Amylin Pharmaceuticals Announces Strategic Restructuring and Workforce Reduction
Changes will result in over $80 million reduction in 2009 cash expenditures
Amylin Pharmaceuticals, Inc. announced a corporate restructuring that will reduce its San Diego workforce by approximately 25 percent, or 340 employees, and reduce anticipated 2009 cash expenditures by more than $80 million. The restructuring and workforce reduction are part of the Company's business plan to be cash flow positive by the end of 2010. The Company remains fully staffed to grow product revenue from BYETTA(R) (exenatide) injection and SYMLIN(R) (pramlintide acetate) injection and bring exenatide once weekly to market. Amylin's collaboration with Eli Lilly and Company on the global development and commercialization of exenatide is unaffected by the restructuring.
"We've made a difficult, but necessary, decision as a result of factors affecting our business," said Daniel M. Bradbury, president and chief executive officer at Amylin Pharmaceuticals, Inc. "Sales revenues have not met the expectations we had when we scaled up our organization. Today's actions will bring operating expenses more in line with revenue and enable us to continue to achieve our business goals of increasing sales of BYETTA and SYMLIN and bringing exenatide once weekly to market as quickly as possible."
The Company's Ohio facility, where exenatide once weekly is manufactured, is unaffected by the restructuring. After the workforce reduction, Amylin's employee base will be 1,800 worldwide, with approximately 900 employees in San Diego.
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