceuticals, Inc. (Amira) for $325  million in cash plus three separate, contingent $50 million payments due upon achievement of certain development and sales-based  milestones. The first contingent payment was made in the fourth quarter of 2011. The purchase price of Amira includes the estimated  fair value of the total contingent consideration of $58 million, which was recorded in other liabilities. Acquisition costs of $1 million  were included in other expense. Amira was a privately-held biotechnology company primarily focused on the discovery and  development of therapeutic products for the treatment of cardiovascular and fibrotic inflammatory diseases. The acquisition provides  BMS with: 1) full rights to develop and commercialize AM152 which has completed Phase I clinical studies and the remainder of the  Amira lysophosphatidic acid 1 receptor antagonist program; 2) researchers with fibrotic expertise; and 3) a pre-clinical autotaxin  program. Goodwill generated from the acquisition was primarily attributed to acquired scientific expertise in fibrotic diseases  allowing for expansion into a new therapeutic class.  The contingent liability was estimated utilizing a model that assessed the probability of achieving each milestone and discounted the  amount of each potential payment based on the expected timing. Estimates used in evaluating the contingent liability were consistent  with those used in evaluating the acquired IPRD. The discount rate for each payment was consistent with market debt yields for the  non-callable, publicly-traded bonds of BMS with similar maturities to each of the estimated potential payment dates. This fair value  measurement was based on significant inputs not observable in the market and therefore represents a Level 3 measurement.  On October 8, 2010, BMS completed its acquisition of the outstanding shares of common stock of ZymoGenetics, Inc.  (ZymoGenetics) in October 2010. Acquisition costs of $10 million were included in other expense. ZymoGenetics is focused on  developing and commercializing therapeutic protein-based products for the treatment of human diseases. The companies collaborated  on the development of peginterferon lambda, a novel interferon in Phase IIb development at the acquisition date, for the treatment of  hepatitis C virus infection. The acquisition provides the Company with full rights to develop and commercialize peginterferon lambda  and also brings proven capabilities with therapeutic proteins and revenue from  Recothrom , an FDA approved specialty surgical  biologic. Goodwill generated from the acquisition was primarily attributed to full ownership rights to peginterferon lambda.  43  ZymoGenetics, Inc. Acquisition  Amira Pharmaceuticals, Inc. Acquisition  Inhibitex, Inc. Acquisition 