UNITED STATES
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): January 7, 2010
The Medicines Company
(Exact Name of Registrant as Specified in Charter)
|
|
|
|
|
Delaware
|
|
000-31191
|
|
04-3324394 |
|
(State or Other Jurisdiction
of Incorporation)
|
|
(Commission
File Number)
|
|
(IRS Employer
Identification No.) |
|
|
|
8 Sylvan Way
Parsippany, New Jersey
|
|
07054 |
|
(Address of Principal Executive Offices)
|
|
(Zip Code) |
Registrants telephone number, including area code: (973) 290-6000
Not applicable.
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy
the filing obligation of the registrant under any of the following provisions (see General
Instruction A.2. below):
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17
CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17
CFR 240.13e-4(c))
|
|
|
Item 2.05. |
|
Costs Associated with Exit or Disposal Activities. |
On January 7, 2010, The Medicines Company (the Company) commenced implementation of a workforce
reduction in centralized office-based functions including analytics, development and administration
to improve efficiencies and better align the Companys costs and structure for the future. The
reductions do not affect the Companys customer-facing functions. As a result of the workforce
reduction, the Company reduced its office-based personnel by 31 employees, roughly 10% of
centralized jobs. Affected employees will be eligible to receive reduction payments, earned 2009
bonuses, fully paid health care coverage for six months and outplacement services. The Company
expects to complete the workforce reduction by the end of first
quarter.
The Company expects to record, in the aggregate, one-time charges of approximately $4.0 million
associated with the workforce reduction. Such charges will be recognized in the first quarter of 2010
and include approximately $3.0 million related to employee severance arrangements and
approximately $1.0 million related to the closure and consolidation of our Indianapolis site.
Substantially all of
this charge is expected to represent cash expenditures. The Company expects to realize estimated annualized cost savings from the workforce reduction in the range
of $6.5 to $7.5 million starting in the first quarter of 2010.
Forward Looking Statements
This current report includes forward-looking statements within the meaning of Section 21E of the
Securities Exchange Act of 1934, as amended. For this purpose, any statements contained herein
regarding the Companys strategy, future operations, prospects, plans and objectives of management,
other than statements of historical facts, are forward-looking statements. The words anticipates,
believes, estimates, expects, intends, may, plans, projects, will, would and
similar expressions are intended to identify forward-looking statements, although not all
forward-looking statements contain these identifying words. The Company cannot guarantee that it
actually will achieve the results, plans, intentions or expectations expressed or implied in the
Companys forward-looking statements. There are a number of important factors that could cause
actual results, levels of activity, performance or events to differ materially from those expressed
or implied in the forward-looking statements the Company makes. These important factors include the
factors set forth in the Companys Quarterly Report on Form 10-Q filed on November 9, 2009, which
are incorporated herein by reference. The Company specifically disclaims any obligation to update
these forward looking statements.