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Document and Entity Information - shares	6 Months Ended
Jun. 30, 2013	Jul. 31, 2013
Document and Entity Information [Abstract]
Entity Registrant Name	SANGAMO BIOSCIENCES INC
Entity Central Index Key	0001001233
Document Type	10-Q
Document Period End Date	Jun. 30, 2013
Amendment Flag	false
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		54,106,372

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2013	Dec. 31, 2012
Current assets:
Cash and cash equivalents	$ 12,052	$ 21,679
Marketable securities	35,224	41,868
Interest receivable	273	190
Accounts receivable	4,918	4,129
Other current assets	285	203
Prepaid expenses	969	296
Total current assets	53,721	68,365
Marketable securities, non-current	18,849	12,584
Property and equipment, net	1,587	1,543
Other assets	39	41
Total assets	74,196	82,533
Current liabilities:
Accounts payable and accrued liabilities	3,294	4,013
Accrued compensation and employee benefits	1,443	2,473
Deferred revenues	2,318	2,304
Total current liabilities	7,055	8,790
Deferred revenues, non-current	7,763	8,847
Total liabilities	14,818	17,637
Commitments and contingencies
Stockholders' equity:
Common stock, $0.01 par value; 80,000,000 shares authorized, 53,974,452 and 53,058,525 shares issued and outstanding at June 30, 2013 and December 31, 2012, respectively	540	531
Additional paid-in capital	346,683	339,848
Accumulated deficit	(287,844)	(275,509)
Accumulated other comprehensive income (loss)	(1)	26
Total stockholders' equity	59,378	64,896
Total liabilities and stockholders' equity	$ 74,196	$ 82,533

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Revenues:
Collaboration agreements	$ 6,157	$ 3,812	$ 10,240	$ 5,475
Research grants	777	762	1,317	2,341
Total revenues	6,934	4,574	11,557	7,816
Operating expenses:
Research and development	9,278	7,574	17,498	14,857
General and administrative	3,124	2,744	6,432	5,986
Total operating expenses	12,402	10,318	23,930	20,843
Loss from operations	(5,468)	(5,744)	(12,373)	(13,027)
Interest and other income, net	18	16	38	31
Net loss	$ (5,450)	$ (5,728)	$ (12,335)	$ (12,996)
Basic and diluted net loss per share	$ (0.10)	$ (0.11)	$ (0.23)	$ (0.25)
Shares used in computing basic and diluted net loss per share	53,786	52,657	53,583	52,612

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012
Operating Activities:
Net loss	$ (12,335)	$ (12,996)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	305	334
Amortization of premium / discount on marketable securities	456	490
Stock-based compensation	2,707	2,607
Changes in operating assets and liabilities:
Interest receivable	(83)	132
Accounts receivable	(789)	(2,322)
Prepaid expenses and other assets	(753)	(268)
Accounts payable and accrued liabilities	(719)	(2,867)
Accrued compensation and employee benefits	(1,030)	(378)
Deferred revenues	(1,070)	12,122
Net cash used in operating activities	(13,311)	(3,146)
Investing Activities:
Purchases of investments	(27,524)	(47,505)
Maturities of investments	27,420	52,120
Purchases of property and equipment	(349)	(263)
Net cash (used in) / provided by investing activities	(453)	4,352
Financing Activities:
Proceeds from issuance of common stock	4,137	504
Net cash provided by financing activities	4,137	504
Net increase / (decrease) in cash and cash equivalents	(9,627)	1,710
Cash and cash equivalents, beginning of period	21,679	16,766
Cash and cash equivalents, end of period	$ 12,052	$ 18,476

Basis of Presentation and Summary of Significant Accounting Policies

6 Months Ended

Jun. 30, 2013

Basis of Presentation and Summary of Significant Accounting Policies [Abstract]

BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE 1 - BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements of Sangamo BioSciences, Inc. (“Sangamo” or the “Company”) have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the three and six months ended June 30, 2013 are not necessarily indicative of the results that may be expected for the year ending December 31, 2013. The condensed consolidated balance sheet data at December 31, 2012 were derived from the audited consolidated financial statements included in Sangamo’s Form 10-K for the year ended December 31, 2012, as filed with the SEC. These financial statements should be read in conjunction with the financial statements and footnotes thereto for the year ended December 31, 2012, included in Sangamo’s Form 10-K, as filed with the SEC.

Use of Estimates and Classifications

The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and the accompanying notes. On an ongoing basis, management evaluates its estimates, including critical accounting policies or estimates related to revenue recognition, clinical trial accruals, and stock-based compensation. Estimates are based on historical experience and on various other market specific and other relevant assumptions that the Company believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results could differ from those estimates.

Revenue Recognition

Revenues from research activities made under strategic partnering agreements and collaborations are recognized as the services are provided when there is persuasive evidence that an arrangement exists, delivery has occurred, the price is fixed or determinable, and collectability is reasonably assured. Revenue generated from research and licensing agreements typically includes upfront signing or license fees, cost reimbursements, research services, minimum sublicense fees, milestone payments and royalties on future licensee’s product sales.

Multiple Element Arrangements prior to the adoption of ASU No. 2009-13, Revenue Recognition—Multiple Deliverable Revenue Arrangements (ASU 2009-13). For revenue arrangements entered into before January 1, 2011, that include multiple deliverables, the elements of such agreement were divided into separate units of accounting if the deliverables met certain criteria, including whether the fair value of the delivered items could be determined and whether there was evidence of fair value of the undelivered items. In addition, the consideration was allocated among the separate units of accounting based on their fair values, and the applicable revenue recognition criteria are considered separately for each of the separate units of accounting. Prior to the adoption of ASU 2009-13, the Company recognized nonrefundable signing, license or non-exclusive option fees as revenue when rights to use the intellectual property related to the license were delivered and over the period of performance obligations if the Company had continuing performance obligations. The Company estimated the performance period at the inception of the arrangement and reevaluated it each reporting period. Changes to these estimates were recorded on a prospective basis.

Multiple Element Arrangements after the adoption of ASU 2009-13. ASU 2009-13 amended the accounting standards for certain multiple element revenue arrangements to:

•

provide updated guidance on whether multiple elements exist, how the elements in an arrangement should be separated, and how the arrangement consideration should be allocated to the separate elements;

•

require an entity to allocate arrangement consideration to each element based on a selling price hierarchy where the selling price for an element is based on vendor-specific objective evidence (“VSOE”), if available; third-party evidence (“TPE”), if available and VSOE is not available; or the best estimate of selling price (“ESP”), if neither VSOE nor TPE is available; and

•

eliminate the use of the residual method and require an entity to allocate arrangement consideration using the relative selling price method.

For revenue agreements with multiple element arrangements, such as license and development agreements, entered into on or after January 1, 2011, the Company allocates revenue to each non-contingent element based on the relative selling price of each element. When applying the relative selling price method, the Company determines the selling price for each deliverable using VSOE of selling price or TPE of selling price. If neither exists the Company uses ESP for that deliverable. Revenue allocated is then recognized when the basic four revenue recognition criteria are met for each element. The collaboration and license agreement entered into with Shire AG (Shire) in January 2012 was evaluated under these amended accounting standards.

Additionally, the Company may be entitled to receive certain milestone payments which are contingent upon reaching specified objectives. These milestone payments are recognized as revenue in full upon achievement of the milestone if there is substantive uncertainty at the date the arrangement is entered into that objectives will be achieved and if the achievement is based on the Company’s performance.

Minimum annual sublicense fees are also recognized as revenue in the period in which such fees are due. Royalty revenues are generally recognized when earned and collectability of the related royalty payment is reasonably assured. The Company recognizes cost reimbursement revenue under collaborative agreements as the related research and development costs for services are rendered. Deferred revenue represents the portion of research or license payments received which have not been earned.

Sangamo’s research grants are typically multi-year agreements and provide for the reimbursement of qualified expenses for research and development as defined under the terms of the grant agreement. Revenue under grant agreements is recognized when the related qualified research expenses are incurred.

Recent Accounting Pronouncement

In February 2013, the FASB issued ASU No. 2013-02, Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income (ASU 2013-02). This newly issued accounting standard requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. This ASU is effective for reporting periods beginning after December 15, 2012. We adopted this standard in the first quarter of 2013 and the adoption of this standard did not have an impact on our financial position or results of operations.

Investments and Fair Value Measurement

6 Months Ended

Jun. 30, 2013

Investments and Fair Value Measurement [Abstract]

INVESTMENTS AND FAIR VALUE MEASUREMENT

NOTE 2 - INVESTMENTS AND FAIR VALUE MEASUREMENT

Investments

Sangamo classifies its marketable securities as available-for-sale and records its investments at fair value. Available-for-sale securities are carried at estimated fair value based on quoted market prices, with the unrealized holding gains and losses included in accumulated other comprehensive income. Marketable securities which have maturities beyond one year as of the end of the reporting period are classified as non-current. The Company’s investments are subject to a periodic impairment review and the Company recognizes an impairment charge when a decline in the fair value of its investments below the cost basis is judged to be other-than-temporary. The Company considers various factors in determining whether to recognize an impairment charge, including the length of time and extent to which the fair value has been less than the Company’s cost basis, the financial condition and near-term prospects of the investee, and the Company’s intent and ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in the market value.

The table below summarizes the Company’s available-for-sale securities (in thousands):


	Amortized Cost		Gross Unrealized Gains		Gross Unrealized (Losses)			Estimated Fair Value
June 30, 2013
Cash equivalents:
Money market funds	$	8,184	$	—	$	—		$	8,184

Total		8,184		—		—			8,184

Available-for-sale securities:
U.S. government sponsored entity debt securities		54,074		—		(1	)		54,073

Total		54,074		—		(1	)		54,073

Total cash equivalents and available-for-sale securities	$	62,258	$	—	$	(1	)	$	62,257

December 31, 2012
Cash equivalents:
U.S. government sponsored entity debt securities	$	2,997	$	—	$	—		$	2,997
Money market funds		15,839		—		—			15,839

Total		18,836		—		—			18,836

Available-for-sale securities:
U.S. government sponsored entity debt securities		54,426		26		—			54,452

Total		54,426		26		—			54,452

Total cash equivalents and available-for-sale securities	$	73,262	$	26	$	—		$	73,288

As of June 30, 2013, none of the available-for-sale securities held by the Company had material unrealized losses and there were no realized losses for the three and six months ended June 30, 2013. The Company had no other-than-temporary impairments of available-for-sale securities for the three and six months ended June 30, 2013 or the twelve months ended December 31, 2012.

Fair Value Measurement

The Company measures certain financial assets at fair value on a recurring basis, including cash equivalents and available-for sale-securities. The fair value of these assets was determined based on a three-tier hierarchy under the authoritative guidance for fair value measurements and disclosures that prioritizes the inputs used in measuring fair value as follows:

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;

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 Company generally classifies its available-for-sale debt instruments as Level 2. Instruments can be classified as Level 2 when observable market prices for identical securities that are traded in less active markets are used. When observable market prices for identical securities are not available, such instruments are priced using benchmark curves, benchmarking of like securities, sector groupings, and matrix pricing as well as model processes. These models are proprietary to the pricing providers or brokers. These valuation models incorporate a number of inputs, including, listed in approximate order of priority: benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers and reference data including market research publications. For certain security types, additional inputs may be used, or some of the standard inputs may not be applicable. Evaluators may prioritize inputs differently on any given day for any security based on market conditions, and not all inputs listed are available for use in the evaluation process for each security evaluation on any given day.

The fair value measurements of our cash equivalents and available-for-sale marketable securities are identified at the following levels within the fair value hierarchy (in thousands):


	June 30, 2013 Fair Value Measurements
	Total		Level 1		Level 2		Level 3
Assets:
Cash equivalents:
Money market funds	$	8,184	$	8,184	$	—	$	—

Total		8,184		8,184		—		—
Available-for-sale securities:
U.S. government sponsored entity debt securities		54,073		—		54,073		—

Total		54,073		—		54,073		—

Total cash equivalents and available-for-sale securities	$	62,257	$	8,184	$	54,073	$	—


	December 31, 2012 Fair Value Measurements
	Total		Level 1		Level 2		Level 3
Assets:
Cash equivalents:
U.S. government sponsored entity debt securities	$	2,997	$	—	$	2,997	$	—
Money market funds		15,839		15,839		—		—

Total		18,836		15,839		2,997		—
Available-for-sale securities:
U.S. government sponsored entity debt securities		54,452		—		54,452		—

Total		54,452		—		54,452		—

Total cash equivalents and available-for-sale securities	$	73,288	$	15,839	$	57,449	$	—

Major Customers, Partnerships and Strategic Alliances

6 Months Ended

Jun. 30, 2013

Major Customers, Partnerships and Strategic Alliances [Abstract]

MAJOR CUSTOMERS, PARTNERSHIPS AND STRATEGIC ALLIANCES

NOTE 4 - MAJOR CUSTOMERS, PARTNERSHIPS AND STRATEGIC ALLIANCES

Collaboration Agreements

Collaboration and License Agreement with Shire AG in Human Therapeutics and Diagnostics

In January 2012, the Company entered into a collaboration and license agreement (the Agreement) with Shire AG (Shire), pursuant to which the Company and Shire collaborate to research, develop and commercialize human therapeutics and diagnostics for monogenic diseases based on Sangamo’s novel zinc finger DNA-binding proteins (ZFP) technology. Under the Agreement, the Company and Shire may develop potential human therapeutic or diagnostic products for seven gene targets. The initial four gene targets selected were blood clotting Factors VII, VIII, IX and X, and products developed for such initial gene targets will be used for treating or diagnosing hemophilia. In June 2012, Shire selected a fifth gene target for the development of a ZFP therapeutic for Huntington’s disease, an inherited neurodegenerative disease for which there are currently no therapies available to slow the disease progression. Shire has the right, subject to certain limitations, to designate two additional gene targets. Pursuant to the Agreement, the Company granted Shire an exclusive, world-wide, royalty-bearing license, with the right to grant sublicenses, to use Sangamo’s ZFP technology for the purpose of developing and commercializing human therapeutic and diagnostic products for the gene targets. The initial research term of the Agreement is six years and is subject to extensions upon mutual agreement and under other specified circumstances.

Under the terms of the Agreement, the Company is responsible for all research activities through the submission of an Investigative New Drug Application (IND) or European Clinical Trial Application (CTA), while Shire is responsible for clinical development and commercialization of products generated from the research program from and after the acceptance of an IND or CTA for the product. Shire reimburses Sangamo for its internal and external research program-related costs.

The Company received an upfront license fee of $13.0 million. The Company will also be eligible to receive up to $213.5 million of contingent payments for each gene target if specified research, regulatory, clinical development, commercialization and sales milestone events occur, including payments for each gene target through the acceptance of an IND or CTA submission totaling $8.5 million. The Company will also be eligible to receive royalty payments that are a tiered double-digit percentage of net sales of licensed product sold by Shire or its sublicensees developed under the collaboration, if any. To date, no products have been approved and therefore no royalty fees have been earned under the Agreement with Shire.

All contingent payments under the Agreement, when earned, will be non-refundable and non-creditable. The Company has evaluated the contingent payments under the Agreement with Shire based on the authoritative guidance for research and development milestones and determined that certain of these payments meet the definition of a milestone and that all such milestones are evaluated to determine if they are considered substantive milestones. Milestones are considered substantive if they are related to events (i) that can be achieved based in whole or in part on either the Company’s performance or on the occurrence of a specific outcome resulting from the Company’s performance, (ii) for which there was substantive uncertainty at the date the agreement was entered into that the event would be achieved and (iii) that would result in additional payments being due to the Company. Accordingly, revenue for the achievement of milestones that are determined to be substantive will be recognized in its entirety in the period when the milestone is achieved and collectability is reasonably assured. Revenue for the achievement of milestones that are not substantive will be recognized over the remaining period of the Agreement.

The Company has identified the deliverables within the arrangement as a license to the technology and on-going research services activities. The Company has concluded that the license is not a separate unit of accounting as it does not have stand-alone value to Shire apart from the research services to be performed pursuant to the Agreement. As a result, the Company will recognize revenue from the upfront payment on a straight-line basis over a six-year initial research term during which the Company will perform research services. As of June 30, 2013, the Company has deferred revenue of $9.9 million related to this Agreement.

Revenues recognized under the agreement with Shire for the three and six months ended June 30, 2013 and June 30, 2012, were as follows (in thousands):


	Three months ended June 30,				Six months ended June 30,
	2013		2012		2013		2012
Revenue related to Shire Collaboration:
Amortization of upfront fee	$	542	$	542	$	1,083	$	903
Research services		4,157		1,517		7,372		2,072

Total	$	4,699	$	2,059	$	8,455	$	2,975

Related costs and expenses incurred under the Shire agreement were $3.7 million and $1.2 million during the three months ended June 30, 2013 and June 30, 2012, respectively and $6.8 million and $1.7 million during the six months ended June 30, 2013 and June 30, 2012, respectively.

Agreement with Sigma-Aldrich Corporation in Laboratory Research Reagents, Transgenic Animal and Commercial Protein Production Cell-line Engineering

In July 2007, Sangamo entered into a license agreement (the Agreement) with Sigma-Aldrich Corporation (Sigma). Under the Agreement, Sangamo agreed to provide Sigma with access to its proprietary ZFP technology and the exclusive right to use the technology to develop and commercialize research reagent products and services in the research field, excluding certain agricultural research uses that Sangamo previously licensed to Dow AgroSciences LLC (DAS), a wholly-owned subsidiary of Dow Chemical Corporation. Under the Agreement, Sangamo and Sigma agreed to conduct a three-year research program to develop laboratory research reagents using Sangamo’s ZFP technology during which time Sangamo agreed to assist Sigma in connection with its efforts to market and sell services employing the Company’s ZFP technology in the research field. Sangamo has transferred the ZFP manufacturing technology to Sigma.

In October 2009, Sangamo expanded its Agreement with Sigma. In addition to the original terms of the Agreement, Sigma received exclusive rights to develop and distribute ZFP-modified cell lines for commercial production of protein pharmaceuticals and certain ZFP-engineered transgenic animals for commercial applications. Under the terms of the Agreement, Sigma made upfront cash payment of $20.0 million consisting of a $4.9 million purchase of 636,133 shares of Sangamo common stock, valued at $4.9 million, and a $15.1 million upfront license fee. The upfront license fee was recognized on a straight-line basis from the effective date of the expanded license through July 2010, which represents the period over which Sangamo was obligated to perform research services for Sigma. Sangamo is also eligible to receive commercial license fees of $5.0 million based upon a percentage of net sales and sublicensing revenue and thereafter a reduced royalty rate of 10.5% of net sales and sublicensing revenue. In addition, upon the achievement of certain cumulative commercial milestones Sigma will make milestone payments to Sangamo up to an aggregate of $25.0 million. In April 2013, the Company recognized $1.3 million in sublicense revenues under the agreement with Sigma.

Revenues recognized under the agreement with Sigma for the three and six months ended June 30, 2013 and June 30, 2012, were as follows (in thousands):


	Three months ended June 30,				Six months ended June 30,
	2013		2012		2013		2012
Revenue related to Sigma Collaboration:
Royalty revenues	$	196	$	306	$	510	$	607
License fee and milestone revenues		1,250		1,000		1,250		1,000

Total	$	1,446	$	1,306	$	1,760	$	1,607

Related costs and expenses incurred under the Sigma agreement were $0.1 million during both the three months ended June 30, 2013 and 2012. Related costs and expenses incurred under the Sigma agreement were $0.1 million and $0.2 million during the six months ended June 30, 2013 and 2012, respectively.

Agreement with Dow AgroSciences in Plant Agriculture

In October 2005, Sangamo entered into an exclusive commercial license agreement (the Agreement) with DAS. Under the Agreement, Sangamo provides DAS with access to its proprietary ZFP technology and the exclusive right to use the technology to modify the genomes or alter the nucleic acid or protein expression of plant cells, plants, or plant cell cultures. Sangamo has retained rights to use plants or plant-derived products to deliver ZFP transcription factors (ZFP TFs) or ZFP nucleases (ZFNs) into humans or animals for diagnostic, therapeutic, or prophylactic purposes. The Agreement with DAS provided for an initial three-year research term. In June 2008, DAS exercised its option under the agreement to obtain a commercial license to sell products incorporating or derived from plant cells generated using the Company’s ZFP technology, including agricultural crops, industrial products and plant-derived biopharmaceuticals. The exercise of the option triggered a one-time commercial license fee of $6.0 million, payment of the remaining $2.3 million of the previously agreed $4.0 million in research milestones, development and commercialization milestone payments for each product, and royalties on sales of products. Furthermore, DAS has the right to sublicense Sangamo’s ZFP technology to third parties for use in plant cells, plants, or plant cell cultures. Sangamo will be entitled to 25% of any cash consideration received by DAS under such sublicenses. In December 2010, the Company amended the Agreement with DAS to extend the period of reagent manufacturing services and research services through December 31, 2012.

The Agreement also provides for minimum sublicense fees each year due to Sangamo every October, provided the Agreement is not terminated by DAS. Annual fees range from $250,000 to $3.0 million and total $25.3 million over 11 years. The Company does not have any performance obligations with respect to the sublicensing activities to be conducted by DAS. DAS has the right to terminate the Agreement at any time; accordingly, the Company’s actual sublicense fees over the term of the Agreement could be lower than $25.3 million. In addition, each party may terminate the Agreement upon an uncured material breach by the other party. In the event of any termination of the Agreement, all rights to use the Company’s ZFP technology will revert to Sangamo, and DAS will no longer be permitted access to Sangamo’s ZFP technology or to develop or, except in limited circumstances, commercialize any products derived from the Company’s ZFP technology.

Revenues under the agreement were $0.4 million during the three months ended June 30, 2012, and $0.9 million during the six months ended June 30, 2012. Related costs and expenses incurred under the agreement were $0.1 million during the three months ended June 30, 2012, and $0.3 million during the six months ended June 30, 2012. There were no such revenues or related expenses during the three and six months ended June 30, 2013.

Funding from Research Foundations

California Institute for Regenerative Medicine

In October 2009, the California Institute for Regenerative Medicine (CIRM), a State of California entity, granted a $14.5 million Disease Team Research Award to develop an AIDS-related lymphoma therapy based on the application of ZFN gene editing technology in stem cells. The four year grant supports an innovative research project conducted by a multidisciplinary team of investigators, including investigators from the University of Southern California, City of Hope National Medical Center and Sangamo BioSciences. Sangamo expects to receive funding up to $5.2 million from the total amount awarded based on expenses incurred for research and development efforts by Sangamo as prescribed in the agreement, and subject to its terms and conditions. The award is intended to substantially fund Sangamo’s research and development efforts related to the agreement. The State of California has the right to receive, subject to the terms and conditions of the agreement between Sangamo and CIRM, payments from Sangamo resulting from sales of a commercial product resulting from research and development efforts supported by the grant, not to exceed two times the amount Sangamo receives in funding under the agreement with CIRM.

Revenues attributable to research and development performed under the CIRM grant agreement were $0.3 million and $0.3 million during the three months ended June 30, 2013 and 2012, respectively and $0.7 million and $0.6 million during the six months ended June 30, 2013 and 2012, respectively. Related costs and expenses incurred under the CIRM agreement were $0.5 million and $0.3 million during the three months ended June 30, 2013 and 2012, respectively, and $0.9 million and $0.6 million during the six months ended June 30, 2013 and 2012, respectively.

CHDI Foundation, Inc.

In April 2011, Sangamo entered into an agreement with the CHDI Foundation, Inc. (CHDI) to develop a novel therapeutic for Huntington’s disease based on Sangamo’s proprietary ZFP technology. Under the agreement with CHDI, and subject to its terms and conditions, CHDI paid the Company $1.3 million, the total funds due under the agreement, over a period of one year which is intended to substantially fund the Company’s research efforts related to the agreement. During 2012, the agreement was amended to extend the project through August 2012 and to increase total potential funding from $1.3 million to $2.1 million, plus reimbursement for certain direct expenses related to the project. The research grant from CHDI was completed in August 2012.

Revenues attributable to research and development performed under the CHDI collaboration agreement were $0.4 million and $0.8 million during the three and six months ended June 30, 2012, respectively. Related costs and expenses incurred under the CHDI agreement were $0.4 million and $0.8 million during the three and six months ended June 30, 2012, respectively. There were no revenues or related expenses during the three and six months ended June 30, 2013.

The Juvenile Diabetes Research Foundation International

In October 2006, Sangamo entered into an agreement with the Juvenile Diabetes Research Foundation International (JDRF) to provide financial support for one of Sangamo’s Phase 2 human clinical studies of the Company’s product candidate SB-509, a ZFP Therapeutic that was in development for the treatment of diabetic neuropathy. In January 2010, JDRF and Sangamo amended the agreement and, subject to its terms and conditions, JDRF agreed to provide additional funding of up to $3.0 million for a Phase 2b trial in diabetic neuropathy.

In October 2011, the Company announced of the termination of its SB-509 program. In March 2012, the Company received a final payment of $0.8 million for work performed under the JDRF agreements. The Company does not expect to receive additional funding under these agreements.

Revenues attributable to research and development activities performed under the JDRF agreements were $0 for the three months ended June 30, 2012 and $0.8 million during the six months ended June 30, 2012. There were no such revenues during the three and six months ended June 30, 2013.

Basis of Presentation and Summary of Significant Accounting Policies (Policies)

6 Months Ended

Jun. 30, 2013

Basis of Presentation and Summary of Significant Accounting Policies [Abstract]

Basis of Presentation

Basis of Presentation

Use of Estimates and Classifications

Use of Estimates and Classifications

Revenue Recognition

Revenue Recognition

Multiple Element Arrangements after the adoption of ASU 2009-13. ASU 2009-13 amended the accounting standards for certain multiple element revenue arrangements to:

•

eliminate the use of the residual method and require an entity to allocate arrangement consideration using the relative selling price method.

Recent Accounting Pronouncement

Recent Accounting Pronouncement

- Definition

Disclosure of accounting policy for revenue recognition. If the entity has different policies for different types of revenue transactions, the policy for each material type of transaction is generally disclosed. If a sales transaction has multiple element arrangements (for example, delivery of multiple products, services or the rights to use assets) the disclosure may indicate the accounting policy for each unit of accounting as well as how units of accounting are determined and valued. The disclosure may encompass important judgment as to appropriateness of principles related to recognition of revenue. The disclosure also may indicate the entity's treatment of any unearned or deferred revenue that arises from the transaction.

+ References + Details

Investments and Fair Value Measurement (Tables)

6 Months Ended

Jun. 30, 2013

Investments and Fair Value Measurement [Abstract]

Schedule of investments

The table below summarizes the Company’s available-for-sale securities (in thousands):


	Amortized Cost		Gross Unrealized Gains		Gross Unrealized (Losses)			Estimated Fair Value
June 30, 2013
Cash equivalents:
Money market funds	$	8,184	$	—	$	—		$	8,184

Total		8,184		—		—			8,184

Available-for-sale securities:
U.S. government sponsored entity debt securities		54,074		—		(1	)		54,073

Total		54,074		—		(1	)		54,073

Total cash equivalents and available-for-sale securities	$	62,258	$	—	$	(1	)	$	62,257

December 31, 2012
Cash equivalents:
U.S. government sponsored entity debt securities	$	2,997	$	—	$	—		$	2,997
Money market funds		15,839		—		—			15,839

Total		18,836		—		—			18,836

Available-for-sale securities:
U.S. government sponsored entity debt securities		54,426		26		—			54,452

Total		54,426		26		—			54,452

Total cash equivalents and available-for-sale securities	$	73,262	$	26	$	—		$	73,288

Summary of fair value measurements of cash equivalents and available-for-sale securities

The fair value measurements of our cash equivalents and available-for-sale marketable securities are identified at the following levels within the fair value hierarchy (in thousands):


	June 30, 2013 Fair Value Measurements
	Total		Level 1		Level 2		Level 3
Assets:
Cash equivalents:
Money market funds	$	8,184	$	8,184	$	—	$	—

Total		8,184		8,184		—		—
Available-for-sale securities:
U.S. government sponsored entity debt securities		54,073		—		54,073		—

Total		54,073		—		54,073		—

Total cash equivalents and available-for-sale securities	$	62,257	$	8,184	$	54,073	$	—


	December 31, 2012 Fair Value Measurements
	Total		Level 1		Level 2		Level 3
Assets:
Cash equivalents:
U.S. government sponsored entity debt securities	$	2,997	$	—	$	2,997	$	—
Money market funds		15,839		15,839		—		—

Total		18,836		15,839		2,997		—
Available-for-sale securities:
U.S. government sponsored entity debt securities		54,452		—		54,452		—

Total		54,452		—		54,452		—

Total cash equivalents and available-for-sale securities	$	73,288	$	15,839	$	57,449	$	—

- Definition

Tabular disclosure of available-for-sale securities which includes, but is not limited to, changes in the cost basis and fair value, fair value and gross unrealized gain (loss), fair values by type of security, contractual maturity and classification, amortized cost basis, contracts to acquire securities to be accounted for as available-for-sale, debt maturities, transfers to trading, change in net unrealized holding gain (loss) net of tax, continuous unrealized loss position fair value, aggregate losses qualitative disclosures, other than temporary impairment (OTTI) losses or other disclosures related to available for sale securities.

+ References + Details

Major Customers, Partnerships and Strategic Alliances (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended		6 Months Ended
	Apr. 30, 2013	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Shire AG [Member]
Revenues related to Shire Collaboration:
Amortization of upfront fee		$ 542	$ 542	$ 1,083	$ 903
Research services		4,157	1,517	7,372	2,072
Total		4,699	2,059	8,455	2,975
Revenue related to Sigma Collaboration:
Royalty revenues				0
Sigma-Aldrich Corporation [Member]
Revenue related to Sigma Collaboration:
Royalty revenues		196	306	510	607
License fee and milestone revenues	$ 1,300	1,250	1,000	1,250	1,000
Total		$ 1,446	$ 1,306	$ 1,760	$ 1,607

Major Customers, Partnerships and Strategic Alliances (Details Textual)	1 Months Ended										3 Months Ended		6 Months Ended
	Apr. 30, 2013 USD ($)	Jun. 30, 2012 Targets	Mar. 31, 2012 USD ($)	Jan. 31, 2012 USD ($) Targets	Apr. 30, 2011 USD ($)	Jan. 31, 2010 USD ($)	Oct. 31, 2009 USD ($) shares	Jul. 31, 2007	Oct. 31, 2006	Oct. 31, 2005 USD ($)	Jun. 30, 2013 USD ($)	Jun. 30, 2012 USD ($)	Jun. 30, 2013 USD ($) Products	Jun. 30, 2012 USD ($)	Dec. 31, 2012 USD ($)
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Deferred revenue											$ 2,318,000		$ 2,318,000		$ 2,304,000
Receivables from sale against the grant funded to entity from sale of product													two times the amount Sangamo receives in funding under the agreement
Research grants											777,000	$ 762,000	$ 1,317,000	$ 2,341,000
California Institute for Regenerative Medicine [Member]
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Expected amount to be received for research and development							$ 5,200,000
Collaboration Agreement Related Costs and Expenses											500,000	300,000	900,000	600,000
Agreement date							2009-10
Funds due under the agreement							$ 14,500,000
Agreement to receive							4 years
CHDI Foundation, Inc. [Member]
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Collaboration Agreement Related Costs and Expenses											0	400,000	0	800,000
Agreement date					2011-04
Agreement to receive					1 year
Revenues under the agreement											0	400,000	$ 0	800,000
Funds due under agreement					$ 1,300,000
Funds due under agreement as per amendment															$ 2,100,000
Contractual agreement termination date													Aug. 31, 2012
Juvenile Diabetes Research Foundation International [Member]
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Agreement date									2006-10
Revenues under the agreement											0	0	$ 0	800,000
Grant funding amount maximum under amended agreement						$ 3,000,000
Received for work performed under agreement			$ 800,000
Shire AG [Member]
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Aggregate number of gene targets \| Targets				7
Number of initial gene targets \| Targets				4
Number of gene targets \| Targets		5
Number of additional gene targets \| Targets		2
Research program to develop laboratory research reagents													6 years
Upfront license fee				$ 13,000,000
Potential amount to be funded for certain Shire milestones													$ 213,500,000
IND or CTA submission amount													$ 8,500,000
Number of products approved \| Products													0
Royalty revenues													$ 0
Deferred revenue											9,900,000		9,900,000
Collaboration Agreement Related Costs and Expenses											3,700,000	1,200,000	6,800,000	1,700,000
Sigma-Aldrich Corporation [Member]
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Research program to develop laboratory research reagents								3 years
Upfront license fee							$ 20,000,000
Royalty revenues											196,000	306,000	510,000	607,000
Public offering, common stock shares issued \| shares							636,133
Common stock, valued							$ 4,900,000
Reduced royalty rate							10.50%
Funding available under the amended agreement							$ 25,000,000
Revenue attributable to research and development	$ 1,300,000										1,250,000	1,000,000	1,250,000	1,000,000
Dow AgroSciences [Member]
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Research program to develop laboratory research reagents										3 years
Royalty revenues										$ 2,300,000
Collaboration Agreement Related Costs and Expenses											0	100,000	0	300,000
One time license fee earned on exercise of option										$ 6,000,000
Percentage of royalties to be received from sublicensing										25.00%
Fee due										$ 25,300,000
Minimum sublicense annual fees specific reckoning period										11 years
Revenue attributable to research and development											0	400,000	0	900,000
License agreement terms [Member] \| California Institute for Regenerative Medicine [Member]
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Revenues under the agreement											300,000	300,000	700,000	600,000
License agreement terms [Member] \| Sigma-Aldrich Corporation [Member]
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Collaboration Agreement Related Costs and Expenses											$ 100,000	$ 100,000	$ 100,000	$ 200,000
Royalty revenues expected to be received							5,000,000
License agreement terms [Member] \| Dow AgroSciences [Member]
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Royalty revenues										$ 4,000,000
Upfront license fee [Member] \| Sigma-Aldrich Corporation [Member]
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Upfront license fee							$ 15,100,000
Maximum [Member] \| Dow AgroSciences [Member]
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Annual fees										3,000,000
Minimum [Member] \| Dow AgroSciences [Member]
Major Customers, Partnerships and Strategic Alliances (Textual) [Abstract]
Annual fees										$ 250,000

Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Consolidated Statements of Comprehensive Loss [Abstract]
Net loss	$ (5,450)	$ (5,728)	$ (12,335)	$ (12,996)
Changes in unrealized loss on available-for-sale securities	(26)	(4)	(27)	(19)
Comprehensive loss	$ (5,476)	$ (5,732)	$ (12,362)	$ (13,015)

Basic and Diluted Net Loss Per Share (Details Textual) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Basic and Diluted Net Loss Per Share (Textual) [Abstract]
Stock options outstanding excluded from calculation of diluted net loss per share	8,344,138	8,233,113	8,344,138	8,233,113

Stock-Based Compensation (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
Stock-Based Compensation (Details) - USD ($) $ in Thousands	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Costs and expenses:
Total stock-based compensation expense	$ 1,378	$ 1,224	$ 2,707	$ 2,607
Research and development [Member]
Costs and expenses:
Total stock-based compensation expense	723	646	1,408	1,421
General and administrative [Member]
Costs and expenses:
Total stock-based compensation expense	$ 655	$ 578	$ 1,299	$ 1,186

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2013	Dec. 31, 2012
Condensed Consolidated Balance Sheets [Abstract]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	80,000,000	80,000,000
Common stock, shares issued	53,974,452	53,058,525
Common stock, shares outstanding	53,974,452	53,058,525

Investments and Fair Value Measurement (Details) - USD ($) $ in Thousands	Jun. 30, 2013	Dec. 31, 2012
Schedule of investments
Amortized Cost	$ 62,258	$ 73,262
Gross Unrealized Gains		26
Gross Unrealized (Losses)	(1)
Estimated Fair Value	62,257	73,288
Cash equivalents [Member]
Schedule of investments
Amortized Cost	8,184	18,836
Gross Unrealized Gains
Gross Unrealized (Losses)
Estimated Fair Value	8,184	18,836
Cash equivalents [Member] \| Money market funds [Member]
Schedule of investments
Amortized Cost	8,184	15,839
Gross Unrealized Gains
Gross Unrealized (Losses)
Estimated Fair Value	8,184	15,839
Cash equivalents [Member] \| U.S. government sponsored entity debt securities [Member]
Schedule of investments
Amortized Cost		2,997
Gross Unrealized Gains
Gross Unrealized (Losses)
Estimated Fair Value		2,997
Available-for-sale securities [Member]
Schedule of investments
Amortized Cost	54,074	54,426
Gross Unrealized Gains		26
Gross Unrealized (Losses)	(1)
Estimated Fair Value	54,073	54,452
Available-for-sale securities [Member] \| U.S. government sponsored entity debt securities [Member]
Schedule of investments
Amortized Cost	54,074	54,426
Gross Unrealized Gains		26
Gross Unrealized (Losses)	(1)
Estimated Fair Value	$ 54,073	$ 54,452

Investments and Fair Value Measurement (Details 1) - USD ($) $ in Thousands	Jun. 30, 2013	Dec. 31, 2012
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities	$ 62,257	$ 73,288
Cash equivalents [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities	8,184	18,836
Available-for-sale securities [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities	54,073	54,452
Money market funds [Member] \| Cash equivalents [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities	8,184	15,839
U.S. government sponsored entity debt securities [Member] \| Cash equivalents [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities		2,997
U.S. government sponsored entity debt securities [Member] \| Available-for-sale securities [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities	54,073	54,452
Level 1 [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities	8,184	15,839
Level 1 [Member] \| Cash equivalents [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities	8,184	15,839
Level 1 [Member] \| Available-for-sale securities [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities
Level 1 [Member] \| Money market funds [Member] \| Cash equivalents [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities	8,184	15,839
Level 1 [Member] \| U.S. government sponsored entity debt securities [Member] \| Cash equivalents [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities
Level 1 [Member] \| U.S. government sponsored entity debt securities [Member] \| Available-for-sale securities [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities
Level 2 [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities	54,073	57,449
Level 2 [Member] \| Cash equivalents [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities		2,997
Level 2 [Member] \| Available-for-sale securities [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities	54,073	54,452
Level 2 [Member] \| Money market funds [Member] \| Cash equivalents [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities
Level 2 [Member] \| U.S. government sponsored entity debt securities [Member] \| Cash equivalents [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities		2,997
Level 2 [Member] \| U.S. government sponsored entity debt securities [Member] \| Available-for-sale securities [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities	54,073	54,452
Level 3 [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities
Level 3 [Member] \| Cash equivalents [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities
Level 3 [Member] \| Available-for-sale securities [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities
Level 3 [Member] \| Money market funds [Member] \| Cash equivalents [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities
Level 3 [Member] \| U.S. government sponsored entity debt securities [Member] \| Cash equivalents [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities
Level 3 [Member] \| U.S. government sponsored entity debt securities [Member] \| Available-for-sale securities [Member]
Summary of fair value measurements of cash equivalents and available-for-sale marketable securities
Total cash equivalents and available-for-sale securities