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WuXi PharmaTech Announces Preliminary Third Quarter 2008 Results and Updates 2008 Guidance
Date:10/14/2008

net income and earnings per ADS) for the third quarter 2008. In the interim, WuXi is evaluating and/or finalizing the following items, which impact net income and earnings per ADS: its goodwill balances from the AppTec acquisition for impairment and income tax provisions.

Revised Full Year 2008 Guidance

In light of the current economic environment and its impact on the anticipated research and development spending of its smaller customers, WuXi is revising its net revenue guidance for the full year 2008 to $260 to $265 million from $280 to $300 million. This represents year-over-year revenue growth ranging from 92% to 96%. Full year non-GAAP EBITDA will be in the range of $70 to $75 million (excluding share-based compensation charges, potential impact from goodwill impairment charges, and further mark-to-market adjustment on foreign currency forward contracts).

Termination of Rule 10b5-1 Trading Plans; Company Trading Window

At this time, each of our four founders (including Dr. Li) and other management members are terminating their existing 10b5-1 plans.

A number of our executive officers, other management team members and employees, including each of our four founders (who are also WuXi executive officers and directors), previously (i) established pre-arranged stock trading plans in accordance with the provisions of Rule10b5-1 of the Securities Exchange Act of 1934, and (ii) sold ADSs pursuant to those plans.

Although those 10b5-1 plans were terminated, we expect up to 350,000 ADSs may be sold by other management members and employees prior to year-end for 409A purposes. Prior to 2008, a number of our management members and employees who were U.S. taxpayers were granted options with an exercise price potentially below fair market value on the date of grant, as determined under Section 409A of the U.S. Tax Code. To avoid the adverse tax consequences imposed under Section 409A to these U.S. taxpayers, the options were amende
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SOURCE WuXi PharmaTech (Cayman) Inc.
Copyright©2008 PR Newswire.
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