EXHIBIT 99.1
Contact: Steven Koehler Jill Sawdon
Chief Financial Officer Director of Corporate Communications
The Medicines Company The Medicines Company
(973) 656-1616 (ph) (617)225-9099 (ph)
(973) 656-9898 (fx) (617) 225-2397 (fx)
For Immediate Release
THE MEDICINES COMPANY REPORTS FIRST QUARTER 2002 FINANCIAL RESULTS,
NAMES NEW CHIEF FINANCIAL OFFICER
PARSIPPANY, NJ, April 23, 2002 - The Medicines Company (NASDAQ: MDCO) announced
today its results for the quarter ended March 31, 2002. The Company also
announced the appointment of Steven Koehler as Chief Financial Officer.
Financial highlights for the quarter included:
- Revenues of $7.7 million for the three months ended March 31, 2002,
compared to revenues of $1.9 million for the three months ended
March 31, 2001.
- Net loss attributable to common stockholders of $11.6 million for
the three months ended March 31, 2002, compared to a net loss
attributable to common stockholders of $19.1 million for the three
months ended March 31, 2001.
- Loss from operations of $12 million for the three months ended March
31, 2002, compared to $20.1 million for the three months ended March
31, 2001. The reduced loss was driven both by the increase in
revenue, and also by decreased expenses in the first quarter of 2002
compared to the first quarter of 2001, mainly in research and
development costs. The Company had a cost of revenue of $1.1 million
for the three months ended March 31, 2002 compared to a cost of
revenue of $332,400 for the three months ended March 31, 2001.
- As of March 31, 2002 the Company had cash, cash equivalents,
marketable securities and accrued interest receivable of $55.6
million. This figure includes $10 million drawn from a loan facility
completed during the quarter.
Recent business highlights included:
- An increase in first quarter revenues of 314% over the same period
in the prior year;
- A collaboration with Nycomed Danmark A/S, a leading European
pharmaceutical company, as the exclusive distributor of ANGIOMAX(R)
(bivalirudin) in 35 countries;
- An agreement with AstraZeneca PLC for the licensing, development and
commercialization of clevidipine, an intravenous, short-acting
calcium channel blocker to be developed in phase 3 by the Company
for the short-term control of high blood pressure in the hospital
setting;
- Assignment of an Ambulatory Payment Classification (APC) code by the
Centers for Medicare and Medicaid Services for ANGIOMAX use in
outpatient procedures; and
- An approvable letter from the U.S. FDA for a second-generation
process for the manufacture of ANGIOMAX bulk drug substance.
"Our operating and financial results in the first quarter of 2002 were once
again favorable," said Clive Meanwell, M.D., Ph.D., Executive Chairman of The
Medicines Company. "We brought in a new product, increased the value of the
ANGIOMAX brand and achieved a significant marketing alliance with Nycomed; our
expenses are in line with our plans and our revenue was consistent with our high
expectations for an innovative, growing new brand."
Dave Stack, President and CEO of The Medicines Company added, "While achieving
significant operational milestones, we were consistently able to keep sales as a
top priority. We have made progress in the marketplace based on the economic
benefit of replacing heparin with ANGIOMAX in the Cath Lab while our
interventional cardiology customers provide improved patient outcomes."
There will be a conference call with management today at 4:30 to discuss these
results. To listen in, please dial 800-472-8325 and request The Medicines
Company 2002 First Quarter conference call. If you are calling from outside of
the United States, please dial 1-706-679-0816. If you cannot attend the live
call, a digital replay will be available through April 25. Please call
800-642-1687 in the U.S. or 1-706-645-9291 internationally and enter passcode
3798534. Additionally, this call is being webcast by CCBN and can be accessed at
The Medicines Company's web site (www.themedicinescompany.com).
NEW CHIEF FINANCIAL OFFICER
The Company also announced today that Steven H. Koehler has been appointed Vice
President and Chief Financial Officer, to succeed Peyton J. Marshall, Ph.D. The
appointment of Mr. Koehler furthers the transition of significant portions of
the Company's operations to its headquarters in Parsippany, New Jersey. Mr.
Koehler joined the Company in March as Vice President of Finance and Business
Administration and has been working closely with Mr. Marshall to manage the
transition of financial operations to Parsippany.
Mr. Koehler brings more than 25 years of finance experience to The Medicines
Company. Most recently, he was Vice President, Finance and Chief Financial
Officer of Vion Pharmaceuticals Inc., a biopharmaceutical company in New Haven,
Connecticut. Prior to Vion, he was Vice President, Finance and Administration
for BASF's Knoll Pharmaceutical Company in the U.S. and served as CFO for the
global pharmaceutical business of BASF. Prior to his eight-year tenure with
BASF, Mr. Koehler held a series of senior financial positions with Baxter
International, from 1977-1993, and he began his career in public accounting in
Chicago. Mr. Koehler holds an MBA from the Kellogg School of Management and a BA
from Duke University, and is a Certified Public Accountant.
"Essentially a founding member of the company's management team, Peyton Marshall
has made huge contributions to building The Medicines Company, and we are
disappointed that personal considerations prevent him from relocating to New
Jersey," said Dr. Meanwell. "Peyton will continue to assist Steve in the
transition of our financial programs, and as he moves on to new opportunities,
we are confident he will achieve further great successes. We also look forward
to the contributions Steve Koehler can make to the organization."
The Medicines Company was founded in 1996 to acquire, develop and commercialize
selected pharmaceutical products in late stages of development and approved
products. ANGIOMAX is approved in the United States for use as an intravenous
anticoagulant in combination with aspirin in patients with unstable angina
undergoing coronary balloon angioplasty, and is expected to be the cornerstone
product of a planned acute-care hospital franchise. The Company is also
developing another intravenous agent, clevidipine, for the short-term control of
high blood pressure in the hospital setting.
This press release contains forward-looking statements that involve a number of
risks and uncertainties. For this purpose, any statements contained herein that
are not statements of historical fact may be deemed to be forward-looking
statements. Without limiting the foregoing, the words, "believes,"
"anticipates," "plans," "expects," "intends," and similar expressions are
intended to identify forward-looking statements. Important factors that could
cause actual results to differ materially from the expectations described in
these forward-looking statements are set forth under the caption "Certain
Factors that May Affect Future Results" in the Company's Annual Report on Form
10-K filed with the Securities and Exchange Commission on April 1, 2002 and
incorporated herein by reference. These risk factors include risks as to the
commercial success of ANGIOMAX (bivalirudin); how long the Company will be able
to operate on its existing capital resources; whether the Company's products
(other than ANGIOMAX for its approved indication) will advance in the clinical
trials process, the timing of such clinical trials, whether the clinical trial
results will warrant continued product development, whether and when, if at all,
the Company's products will receive approval from the U.S. Food and Drug
Administration or equivalent regulatory agencies, and for which indications,
and, if such products receive approval, whether they will be successfully
marketed; whether the Company will be able to develop or acquire additional
products; the Company's history of net losses; and the Company's dependence on
third parties, including manufacturers, suppliers, distributors and
collaborators. We do not assume any obligation to update any forward-looking
statements.
THE MEDICINES COMPANY
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
UNAUDITED
THREE MONTHS ENDED MARCH 31,
-----------------------------------
2002 2001
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Revenue $ 7,714,901 $ 1,861,288
Operating Expenses
Cost of revenue 1,085,489 332,400
Research and development 9,309,072 12,595,197
Selling, general and administrative 9,331,837 9,058,936
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Total operating expenses 19,726,398 21,986,533
Loss from operations (12,011,497) (20,125,245)
Interest income (expense), net 370,191 1,069,259
------------ ------------
Net loss $(11,641,306) $(19,055,986)
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Basic and diluted net loss
attributable to common stockholders
per common share $ (0.34) $ (0.63)
============ ============
Shares used in computing net loss
attributable to common stockholders
per common share:
Basic and diluted 34,627,723 30,247,599
============ ============
CONDENSED CONSOLIDATED BALANCE SHEETS MARCH 31, DECEMBER 31,
2002 2001
----------- -----------
(Unaudited)
ASSETS
Cash, cash equivalents, marketable securities $55,589,067 $54,009,376
Accrued interest receivable 14 6,757
Accounts receivable 6,656,431 5,346,684
Inventories 19,487,591 16,610,928
Fixed assets, net 1,098,576 1,223,528
Other assets 972,555 703,640
----------- -----------
Total Assets $83,804,234 $77,900,913
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LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities $30,565,372 $16,779,949
Deferred revenue 1,489,583 --
Stockholders' equity 51,749,279 61,120,964
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Total Liabilities and Stockholders' Equity $83,804,234 $77,900,913
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