Replidyne Provides Strategic Update( - Initiatives include restructur...),Health

- Initiatives include restructuring and pipeline prioritization -

LOUISVILLE, Colo., Dec. 10 /PRNewswire-FirstCall/ -- Replidyne, Inc. (Nasdaq: RDYN) today announced an operational restructuring to align critical resources with strategic priorities. These priorities include identifying a partner for Replidyne's late-stage antibiotic, faropenem medoxomil (faropenem), advancing and expanding its infectious disease pipeline, and exploring additional corporate development opportunities.

The key elements of the Company's operating strategy going forward are as follows:

-- Corporate restructuring. To better align the organization with its

strategic and operations priorities, Replidyne has reduced headcount by

approximately 35 percent, primarily in the administrative, clinical,

regulatory, and commercial functions.

-- Pipeline programs. Replidyne will retain key research and development

expertise to progress its most promising preclinical programs,

including REP3123, its investigational antibacterial for the treatment

of C. difficile-associated disease (CDAD), and its DNA replication

inhibition program. As a result of prioritizing these preclinical

programs, Replidyne has suspended the development of topical antibiotic

REP8839 due to the additional investment required to optimize the

formulation and the niche market opportunity.

-- Development strategy for faropenem. Replidyne will continue its ongoing

placebo-controlled Phase III trial for faropenem in acute exacerbation

of chronic bronchitis (AECB). This clinical trial is approaching

50 percent enrollment and results are expected in 200
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