Arena Pharmaceuticals, Inc. (ARNA) Cuts 25% Jobs; Confirms Resubmission Of NDA For Lorcaserin
1/28/2011
SAN DIEGO, Jan. 27, 2011 /PRNewswire/ -- Arena Pharmaceuticals, Inc. (Nasdaq:ARNA - News) announced today a reduction of its US workforce of approximately 25%, or 66 employees. As a result of the workforce reduction, which Arena plans to complete around March 28, 2011, the company expects to incur restructuring charges, primarily in the first quarter of 2011, of approximately $3.8 million in connection with one-time employee termination costs. Arena expects the reduction to decrease annualized cash expenditures by approximately $13.5 million. Arena will focus its resources on working to obtain regulatory approval of lorcaserin, seeking collaborators for the commercialization of lorcaserin outside of the US and advancing select earlier-stage research and development programs independently or in partnership.
"We deeply regret having to reduce our workforce, greatly appreciate the efforts of the employees affected by today's announcement and thank them for their significant contributions to Arena," said Jack Lief, Arena's President and Chief Executive Officer. "This workforce reduction strengthens our financial position by focusing our resources on the prioritized programs that we believe have the greatest potential to deliver value."
1/28/2011
SAN DIEGO, Jan. 27, 2011 /PRNewswire/ -- Arena Pharmaceuticals, Inc. (Nasdaq:ARNA - News) announced today a reduction of its US workforce of approximately 25%, or 66 employees. As a result of the workforce reduction, which Arena plans to complete around March 28, 2011, the company expects to incur restructuring charges, primarily in the first quarter of 2011, of approximately $3.8 million in connection with one-time employee termination costs. Arena expects the reduction to decrease annualized cash expenditures by approximately $13.5 million. Arena will focus its resources on working to obtain regulatory approval of lorcaserin, seeking collaborators for the commercialization of lorcaserin outside of the US and advancing select earlier-stage research and development programs independently or in partnership.
"We deeply regret having to reduce our workforce, greatly appreciate the efforts of the employees affected by today's announcement and thank them for their significant contributions to Arena," said Jack Lief, Arena's President and Chief Executive Officer. "This workforce reduction strengthens our financial position by focusing our resources on the prioritized programs that we believe have the greatest potential to deliver value."