Biopharma Firm Crushed by Merck Deal Cancellation (CRME, MRK)

Cardiome said it plans to adopt a more austere budget for 2012:

… Cardiome will reduce its annual operating cash burn going forward to a target of approximately $11M before interest expense, roughly half of the current cash burn. The company ended 2011 with over $53M of cash and cash equivalents and received an additional $25M from the available line of credit from Merck in January 2012. Cardiome expects to release its 2011 year-end financial results on March 28th, 2012 which will allow time to make the necessary changes to its annual filings following this news.

Cardiome’s shares are down more than -53% at $0.91 after posting a new 52-week low this morning of $0.86. The 52-week high is $5.86.