You can now read 5 articles in a month for free on BostonGlobe.com. Read as much as you want anywhere and anytime for just 99¢.

Red Sox Live

6

9

▼  8th Inning 0 outs

Ariad Pharmaceuticals unveils plan to conserve cash

A chemist at Ariad Pharmaceuticals in Cambridge in 2012.

Globe File/2012

A chemist at Ariad Pharmaceuticals in Cambridge in 2012.

Troubled biotech Ariad Pharmaceuticals Inc., posting a wider third-quarter loss, Tuesday unveiled a plan to conserve cash and narrow its strategic focus after halting sales of its leukemia drug because of toxic side effects.

The plan, including the previously disclosed shedding of 160 jobs, about 40 percent of its workforce, seeks to reduce Ariad’s spending on operations this year to between $240 million and $245 million, compared with the $245 million to $255 million range earlier projected.

Continue reading below

“We have refocused and reprioritized our investments around near-term, shareholder-value creating activities,” Ariad chief executive Harvey J. Berger said in a prepared statement. “Taken together, we have extended our cash runway to mid-2015.”

Berger is scheduled to discuss the financial report and Ariad’s plans for going forward in an 8:30 a.m. conference call with securities analysts Tuesday.

Under the company’s new plan, a top priority is restarting the US sales and commercial distribution of Iclusig, its recently approved drug to treat chronic myeloid leukemia. Ariad was forced to stop marketing the medicine in the United States late last month after the Food and Drug Administration warned of blood-clotting, strokes, and heart problems suffered by patients taking the drug in a clinical trial.

Continue reading it below

The company is working with FDA regulators to revise the lclusig label, likely limiting the patient population eligible to take the drug to the most severely ill, and to come up with a strategy to reduce its risks.

Ariad plans to move forward with commercialization of Iclusig in 15 countries in Europe, where it remains on the market. It also plans to proceed with clinical development of the drug to treat some other types of leukemia, gastrointestinal stromal tumors, and other cancers.

For the three months ending Sept. 30, the company’s loss widened to $66.3 million from $53.2 million in the same period last year.

Loading comments...
Subscriber Log In

You have reached the limit of 5 free articles in a month

Stay informed with unlimited access to Boston’s trusted news source.

  • High-quality journalism from the region’s largest newsroom
  • Convenient access across all of your devices
  • Today’s Headlines daily newsletter
  • Subscriber-only access to exclusive offers, events, contests, eBooks, and more
  • Less than 25¢ a week
Marketing image of BostonGlobe.com
Marketing image of BostonGlobe.com
Already a subscriber?
Your city. Your stories. Your Globe.
Yours FREE for two weeks.
Enjoy free unlimited access to Globe.com for the next two weeks.
Limited time only - No credit card required!
BostonGlobe.com complimentary digital access has been provided to you, without a subscription, for free starting today and ending in 14 days. After the free trial period, your free BostonGlobe.com digital access will stop immediately unless you sign up for BostonGlobe.com digital subscription. Current print and digital subscribers are not eligible for the free trial.
Thanks & Welcome to Globe.com
You now have unlimited access for the next two weeks.
BostonGlobe.com complimentary digital access has been provided to you, without a subscription, for free starting today and ending in 14 days. After the free trial period, your free BostonGlobe.com digital access will stop immediately unless you sign up for BostonGlobe.com digital subscription. Current print and digital subscribers are not eligible for the free trial.