As a result of this action, the Company estimates that it will generate annual savings of approximately $5.4 million beginning in 2009. During the fourth quarter of 2008, the Company will incur a one-time charge of approximately $1.8 million related to severance costs.
“This action, while difficult, was a necessary response to the slowing growth TomoTherapy is experiencing as a result of the challenging economic conditions,” said Fred Robertson, TomoTherapy’s CEO. “It is essential in the current environment to effectively manage costs while continuing to provide outstanding service and support to our global customer base. We also remain committed to extending the clinical advantages of our leading TomoTherapy® Hi·Art® system, which provides superior quality of care to cancer patients around the world.”
As of September 30, 2008, TomoTherapy had 721 employees.
About TomoTherapy Incorporated
TomoTherapy Incorporated has developed, markets and sells the TomoTherapy® Hi·Art® treatment system, an advanced radiation therapy system for the treatment of a wide variety of cancers. The Hi·Art treatment system combines integrated CT imaging with conformal radiation therapy to deliver sophisticated radiation treatments with speed and precision while reducing radiation exposure to surrounding healthy tissue. The company’s stock is traded on the NASDAQ Global Select Market under the symbol TOMO. To learn more about TomoTherapy, please visit TomoTherapy.com.
©2008 TomoTherapy Incorporated. All rights reserved. TomoTherapy, the TomoTherapy logo and Hi·Art are among trademarks, service marks or registered trademarks of TomoTherapy Incorporated.
Contact:
TomoTherapy Incorporated Investor Contact: Stephen C. Hathaway Chief Financial Officer 608.824.2800 shathaway@tomotherapy.com or Media Contact: Kevin O’Malley Manager, Corporate Communications 608.824.3384 komalley@tomotherapy.com
Source: TomoTherapy Incorporated
