I really don’t think it’s possible to go even one hour without hearing about some company canning its employees. Now we have Hollis-Eden just announcing they’re canning 20 of its own in a typical “restructuring.”

Let’s get straight to the meat and see what CEO Richard Hollis had to say:

“During the current economic downturn and financial crisis, access to capital, especially in the small cap biotechnology sector, has been sparse and company valuations have been deeply discounted. This environment necessitates dramatic changes in order to move clinical programs forward. Layoffs are extremely painful for any organization but the necessity of preserving cash in this challenging financial environment means that expenses must be reduced everywhere possible. Layoffs, frozen wages and suspension of bonuses are measures and sacrifices companies must make to preserve precious capital. Investment bankers, analysts and money managers indicate clearly that extending cash runways out to 24 months or longer, and advancing drug candidates to critical value-driving inflection points, is key to weathering this economic storm….To those employees affected by our workforce reduction we are greatly appreciative of the contributions they have made to Hollis-Eden, and we wish them well in the future. While taking these measures is never easy, today’s difficult economic climate and tough market conditions for our industry make such actions unavoidable and necessary.”

Jees, this one goes on and on huh? [Source]

Image from cherished79

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