MNKD 2017 Annual Report

Future minimum lease payments are as follows: 2018 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 522,000 2019 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 947,000 2020 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 976,000 2021 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,005,000 2022 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,035,000 Thereafter . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 88,000 $4,573,000 15. Employee Benefit Plans The Company administers a 401(k) savings retirement plan (the “MannKind Retirement Plan”) for its employees. For the years ended December 31, 2017, 2016 and 2015, the Company contributed $0.4 million, $0.4 million and $0.6 million, respectively, to the MannKind Retirement Plan. 16. Income Taxes Loss from continuing operations before provision for income tax for the Company’s domestic and international operations was as follows (in thousands): December 31, 2017 2016 2015 US . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $(113,679) $129,361 $(358,047) Foreign . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3,603) (3,697 ) (10,398 ) Loss before provision for income taxes . . . . . . . $(117,282) $125,664 $(368,445) At December 31, 2017, the Company has concluded that it is more likely than not that the Company may not realize the benefit of its deferred tax assets due to its history of losses. The provision for income taxes for the year ended December 31, 2017 was $0.05 million, and there was no provision for income taxes for the years ended December 31, 2016 and 2015, respectively because the Company had incurred operating losses since inception. Accordingly, the net deferred tax assets have been fully reserved. The provision for income taxes consists of the following (in thousands): Year Ended December 31, 2017 2016 2015 Current U.S. federal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 51 $ — $ — U.S. state . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — — — Non-U.S. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — — — Total current . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51 — — Deferred U.S. federal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 244,801 (43,814) 109,512 U.S. state . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15,398 (4,311) (29,394) Non-U.S. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . — — — Total deferred . . . . . . . . . . . . . . . . . . . . . . . . . . . 260,199 (48,125) 80,118 Valuation allowance . . . . . . . . . . . . . . . . . . . . . . (260,199) 48,125 (80,118) Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 51 $ — $ — 117