Summary by Futu AI
On September 24, 2024, bluebird bio, Inc. announced a restructuring plan approved by its board of directors the previous day, following a comprehensive review of the company's operations. The plan aims to reduce cash operating expenses by approximately 20% by the third quarter of 2025. This includes a workforce reduction of about 25%. The company anticipates incurring charges of around $3.7 million in severance and related costs, and an additional $0.3 million to $0.5 million in stock-based compensation expenses. These charges are expected to be recorded primarily in the third quarter of 2024, with the restructuring to be substantially complete by the first quarter of 2025. The company also issued a press release on the same day and will host a conference call to discuss the restructuring. The press release includes forward-looking statements regarding the anticipated outcomes of the restructuring, such as achieving quarterly cash flow break-even in the second half of 2025 and the company's commercial focus on FDA-approved therapies.
