Amedica Announces Workforce Reduction
October 05 2016 - 8:15AM
Marketwired
Amedica Announces Workforce Reduction
SALT LAKE CITY, UT-(Marketwired - Oct 5, 2016) - Amedica
Corporation (NASDAQ: AMDA), a technology company that manufactures
and commercializes silicon nitride ceramic for biomedical
applications, today announced that it has reduced its workforce by
approximately 38% to lower its operating expenses. The company will
continue to focus on its commercial sales strategy to add new
surgeons, territories, and distributors.
"We acknowledge the hard work of those affected by this
decision, towards bringing silicon nitride technology to patient
care," said Dr. Sonny Bal, Chairman and Chief Executive Officer of
Amedica. "Consistent with our previously-announced commitments,
this prudent course, albeit based on a difficult decision, will
conserve cash and further our business objectives."
The actions associated with the plan were implemented on October
3, 2016 and completed on October 4, 2016. The Company estimates the
staff reductions to result in savings of approximately $2.0 million
in cash operating expenses on an annualized basis, with estimated
one-time severance and related costs related to the restructuring
of approximately $465 thousand expected to be recorded in the 4th
quarter of 2016.
About Amedica Corporation
Amedica is focused on the development and application of
interbody implants manufactured with medical-grade silicon nitride
ceramic. Amedica markets spinal fusion products and is developing a
new generation of wear- and corrosion-resistant implant components
for hip and knee arthroplasty as well as dental applications. The
Company's products are manufactured in its ISO 13485 certified
manufacturing facility and through its partnership with Kyocera,
one of the world's largest ceramic manufacturers. Amedica's
FDA-cleared and CE-marked spine products are currently marketed in
the U.S. and select markets in Europe and South America through its
distributor network and its growing OEM and private label
partnerships.
For more information on Amedica or its silicon nitride material
platform, please visit www.amedica.com.
Forward-Looking Statements
This press release contains statements that constitute
forward-looking statements within the meaning of the Securities Act
of 1933 and the Securities Exchange Act of 1934, as amended by the
Private Securities Litigation Reform Act of 1995. Forward-looking
statements contained in this press release include the intent,
belief or current expectations of Amedica and members of its
management team with respect to Amedica's future business
operations as well as the assumptions upon which such statements
are based. Forward-looking statements include specifically, but are
not limited to, estimates that the impact from these strategic
actions will deliver annualized operating profit benefit, that
these changes will reduce total cash burn, increase financial
sustainability, and strengthen the balance sheet. Such statements
are subject to risks and uncertainties such as the timing and
success of new product introductions, physician acceptance,
endorsement, and use of Amedica's products, regulatory matters,
competitor activities, changes in and adoption of reimbursement
rates, potential product recalls, effects of global economic
conditions and changes in foreign currency exchange rates.
Additional factors that could cause actual results to differ
materially from those contemplated within this press release can
also be found in Amedica's Risk Factors disclosure in its Annual
Report on Form 10-K, filed with the Securities and Exchange
Commission (SEC) on March 23, 2016, and in Amedica's other filings
with the SEC. Amedica disclaims any obligation to update any
forward-looking statements.
Contact Information
Contacts: Kevin Ontiveros 801-839-3502 IR@amedica.com
AMEDICA CORP (NASDAQ:AMDA)
Historical Stock Chart
From Apr 2024 to May 2024
AMEDICA CORP (NASDAQ:AMDA)
Historical Stock Chart
From May 2023 to May 2024