– Company cuts management pay and lowers
headcount to decrease operating costs –
– Reductions align with corporate goal to
reach cash flow break even by year-end 2023 –
SAN
DIEGO, March 21, 2023 /PRNewswire/ -- Evofem
Biosciences, Inc., (OTCQB: EVFM) (the "Company") today
announced it has implemented measures to lower its operating
expenses, with the goal of reaching cash flow break even by
year-end 2023. These measures include a 39% reduction of payroll
expenses through a combination of:
- Salary cuts for certain employees,
including a 40% reduction in Chief Executive Officer compensation
and a 20% reduction in pay for other continuing members of the
executive team vs. prior year levels;
- Consolidation of three sales territories;
- Elimination of eight office and management positions,
including the Chief Commercial Officer role, effective March 17, 2023.
"It was a difficult decision to restructure our already very
small workforce and ask remaining team members to work harder for
less pay. The team members who stay with the organization are
united behind our common goals and worthy mission, and have the
heart, head, and backbone to change women's health
forever. This decision is critical to our long-term success
and our ability to align resources to enable us to continue
providing Phexxi to women seeking hormone-free prescription
contraception," said Saundra
Pelletier, Evofem's Chief Executive Officer.
The Company expects this reduction in force to be substantially
completed in the first quarter of 2023.
About Evofem Biosciences, Inc.
Evofem
Biosciences, Inc., is developing and commercializing innovative
products to address unmet needs in women's sexual and reproductive
health. The Company's first FDA-approved
product, Phexxi® (lactic acid, citric acid and potassium
bitartrate), is a hormone-free, on-demand prescription
contraceptive vaginal gel. It comes in a box of 12 pre-filled
applicators and is applied 0-60 minutes before each act of
sex. Learn more
at phexxi.com and evofem.com.
Phexxi® is a registered trademark of Evofem Biosciences,
Inc.
Forward-Looking Statements
This press release includes
"forward-looking statements," within the meaning of the safe harbor
for forward-looking statements provided by Section 21E of the
Securities Exchange Act of 1934, as amended, and the Private
Securities Litigation Reform Act of 1995 including, without
limitation, statements related to the timing and impact of these
expense reduction measures. You are cautioned not to place undue
reliance on these forward-looking statements, which are current
only as of the date of this press release. Each of these
forward-looking statements involves risks and uncertainties.
Important factors that could cause actual results to differ
materially from those discussed or implied in the forward-looking
statements are disclosed in the Company's SEC filings, including
its Annual Report on Form 10-K for the year ended December 31,
2021, filed with the SEC on March 10, 2022, its Quarterly
Report on Form 10-Q for the quarter ended September 30,
2022 filed with the SEC on January 6, 2023 and any
subsequent filings. All forward-looking statements are expressly
qualified in their entirety by such factors. The Company does not
undertake any duty to update any forward-looking statement except
as required by law.
Investor Contact
Amy
Raskopf
Evofem Biosciences, Inc.
araskopf@evofem.com
(917) 673-5775
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SOURCE Evofem Biosciences, Inc.
