With its planned merger involving Raven Biotechnologies on the rocks, a struggling VaxGen is cutting down to a skeletal staff, laying off 70 percent of its remaining 22 employees. Among the departing staffers is CFO Matthew Pfeffer. In a statement the developer said that its immediate future "is quite straightforward: reduce staffing and expenses to reflect the realities of not merging with Raven, continue our efforts to sell the Anthrax vaccine program and manufacturing facility and deal as best we can with our lease obligations, and importantly, reconfigure our board to deal with the future course of the company."
VaxGen has been grappling with the loss of a crucial $877 million contractÂ to supply the U.S. government with an anthrax vaccine. The developer has been steadily paring back staff in the wake of that disaster.
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