Molecular Insight Pharmaceuticals Announces Personnel Reduction to Align Operations With Development Activities
CAMBRIDGE, MA, Jan 07, 2010 (MARKETWIRE via COMTEX) -- Molecular Insight Pharmaceuticals, Inc. (NASDAQ: MIPI), a biopharmaceutical company discovering and developing targeted therapeutic and imaging radiopharmaceuticals for use in oncology, today announced a strategic decision, which includes the elimination of nine positions in alignment with its plan to support the development of its oncology product candidates and to reduce operating costs. Molecular Insight, which now has 61 employees, has five clinical-stage products, two of which are expected to begin Phase 3 confirmatory trials in 2010.
A one-time charge of approximately $200,000 is anticipated to be taken in the first quarter of 2010. After this one-time charge, Molecular Insight expects to achieve approximately $1 million in annualized savings in its operating expenses as a result of the reduction announced today.
"The decision to re-align and rebalance personnel was a difficult but an important step in supporting the efficient development of our oncology product pipeline," said Daniel L. Peters, President and Chief Executive Officer. "We are deeply grateful to our employees for all of their contributions and dedication in bringing our five product development programs to where they are today. Looking to the near future, our lead therapeutic Azedra(TM) is progressing through a pivotal Phase 2 clinical trial for pheochromocytoma, and a second Phase 2 study in pediatric neuroblastoma is anticipated to begin in 2010."
About Molecular Insight Pharmaceuticals, Inc.
Molecular Insight Pharmaceuticals is a clinical-stage biopharmaceutical company and pioneer in molecular medicine. The Company is focused on the discovery and development of targeted therapeutic and imaging radiopharmaceuticals for use in oncology. Molecular Insight has five clinical-stage candidates in development. For further information on Molecular Insight Pharmaceuticals, please visit http://www.molecularinsight.com.
Statements in this press release that are not strictly historical in nature constitute "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about our strategic plan, expected costs and benefits associated with and the financial and operational impact of the work force reduction, the expected savings from such work force reduction, projected product development, and anticipated clinical trials of Azedra(TM) and other clinical-stage products. In some cases, forward- looking statements are identified by words such as "anticipate," "expect," "will," "plan" and similar expressions. Such forward-looking statements reflect Molecular Insight's current plans, beliefs, estimates and views and involve known and unknown risks, uncertainties, and other factors that may cause the actual results of Molecular Insight to be materially different from historical results or from any results expressed or implied by such forward-looking statements. These factors include, but are not limited to, risks and uncertainties related to inability to achieve anticipated savings and to manage expenses; implementation of our strategic plan; the progress, timing, cost, and results of clinical trials and product development programs; difficulties or delays in obtaining regulatory approval for product candidates; competition from other pharmaceutical or biotechnology companies; and the additional risks discussed in filings with the Securities and Exchange Commission (SEC). The Company's SEC filings are available through the SEC's Electronic Data Gathering Analysis and Retrieval system (EDGAR) at http://www.sec.gov. Press releases for Molecular Insight Pharmaceuticals, Inc. are available on our website: http://www.molecularinsight.com. If you would like to receive press releases via e-mail, please contact: email@example.com. All forward-looking statements are qualified in their entirety by this cautionary statement, and Molecular Insight undertakes no obligation to revise or update this release to reflect events or circumstances after the date hereof.
Chief Financial Officer
Martin A. Reynolds
SOURCE: Molecular Insight Pharmaceuticals, Inc.
Posted: January 2010