Inhibitex lays off 42% of workforce, expects to save $3.5 million annually

By Elaine Rigoli

Tampa, Fla., April 21 - Inhibitex, Inc. has reduced its workforce by 42%, slashing 35 positions less than a month after the company announced that a pivotal phase 3 clinical trial of Veronate for the prevention of hospital-associated infections in premature, low-birth-weight infants failed to meet its primary or secondary endpoints.

The reduction in staff, which became effective April 17, will reduce Inhibitex's workforce to 48 employees from 83 over the next several months, according to a company news release.

As a result, the company said it anticipates recording a charge of $1.2 million in the second quarter of 2006 related to the cost of one-time termination benefits and expects to reduce annual expenses associated with salaries and benefits by roughly $3.5 million.

Inhibitex is a biopharmaceutical company based in Alpharetta, Ga., that develops antibody-based products for the prevention and treatment of serious infections.

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