Jazz Pharmaceutical Inc. announced a reduction of 71 employees (or 24 percent of its work force), to lower operating expenses. The company will continue development of JZP 6 and JZP 8.

Although market analysts are saying it is better to pull out now due to regulating agencies´ stance on weight-loss drugs, Denmark´s NeuroSearch A/S is still seeking a partner to help develop and market its obesity pill tesofensine.

ImClone System Inc’s Erbitux will receive a priority review by U.S. health regulators to expand its use with chemotherapy as a first-line treatment for patients with recurring head and neck tumors, reported the company.

Biotech Genentech Inc reported revised label and product information for its non-Hodgkin lymphomas (NHL) and rheumatoid arthritis treatment Rituxan when a patient with rheumatoid arthritis prescribed this medication died after contracting progressive multifocal leukoencephalopathy (PML), a rare brain disease.

Amylin Pharmaceuticals Inc. has again stated there is no proven relationship between its diabetes treatment Byetta, co- marketed with Eli Lilly & Co., and pancreatic side effects. U.S. health authorities reported in August at least six deaths from this illness in patients on Byetta. The company said their long-acting release Byetta LAR remains on track to be filed in 2009. Further details.

U.S. biotech Genentech reported it may spend some $ 371 million dollars for a bonus plan to retain employees concerned about Swiss Roche Holding´s acquisition bid to take over the company. Roche, which owns 56 percent of the company, offered $ 43.7 million dollars for the remaining 44 percent. Genentech rejected the offer on August 13th. Further details.

Now that Bristol-Myers Squibb (BMS) has offered to buy, for $ 4.5 billion dollars, the remaining 83 percent of ImClone Systems which it doesn´t own, ImClone considers its pipeline drug IMC-11F8 cannot be part of the deal, even though its New York partner is joint marketer of Erbitux, which it is supposed to succeed. And BMS has expressed its rights to IMC-11F8, therefore the companies could be at the start of a long battle.

Virax shares jumped to 9-week high after South African regulators said its key HIV candidate treatment, VIR201, can be studied in humans. The trial will be funded by leading mining companies BHP Billiton and Rio Tinto

The Food and Drug Administration (FDA) will not be giving a ruling on Amgen Inc´s experimental clotting disorder drug Nplate this week, as expected. An advisory panel had unanimously recommended approval in March.