Monday, December 1, 2008

Pressure BioSciences makes cuts, shutters Md. facility

By Mass High Tech Staff

In refocusing its efforts, Pressure BioSciences Inc. has announced restructuring steps, effective as of Nov. 26, including a 40 percent reduction in workforce, closing of a research facility in Rockville, Md., and widespread cost reductions, the company reported.

The restructuring “will enable us to have cash into June,” CEO Richard Schumacher said.

The 40 percent of workforce is equivalent to eight employees, with about half of the employees from Massachusetts. Some employees are being retained on a consulting basis, according to a PressureBioSciences spokesperson.

Pressure BioSciences (Nasdaq: PBIO) expects the restructuring to lower its cash expenditures from “just under $1 million per quarter to an average of just under $600,000 per quarter during 2009.”

The newly tailored Pressure BioSciences will focus on Pressure Cycling Technology (PCT) for the mass spectrometry market, as well as the biological sample preparation market. Other company projects not related to Pressure BioScience’s new strategy will be terminated, the company reported in a press release.

In September, Pressure BioSciences reported a quarterly net loss of $1.1 million on quarterly revenue of $270,000.