Nektar Therapeutics formerly Inhale Therapeutic Systems Inc. enables the development of high-value pharmaceutical products based on its leading drug delivery technologies. Nektar\'s expanded technology and development expertise allows it to develop and offer to partners new product opportunities solve more development challenges and realize the full potential of their therapeutics from new molecular entities to life-cycle management products. Nektar Therapeutics has a market cap of $701.5 million; its shares were traded at around $7.58 with and P/S ratio of 7.8. Nektar Therapeutics had an annual average earning growth of 5.5% over the past 10 years.
Highlight of Business Operations:At June 30, 2009, we had approximately $294.3 million in cash, cash equivalents, and short-term investments and $241.2 million in indebtedness. We may from time to time purchase or retire convertible subordinated notes through cash purchase or exchanges for other securities of the Company in open market or privately negotiated transactions, depending on, among other factors, our levels of available cash and the price at which such convertible notes are available for purchase. We will evaluate such transactions, if any, in light of then-existing market conditions. These transactions, individually or in the aggregate, may be material to our business.
The decrease in Collaboration and other revenue for the three months and six months ended June 30, 2009 compared to the three months and six months ended June 30, 2008 is attributable to the termination of our TIP collaboration agreement and the assignment of the Cipro Inhale collaboration agreement that each accounted for approximately $6.9 million and $13.5 million of Collaboration and other revenue, respectively. We do not expect to recognize any revenue related to these two agreements in 2009.
The decrease in Research and development expense for the three months and six months ended June 30, 2009 compared to the three months and six months ended June 30, 2008, is primarily attributable to the completion of the sale of certain assets related to our pulmonary business, associated property, and intellectual property to Novartis on December 31, 2008 (referred to as the Novartis Pulmonary Asset Sale) and the workforce reduction executed in February 2008. As part of the Novartis Pulmonary Asset Sale, we transferred approximately 140 of our personnel dedicated to our pulmonary operations and our San Carlos research and manufacturing facility to Novartis. In addition, we ceased research activities on the TIP research and development program, the Cipro Inhale program and certain other proprietary pulmonary development programs. For the three months and six months ended June 30, 2009 compared to the three months and six months ended June 30, 2008, personnel costs decreased by approximately $4.5 million and $13.9 million, respectively, and facilities costs decreased by approximately $4.4 million and $8.2 million, respectively.
General and administrative expense is associated with administrative staffing, business development and marketing. For the three months and six months ended June 30, 2009 compared to the three months and six months ended June 30, 2008, personnel costs decreased by approximately $1.3 million and $2.4 million, respectively, due to headcount reductions, marketing costs decreased by approximately $0.6 million and $1.0 million, respectively, professional outside service costs decreased by approximately $0.7 million and $1.0 million, respectively, and patent fees decreased by $0.3 million and $0.5 million, respectively, due to the transfer of pulmonary specific intellectual property as part of the Novartis Pulmonary Asset Sale. Additionally, for the three months ended June 30, 2009 compared to the three months ended June 30, 2008, stock-based compensation expense decreased by $0.2 million.
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