Xcorporeal Cuts 73 Percent of Staff

LOS ANGELES—Medical device company Xcorporeal made a move to reduce its annual expenses by cutting 73 percent of its staff because of “general economic conditions and a deterioration of its liquidity position.”

Xcorporeal said it streamlined its operations through a series of initiatives designed to reduce annual expenses by approximately $3.5 million to a current operating burn rate of approximately $200,000 per month.

The decrease in operating expenses will primarily come from the reduction in personnel. On March 13, the company terminated 19 employees, or 73 percent of its staff.

Xcorporeal is a medical device company developing an extra-corporeal platform technology to be used in devices to replace the function of various human organs. The platform leads to three initial products: a Portable Artificial Kidney (PAK) for hospital based Renal Replacement Therapy, the XCR-6 for home hemodialysis, and a Wearable Artificial Kidney (WAK) for continuous ambulatory hemodialysis.

Xcorporeal said it also intends to take additional actions to minimize or defer operating expenses. In addition, the company also announced that it is currently exploring various strategic alternatives, which may include the license of certain of the company's intellectual property rights as a means to further develop its technologies, among other possible transactions.