This excerpt taken from the ABII 8-K filed Nov 8, 2007.
Deferred Financing Costs
Costs incurred in connection with the issuance and amendments to New Abraxis credit facilities are capitalized and amortized to interest expense using the straight-line methods over the term of the related facility. The straight line approach produces amounts materially consistent with the effective yield method. Unamortized debt issue costs may be written-off in conjunction with the refinancing or termination of the applicable debt arrangement prior to its scheduled maturity.