SECURITIES AND EXCHANGE
COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (date of earliest event
reported): February 22, 1995
MOLECULAR BIOSYSTEMS, INC.
(Exact name of registrant as specified in its
charter)
Delaware 0-12648 36-30878632
(State or other (Commission (IRS employer
jurisdiction of file number) identification
incorporation) number)
10030 Barnes Canyon Road,
San Diego, California 92121
(Address of principal executive
offices)
Registrant's telephone number, including
area code: (619) 452-0681
Item 5. Other Events.
On February 22, 1995, Molecular Biosystems, Inc.
(the "Company") announced that it intended to
focus future research and development activities
exclusively on the Company's contrast agents for
ultrasound imaging.
The Company's contrast agents for ultrasound
imaging include: ALBUNEX(R), the first
commercially-available contrast agent for
transpulmonary cardiac ultrasound imaging, which
the U.S. Food and Drug Administration (the "FDA")
approved for sale in August 1994; ORALEX(TM), a
contrast agent for ultrasound imaging of the
gastrointestinal tract and surrounding organs,
which is currently undergoing Phase I clinical
trials; and FS069, the Company's second-generation
cardiac contrast agent, which is intended to
permit ultrasound imaging of myocardial perfusion
and for which the Company is currently awaiting
approval from the FDA to begin Phase I clinical
trials.
In connection with this narrowing of the Company's
research and development focus, the Company
reduced the number of its employees by 48, from a
total of 197 employees to a total of 149
employees.
The Company anticipates that as a result of these
changes, the Company will reduce its expenses by
approximately $6 million annually.
A copy of the press release that the Company
issued on February 22, 1995, to announce these
changes is attached to this Report as Exhibit
10.1.
Signatures
Pursuant to the requirements of the Securities
Exchange Act of 1934, the registrant has duly
caused this report to be signed on its behalf by
the undersigned hereunto duly authorized.
Date: March 6, 1995
MOLECULAR BIOSYSTEMS, INC.
By:s/STEVEN LAWSON
_________________________
Steven Lawson
Vice President,
Legal Affairs and
General Counsel
Exhibit Index
Sequentially
Numbered
Exhibit Description Page
10.1 Press release 5
(February 22, 1995)
Exhibit 10.1
NEWS RELEASE
Molecular Biosystems Focuses on Core Business
Reduces Staff by 25 Percent
San Diego, California, February 22, 1995 --
Molecular Biosystems, Inc. (NYSE:MB)(MBI) today
announced that it is reducing staff and focusing
research and development activities exclusively on
ultrasound products.
The reduction, which affects 48 employees of MBI's
197 person workforce, and the elimination of MBI's
non-ultrasound development programs, will reduce
its annual expenditures by $6 million. MBI's
product pipeline includes ALBUNEX(R), the first
FDA-approved transpulmonary agent; ORALEX(TM), an
imaging agent for the gastrointestinal tract and
surrounding organs, currently in Phase I trials;
and FS069, MBI's second generation myocardial
perfusion agent, currently awaiting FDA approval
to begin Phase I clinical trials.
Ken Widder, Chairman and CEO said, "It is
unfortunate that we have to take these steps, but
in order to achieve a leadership position in
contrast imaging we must focus our resources on
products that will build on our early strategic
advantage established with ALBUNEX(R)." He added,
"the company intends to work hard to gain earnings
growth and become profitable for its
shareholders."
MBI will discontinue internal development of its
other innovative products, including agents
identified for applications using MRI, CT and the
STARBURST(R) dendrimer technology. The company
will retain intellectual property rights on all
these programs, and has instituted a full-scale
effort to develop collaborative or out-licensing
arrangements. The Company is also seeking
additional funding to accelerate its ultrasound
development programs and further reduce its burn
rate.
Molecular Biosystems, Inc., based in San Diego,
California, is a leader in the development of
contrast agents for medical imaging. In August of
1994, MBI received final approval from the U.S.
Food and Drug Administration to begin domestic
marketing of ALBUNEX(R), MBI's flagship ultrasound
contrast agent. ALBUNEX(R) is currently marketed
in Japan by Shionogi & Co., Ltd., and in the
United States by Mallinckodt Medical, Inc.
(Mallinckrodt Group Inc. NYSE:MKG). Hafslund
Nycomed AS (NYSE:HN) will market ALBUNEX(R) in
Europe. MBI shares are listed on the New York
Stock Exchange under the symbol "MB."
Contact:
Gerard A. Wills, Chief Financial Officer
Stephen Keane, Manager, Investor Relations
Molecular Biosystems, Inc. 619-452-7393, ext. 2212
