IPI-926 Advancing in Two Phase 2 Trials, Underscoring Pipeline Momentum
Cash Runway Into 2014 Enables Advancement of Product Candidates to Key Inflection Points
Company Changes Accounting Treatment for the $50 Million Line of Credit Available from PurdueCAMBRIDGE, Mass., March 15, 2011 (GLOBE NEWSWIRE) -- Infinity Pharmaceuticals, Inc. (Nasdaq:INFI) today highlighted its recent business and clinical progress, and announced its fourth quarter and full-year 2010 financial results. "Strong execution against our clinical and business goals in 2010 has positioned us beautifully to make significant progress in 2011," stated Adelene Q. Perkins, president and chief executive officer of Infinity. "We are focused on advancing and expanding our IPI-926 development program, moving IPI-145 into the clinic and completing transition activities to enable the start of Phase 2 studies of IPI-940. In addition, we will announce a path forward for our Hsp90 program later this year. With cash runway into 2014 based on our current operating plan, we have the financial resources to advance our pipeline to key value inflection points without the need for additional financing." Infinity also announced today that it has restated its financial results for the fiscal years ended 2008 and 2009 and interim periods of 2009 and 2010. Total revenue for 2009 has increased to $50.8 million, compared to $49.5 million previously reported. Total revenue for the first three quarters of 2010 has increased to $57.5 million, compared to $56.6 million previously reported. Total stockholders' equity as of December 31, 2009 is now $90.3 million, compared to $106.3 million previously reported. Total stockholders' equity as of September 30, 2010 is now $61.2 million, compared to $76.2 million previously reported. The restatement does not impact cash and investments or total cash flows from operations. The restatement relates to the company's accounting for the initial recognition of the loan commitment representing the availability to the company, on below-market terms, of the $50 million line of credit from Purdue Pharma L.P. Infinity originally recorded the offset to the loan commitment asset to additional paid-in capital. In Infinity's restated financial statements, the offset to this loan commitment asset was recorded as deferred revenue to be amortized to revenue over the 14 year period beginning November 2008, which is the company's estimated period of performance under the strategic alliance. Additional details of the restatement, which followed a routine review of the company's 2009 Form 10-K by the U.S. Securities and Exchange Commission (SEC), can be found in the company's Form 8-K filed with the SEC on March 15, 2011.