Collagen Corp., C.W. Bard sales and marketing update

CGEN (Palo Alto) said it plans to ship little, if any, of its Contigen Bard Collagen Implant to partner C.W. Bard in fiscal 1996, beginning July 1, due to Bard's excess inventory. As a result, the company said it would eliminate 20 positions from its staff of 350 employees and take a charge in its fiscal year ended June 30.

CGEN said the lost revenue will be offset partially by an increase in the rate of revenues it receives based on Bard's end-market sales and by a $2 million milestone payment from Bard in the quarter ending Sept. 30. Bard, which paid a $1 million milestone in the same period last year, sold $35 million of the product in calendar 1994. ...