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Cangene CFO exits as company moves ahead with organizational changes

WINNIPEG – Biotechnology firm Cangene Corp. (TSX:CNJ) says its chief financial officer is leaving the company as it moves ahead with planned organizational changes.

The Winnipeg-based company said Wednesday that Michael Graham is exiting his role effective immediately as it begins to search for a replacement.

“This continues organizational changes we have made over the last six months, which include changes to our senior management team,” president and CEO John Sedor said in a release.

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“While changes of this nature are sometimes difficult, the end result is a more nimble organization that is quick to adapt to our refocused strategy.”

Cangene has been struggling to overcome the shrinking demand for drugs stockpiled to combat possible biological warfare or terrorism.

In January it laid off 120 staff members, or about 17 per cent of its workforce, a move it said would reduce future spending by US$6 million to $7 million on an annualized basis.

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Last month the company, which reports in U.S. dollars, reported second-quarter losses of US$3.9 million from a profit of just under US$2 million a year earlier.

The company said the loss resulted from lower biodefence contract revenue, increased research spending and reduced gross margins on biopharmaceutical product sales.

Cangene, which is focused on the development and commercialization of immune therapeutics, has about 580 employees at six locations across North America.

Shares of the company rose a penny to close at C$1.62 on the Toronto Stock Exchange.

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