8-KEarnings & Results

BIOGEN INC. 8-K Report, Financial Results (Mar 17, 2005)

Filed March 17, 2005For Securities:BIIB

Summary

Biogen Idec Inc. (BIIB) filed this Form 8-K on March 17, 2005, to provide an update on the financial impact of the voluntary suspension of TYSABRI® (natalizumab), a multiple sclerosis treatment, announced on February 28, 2005. The company is assessing the impact of this suspension and related matters on its 2004 financial statements, including potential asset impairment. While the assessment is ongoing, Biogen Idec expects that its audited financial statements for the fiscal year ended December 31, 2004, will reflect adjustments that decrease the previously reported Income Before Income Taxes by no more than $15 million. This would result in a 2004 Income Before Income Taxes of not less than $78 million. The company has filed a Form 12b-25 to extend the deadline for its 10-K filing by 15 days to complete this assessment.

Key Highlights

  • 1Biogen Idec is providing an update on the financial impact of the TYSABRI® suspension.
  • 2The suspension of TYSABRI®, announced on February 28, 2005, is a subsequent event impacting the 2004 financial statements.
  • 3The company is reviewing certain assets for possible impairment as of December 31, 2004.
  • 4Adjustments to the full year 2004 results are expected due to the TYSABRI® suspension.
  • 5The principal effect of adjustments is expected to decrease 2004 Income Before Income Taxes by no more than $15 million.
  • 6The company anticipates 2004 Income Before Income Taxes to be not less than $78 million.
  • 7Biogen Idec has filed a Form 12b-25 to extend its 10-K filing deadline by 15 days.

Frequently Asked Questions

This 8-K filing is primarily to inform investors about the ongoing assessment of the financial impact of the voluntary suspension of TYSABRI® (natalizumab) on Biogen Idec's 2004 financial results.

Biogen Idec expects the adjustments related to the TYSABRI® suspension to decrease its 2004 Income Before Income Taxes by a maximum of $15 million. This means the reported Income Before Income Taxes for 2004 is expected to be at least $78 million.

The company has extended its 10-K filing deadline by 15 days using a Form 12b-25 to allow sufficient time to complete its assessment of the impact of the TYSABRI® suspension and related matters on its 2004 financial statements, including potential asset impairments.

No, as of the date of this filing (March 17, 2005), the company's assessment of the impact of the TYSABRI® suspension on its 2004 financial statements has not been completed.