POTP cuts 60% of workforce to extend survival by a month or so... They have about 40 on the payroll. Not sure what the average salary is, but even in Cambridge, probably not likely to exceed $200K. Unless they are lucky in their contracts, they probably can't cut infrastructure overhead as fast. So this should give them until about Labor Day. Lots to do, work with FDA to restart trial, find some data to make outside investment worthwhile, and keep the survivors from focusing on being survivors [I work in Aerospace, this is tough].
With only 10 days from the trial halt, this is reasonably fast response.
graham
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phx.corporate-ir.net
Point Therapeutics Reduces Costs by Cutting Work Force
BOSTON, May 31, 2007 (BUSINESS WIRE) -- Point Therapeutics, Inc. (NASDAQ: POTP) today announced that to save costs it has reduced its workforce by approximately 60 percent. The Company estimates that the total charges for the workforce reduction will be approximately $130,000. This action follows the recent interim clinical results in which the Company's Independent Monitoring Committee recommended stopping the Company's two Phase 3 talabostat studies as a potential treatment for patients in advanced non-small cell lung cancer. As a result of the Company informing the U.S. Food and Drug Administration (FDA) of the interim results, the FDA has put the talabostat clinical program on hold.
The Company continues to assess its options given this recent data and will report on next steps once they have been decided. |
