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NeurogesX Reports First Quarter 2011 Results
Date:4/29/2011

rges related to the Company's third party logistics provider for warehousing, shipping activities, and royalty obligations due to intellectual property licensors.  

Research and development expenses for the first quarter 2011 were $4.0 million, compared to $2.1 million in the year ago period.  The year-over-year change included increases of $0.9 million associated with the NGX-1998 Phase 2 study and $0.3 million of non-clinical research and development for NGX-1998. In the most recent period the Company recorded a $0.3 million increase in costs related to the planned supplemental NDA for Qutenza in the HIV-AN patient population.  

Selling, General and Administrative (SG&A) expenses for the first quarter 2011 were $10.3 million, up from $8.8 million in the first quarter 2010.  In the first quarter of 2011, $1.8 million of the increase was due to a full quarter of salary and related expenses for the Company's sales organization, while in 2010 the sales organization staffing occurred late in the quarter,  and $0.9 million related to marketing events held in the first quarter of 2011.  These increases were partially offset by $1.2 million in lower marketing materials costs and $0.3 million in lower training costs, as the Company incurred significant pre-launch costs for Qutenza in the first quarter of 2010.

Net loss for the first quarter 2011 was $13.4 million, or $0.75 per share, compared to a net loss of $9.2 million, or $0.52 per share, for the first quarter 2010.  

Cash, cash equivalents and short-term investments were $34.7 million at March 31, 2011, compared to $46.8 million at December 31, 2010.

Stephen Ghiglieri, EVP, COO and CFO, commented, "In the last month, we reassessed our spending levels and narrowed our focus in a number of operational areas including  a refocusing of our sales organization on larger institutions and large private practices who can become QPRO sites.  The
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SOURCE NeurogesX, Inc.
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