Vertex expects losses in 2008, 2009

Cambridge biotechnology company Vertex Pharmaceuticals Inc. said today that it expects losses in 2008 and 2009 on a mix of restructuring charges and development program costs.

The company, which does not yet have a product on the market, said it will post a loss of $460 million in 2008 and between $475 million and $510 million in 2009. Analysts polled by Thomson Reuters expect a loss of about $256.4 million in 2008 and $131.7 million in 2009.

"We believe Vertex is prepared to advance its business in 2009, however we realize that a challenging year lies ahead for our industry and for the global financial markets," executive vice president and chief financial officer Ian Smith said in a statement. "At Vertex, we recognize these changing market dynamics and will seek to make disciplined investment decisions to protect our current balance sheet strength and support key business objectives throughout the year."

The company's guidance comes as it prepares a presentation at J.P. Morgan's annual health care conference in San Francisco. Vertex is scheduled to report 2008 financial results and provide full 2009 guidance on Feb. 11.

Vertex's development programs include telaprevir as a hepatitis C treatment and VX-770 as a cystic fibrosis drug.

As of Dec. 31, the company had about $830 million in cash, cash equivalents and marketable securities. (AP)