Navigation Links
VaxGen Further Restructures to Preserve Cash as It Pursues Strategic Initiatives
Date:9/13/2007

SOUTH SAN FRANCISCO, Calif., Sept. 13 /PRNewswire-FirstCall/ -- VaxGen Inc. (Pink Sheets: VXGN) today announced further cost-cutting measures consistent with its continuing commitment to align its cost structure with its pursuit of strategic initiatives.

(Logo: http://www.newscom.com/cgi-bin/prnh/19991112/VAXGENLOGO)

VaxGen is reducing its workforce from 61 to 27 employees, which the company expects will lower its monthly cash expenditures used in operating activities to $1.4 million. The company will incur a restructuring charge of approximately $1.1 million in connection with this action. The terminations include executive officer Lance Ignon, Vice President of Corporate Affairs.

This is VaxGen's third restructuring since the U.S. Department of Health and Human Services (HHS) cancelled the company's contract to provide a modern anthrax vaccine for civilian biodefense in December 2006.

"Throughout this year we have retained only those resources that management felt could build value for our shareholders, either because they enhanced our ability to complete a strategic transaction or they were required to meet essential business objectives," said James P. Panek, VaxGen's President and CEO. "Based on our understanding of the nature and structure of such potential transactions, we are now able to take this further restructuring action. We remain optimistic about completing a strategic transaction and are in various stages of discussions with a variety of companies."

VaxGen has retained key resources necessary to support its pursuit of strategic transactions, including key scientific personnel for technical due diligence. The company has also retained people associated with the company's financial reporting obligations to the Securities and Exchange Commission. "These are not easy decisions, especially when you are talking about letting go of many talented and dedicated employees," Mr. Panek said. "In particular, Lance Ignon has tirelessly and competently fulfilled a variety of responsibilities during his more than seven years of service to VaxGen. Nonetheless, these staffing decisions are appropriate given the opportunities we are pursuing and the obligation we have to our shareholders."

About VaxGen

VaxGen is a biopharmaceutical company based in South San Francisco, California. For more information, please visit the company's web site at http://www.vaxgen.com.

Note: This press release contains "forward-looking statements" within the meaning of the federal securities laws. These forward-looking statements include without limitation, statements regarding the company's ability to reduce monthly cash expenditures used in operating activities and the possibility of selling or merging the company's remaining assets. These statements are subject to risks and uncertainties that could cause actual results and events to differ materially from those anticipated. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date of this release. VaxGen undertakes no obligation to update publicly any forward-looking statements to reflect new information, events, or circumstances after the date of this release except as required by law.


'/>"/>
SOURCE VaxGen, Inc.
Copyright©2007 PR Newswire.
All rights reserved

Related biology technology :

1. A Further Step in Understanding Apoptosis Direct Detection of PARP Cleavage
2. OpGen recruits CEO to further gene-mapping business
3. Better collaboration urged to further Wisconsin biotech
4. Johnson Controls jumping further into hybrid-vehicle battery world
5. Preserve Samples for RNA Expression Microarrays RNAlater Around the World
6. RNAlater Preserves Bacterial Gene Expression Profiles for Array Analysis
7. Genomic DNA Preparation from RNAlater Preserved Tissues
8. QBIs PreserveX product passes initial test
9. Technology and mergers: Getting the strategic applications
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:6/27/2016)... , June 27, 2016  Sequenom, Inc. (NASDAQ: ... enabling healthier lives through the development of innovative products ... the United States denied its ... the claims of Sequenom,s U.S. Patent No. 6,258,540 (",540 ... criteria established by the Supreme Court,s Mayo Collaborative Services ...
(Date:6/27/2016)... Diego, CA (PRWEB) , ... June 27, 2016 , ... ... solutions for clinical trials, announced today the Clinical Reach Virtual Patient Encounter ... their care circle with the physician and clinical trial team. , Using the CONSULT ...
(Date:6/27/2016)... ... June 27, 2016 , ... Rolf K. ... the faculty of the University of North Carolina Kenan-Flagler Business School ... entrepreneurship at UNC Kenan-Flagler, with a focus on the school’s international efforts, leading ...
(Date:6/27/2016)... 27, 2016   Ginkgo Bioworks , a leading ... was today awarded as one of the World ... world,s most innovative companies. Ginkgo Bioworks is engineering ... real world in the nutrition, health and consumer ... with customers including Fortune 500 companies to design ...
Breaking Biology Technology:
(Date:6/2/2016)...   The Weather Company , an IBM Business (NYSE: ... capability in which consumers will be able to interact with ... via voice or text and receive relevant information about the ... Marketers have long sought an advertising solution that can create ... relevant and valuable; and can scale across millions of interactions ...
(Date:5/16/2016)... May 16, 2016   EyeLock LLC , a ... the opening of an IoT Center of Excellence in ... expand the development of embedded iris biometric applications. ... of convenience and security with unmatched biometric accuracy, making ... aside from DNA. EyeLock,s platform uses video technology to ...
(Date:4/28/2016)... First quarter 2016:   , ... the first quarter of 2015 The gross margin was ... 18.8) and the operating margin was 40% (-13) Earnings ... flow from operations was SEK 249.9 M (21.2) , ... SEK 7,000-8,500 M. The operating margin for 2016 is ...
Breaking Biology News(10 mins):