Genelabs Technologies Inc plans to reduce its workforce by approximately 20%, or 20 employees. The company is not making any reductions to its drug development staff working on Genelabs investigational drug Prestara for systemic lupus erythematosus.
"Our team has made tremendous progress in the past year. In drug development, we received an approvable letter from the U.S. Food and Drug Administration, filed our Marketing Authorization Application in Europe, and initiated our confirmatory Phase III clinical trial, for which patient enrollment is continuing. In drug discovery research, we have advanced an antifungal lead compound to preclinical development based on predetermined criteria. This compound has demonstrated in vivo efficacy in animal models of disease against Aspergillus fumigatus equivalent to that of the most effective treatment currently on the market, Amphotericin B, with favorable pharmacokinetic properties and less acute toxicity," commented Irene A. Chow, chairman and chief executive officer.
"These recent accomplishments make it particularly difficult to make reductions in our workforce, which unfortunately are necessary in the current economic climate. We are committed to the development of Prestara for lupus and are on schedule to complete the clinical trial by the end of the year. We are concentrating our research on the antifungal and HCV drug discovery programs," he added.