Molecular Insight Pharmaceuticals, Inc. - FORM 8-K - EX-99.1 - MONTHLY OPERATING REPORT

Attached files

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8-K - FORM 8-K - Molecular Insight Pharmaceuticals, Inc.	d8k.htm

Exhibit 99.1

UNITED STATES BANKRUPTCY COURT

DISTRICT OF MASSACHUSETTS


Molecular Insight Pharmaceuticals, Inc.	Case No.	10-23355 (FJB)
	Reporting Period	2/1/2011 - 2/28/2011

MONTHLY OPERATING REPORT


REQUIRED DOCUMENTS	Form No.	Document Attached	Explanation Attached
Monthly Reporting Questionnaire	MOR-1	Yes
Schedule of Cash Receipts and Disbursements	MOR-2	Yes
Copies of Debtor’s Bank Reconciliations		Yes
Copies of Debtor’s Bank Statements		Yes
Copies of Cash Disbursements Journals		Yes
Statement of Operations	MOR-3	Yes
Balance Sheet	MOR-4	Yes
Schedule of Post-Petition Liabilities	MOR-5	Yes
Copies of IRS Form 6123 or payment receipt		No	** Yes
Copies of tax returns filed during reporting period		N/A
Detailed listing of aged accounts payables		Yes
Accounts Receivable Reconciliation and Aging	MOR-6	Yes

I declare under penalty of perjury (28 U.S.C. section 1746) that this report and all attachments are true and correct to the best of my knowledge and belief.

**ADP submits our payroll tax payments.

We do not receive a Form 6123.


/s/ MARK A. ATTARIAN				3/14/2011
Signature of Authorized Individual *				Date

MARK A. ATTARIAN				Interim Chief Financial Officer & EVP
Printed Name of Authorized Individual				Title of Authorized Individual

*	Authorized individual must be an officer, director or shareholder if the debtor is a corporation; a partner if debtor is a partnership; a manager or member if debtor is a limited liability company.

The Monthly Operating Report (“MOR”) is unaudited and reflects the Debtor’s best efforts to report the assets and liabilities of the Debtor on an unconsolidated basis. The MOR neither purports to represent financial statements prepared in accordance with with Generally Accepted Accounting Principles (“GAAP”), nor is the MOR intended to fully reconcile to any such financial statements. The MOR does not constitute an admission of liability of the Debtor with respect to any item referenced.

The Debtor records general accruals for certain categories of liabilities that are estimates of anticipated aggregate liability that are not tied to particular invoices or vendors. Certain deferred charges, accounts or reserves indicated as “accrued” or “deferred” that relate to clinical trials, other contractual liabilities of the Debtor, and for GAAP reporting purposes are recorded on MOR-4. These deferred expenses do not represent any actual liability incurred, due or payable, are not claims against the Debtor as of the Petition Date or for the current reporting period, and may not result in any administrative expense liability.

COVER PAGE


Molecular Insight Pharmaceuticals, Inc.	Case No.	10-23355 (FJB)
Debtor	Reporting Period	2/1/2011 - 2/28/2011

MONTHLY REPORTING QUESTIONNAIRE


Must be completed each month	Yes	No

1. Have any assets been sold or transferred outside the normal course of business this reporting period? If yes, provide an explanation below.		X

2. Have any funds been disbursed from any account other than a debtor-in-possession account this reporting period? If yes, provide an explanation below.		X

3. Have any payments been made on pre-petition debt, other than payments in the normal course to secured creditors or lessors? If yes, attach listing including date of payment, amount of payment, and name of payee.		X

4. Have any payments been made to professionals? If yes, attach listing including date of payment, amount of payment, and name of payee.	X

5. If the answer to question 3 and/or 4 is yes, were all such payments approved by the Court?	X

6. Have any payments been made to officers, insiders, shareholders, or relatives? If yes, attach listing including date of payment, amount and reason for payment, and name of payee.	X

7. Have all post-petition tax returns been timely filed? If no, provide an explanation below.	N/A

8. Is the estate current on the payment of post-petition taxes?	X

9. Is the estate insured for the replacement cost of assets and for general liability? If no, provide an explanation below.	X

10. Is workers’ compensation insurance in effect?	X

11. Have all current insurance payments been made?	X

12. Are a plan and disclosure statement on file?	X

13. Was there any post-petition borrowing during this reporting period?		X

MOR-1


Molecular Insight Pharmaceuticals, Inc.		Reporting Period
Case No: 10-23355		2/1/2011 - 2/28/2011
Payments of Pre-Petition Debts


Payee	Check #	Check Date	Amount

MOR-1 Question 4
Tatum	EFT	2/2/2011	$	42,638.50
Riemer & Braunstein	EFT	2/11/2011	$	83,093.47
CRT (M.M. Dillon)	EFT	2/11/2011	$	113,370.27
Kramer & Levin	EFT	2/15/2011	$	196,082.78
Foley & Lardner	EFT	2/16/2011	$	50,992.27
CRT	EFT	2/25/2011	$	118,028.95

MOR-1 Question 6
Harry Stylli	EFT	2/18/2011	$	56,932.22	compensation for CRO services & BOD fees
Daniel Frank	24090	2/18/2011	$	3,313.34	BOD fees
David Stack	24112	2/18/2011	$	3,313.34	BOD fees
Equity Resources (Lionel Sterling)	24086	2/18/2011	$	3,550.00	BOD fees
Scott Gottlieb	24092	2/18/2011	$	3,313.34	BOD fees
Joseph Limber	24100	2/18/2011	$	4,496.66	BOD fees


Molecular Insight Pharmaceuticals, Inc.	Case No.	10-23355 (FJB)
Debtor	Reporting Period	2/1/2011 - 2/28/2011

SCHEDULE OF RECEIPTS AND DISBURSEMENTS (Unrestricted Cash)


	Citibank Operating			Citibank Money Market		Smith Barney Money Market		Bank of New York		TOTAL

CASH - BEGINNING OF MONTH		12,909,564			0		0		0		12,909,564


RECEIPTS
CASH SALES											0
ACCOUNTS RECEIVABLE		355,326									355,326
LOANS AND ADVANCES											0
SALE OF ASSETS											0
OTHER (ATTACH LIST)											0
Refund of credit balances from vendors											0
COBRA payments		12,328									12,328
TRANSFERS (FROM DIP ACCOUNTS)											0

TOTAL RECEIPTS		367,654			0		0		0		367,654


DISBURSEMENTS
NET PAYROLL		246,172									246,172
PAYROLL TAXES		126,556									126,556
SALES, USE & OTHER TAXES											0
INVENTORY PURCHASES											0
MANUFACTURING COSTS		316,756									316,756
CLINICAL COSTS		439,580									439,580
SECURED/RENTAL/LEASES		148,925									148,925
INSURANCE		187,654									187,654
GENERAL & ADMINISTRATIVE		543,269									543,269
SELLING											0
OTHER (ATTACH LIST)											0
TRANSFERS (TO DIP ACCOUNTS)											0
PROFESSIONAL FEES		604,206									604,206
U.S. TRUSTEE QUARTERLY FEES		0									0
COURT COSTS											0

TOTAL DISBURSEMENTS		2,613,118			0		0		0		2,613,118


INTRACOMPANY BANK TRANSFERS		0			0		0		0		0


NET CASH FLOW		(2,245,464	)		0		0		0		(2,245,464	)


CASH - END OF MONTH	$	10,664,100		$	0	$	0	$	0	$	10,664,100


DISBURSEMENTS FOR CALCULATING U.S. TRUSTEE QUARTERLY FEES
TOTAL DISBURSEMENTS											2,613,118
LESS: TRANSFERS TO DEBTOR IN POSSESSION ACCOUNTS
PLUS: ESTATE DISBURSEMENTS MADE BY OUTSIDE SOURCES
TOTAL DISBURSEMENTS FOR CALCULATING U.S. TRUSTEE QUARTERLY FEES											2,613,118

MOR-2


Molecular Insight Pharmaceuticals, Inc.	Case No.	10-23355 (FJB)
Debtor	Reporting Period	2/1/2011 - 2/28/2011

STATEMENT OF OPERATIONS

(Income Statement)


	Month			Cumulative Filing to Date

Grant Revenue	$	95,727		$	399,355

Operating Expenses
Payroll		367,815			1,092,730
Payroll Taxes		33,655			84,072
Employee Benefits Programs		36,775			136,725
Insider Compensation		53,815			124,578
Temporary Labor		15,137			48,466
Out Svcs - Accounting Fees		0			109,706
Out Svcs - IT		1,272			3,815
Out Svcs - ADP Fees		1,737			3,945
Out Svcs - Other		35,000			206,377
Investor Relations		1,265			11,735
Lab Materials - Off Supplies		40,426			104,020
Sponsored Research		0			9,000
Legal - Corporate		165,504			385,194
Legal - Patent		(31,988	)		134,697
Consultants		246,545			662,727
SAB-BOD Costs		47,033			111,766
License-Milestone Costs		0			4,808
Manufacturing Costs - Development & Clinical		317,513			480,411
Dues & Subscriptions		19,666			26,772
Travel & Entertainment		19,027			30,535
Business Ins. - D&O		42,072			304,799
Business Ins - Commercial Pkg.		5,716			17,148
Business Ins - Clin Trial Ins		2,763			11,050
Postage & Courier		2,875			3,489
Bank Fees		2,116			4,232
Waste Disposal & Reg Fees		6,104			16,261
Rent & Related Expenses		106,764			245,519
Utilities - Electric & Com		27,242			56,884
Maint. & Repairs - Facility		2,152			3,690
Maintenance & Support - IT		48,976			84,806
Accretion Expense for Asset Retirement Obligation		1,656			4,942
Equipment Rentals		3,002			7,973
Stock Based Compensation		74,685			320,096
Clinical Trial Expense		401,126			958,510

Operating Expenses before Depreciation		2,097,446			5,811,477

Depreciation		46,698			152,617

Net Loss before Other Income & Expense		(2,048,416	)		(5,564,740	)

Other Income and Expense
Other Income (attach schedule)
Interest Income		0			2,062
Other Expense (attach schedule)

Net Loss Before Reorganization Items		(2,048,416	)		(5,562,678	)

Reorganization Items
Restructuring Costs & Professional Fees		1,671,298			2,922,158
U.S. Trustee Quarterly Fee		0			4,875
Interest Earned on Accumulated Cash from Chapter 11
Gain (Loss) from Sale of Equipment
Other Reorganization Expenses

Total Reorganization Expenses		1,671,298			2,927,033

Income Taxes

Net Loss	($	3,719,714	)	($	8,489,711	)

MOR-3


Molecular Insight Pharmaceuticals, Inc.	Case No.	10-23355 (FJB)
Debtor	Reporting Period	12/10/2010 - 12/31/2010

STATEMENT OF OPERATIONS - DECEMBER 31, 2010 RECONCILIATION

(Income Statement)


	Month (as per the 12/31/2010 MOR)			REVISED w/ Year End Adjustments			Changes

Grant Revenue	$	144,560		$	265,135		$	120,575

Operating Expenses
Payroll		336,298			336,298			0
Payroll Taxes		(1,916	)		(1,916	)		0
Employee Benefits Programs		55,144			55,144			0
Insider Compensation		21,000			21,000			0
Temporary Labor		24,629			24,629			0
Out Svcs - Accounting Fees		50,417			50,417			0
Out Svcs - IT		1,272			1,272			0
Out Svcs - ADP Fees		1,066			1,066			0
Out Svcs - Other		30,037			150,702			120,665
Investor Relations		9,427			9,427			0
Lab Materials - Off Supplies		5,287			14,642			9,355
Sponsored Research		9,000			9,000			0
Legal - Corporate		7,097			106,177			99,080
Legal - Patent		42,968			42,968			0
Consultants		138,377			157,127			18,750
SAB-BOD Costs		17,700			17,700			0
License-Milestone Costs		4,808			4,808			0
Manufacturing Costs - Development & Clinical		9,227			(42,316	)		(51,543	)
Dues & Subscriptions		3,101			3,101			0
Travel & Entertainment		3,250			3,250			0
Business Ins. - D&O		131,364			131,364			0
Business Ins - Commercial Pkg.		5,716			5,716			0
Business Ins - Clin Trial Ins		5,525			5,525			0
Postage & Courier		550			550			0
Waste Disposal & Reg Fees		1,254			1,254			0
Rent & Related Expenses		33,611			33,611			0
Utilities - Electric & Com		13,236			13,236			0
Maint. & Repairs - Facility		426			426			0
Maintenance & Support - IT		24,307			24,307			0
Accretion Expense for Asset Retirement Obligation		1,630			1,630			0
Equipment Rentals		2,303			2,303			0
Stock Based Compensation		91,549			91,549			0
Clinical Trial Expense		319,659			349,666			30,007

Operating Expenses before Depreciation		1,399,318			1,625,631			226,314

Depreciation		53,173			53,173			0

Net Loss before Other Income & Expense		(1,307,930	)		(1,413,669	)		(105,739	)

Other Income and Expense
Other Income (attach schedule)								0
Interest Income		421			2,062			1,641
Othe Expense (attach schedule)								0

Net Loss Before Reorganization Items		(1,307,510	)		(1,411,607	)		(104,097	)

Reorganization Items
Restructuring Costs & Professional Fees		18,126			710,283			692,157
U.S. Trustee Quarterly Fee		4,875			4,875			0
Interest Earned on Accumulated Cash from Chapter 11								0
Gain (Loss) from Sale of Equipment								0
Other Reorganization Expenses								0

Total Reorganization Expenses		23,001			715,158			692,157

Income Taxes

Net Loss	($	1,330,511	)	($	2,126,765	)	($	796,254	)

MOR-3 ADDENDUM


Molecular Insight Pharmaceuticals, Inc.	Case No.	10-23355 (FJB)
Debtor	Reporting Period	2/1/2011 - 2/28/2011

BALANCE SHEET


	BOOK VALUE AT END OF CURRENT REPORTING MONTH			BOOK VALUE ON PETITION DATE
ASSETS	BOOK VALUE AT END OF CURRENT REPORTING MONTH			BOOK VALUE ON PETITION DATE
CURRENT ASSETS
Unrestricted Cash and Cash Equivalents	$	10,664,100		$	14,925,779
Restricted Cash and Cash Equivalents		522,636			520,995
Accounts Receivable (Net)		248,285			204,255
Notes Receivable
Inventories
Prepaid Expenses		1,327,547			1,708,993
Professional Retainers		1,940,850			1,990,119
Employee Advances		21,550			21,550
Deposits		1,084,177			1,071,082

TOTAL CURRENT ASSETS		15,809,145			20,442,773

PROPERTY & EQUIPMENT
Lab & Equipment		3,452,319			3,425,980
Furniture & Fixtures		328,467			328,467
Leasehold Improvements		838,407			838,407
Construction-In-Process		3,492,016			3,518,355
Less Accumulated Depreciation		(3,928,354	)		(3,775,735	)

TOTAL PROPERTY & EQUIPMENT		4,182,855			4,335,474

OTHER ASSETS
Financing Costs		3,146,014			3,146,014

TOTAL OTHER ASSETS		3,146,014			3,146,014


TOTAL ASSETS	$	23,138,014		$	27,924,261


LIABILITIES AND OWNER EQUITY	BOOK VALUE AT END OF CURRENT REPORTING MONTH			BOOK VALUE ON PETITION DATE
LIABILITIES AND OWNER EQUITY	BOOK VALUE AT END OF CURRENT REPORTING MONTH			BOOK VALUE ON PETITION DATE
LIABILITIES NOT SUBJECT TO COMPROMISE (Post-Petition)
Accounts Payable		821,761			1,492,338
Accrued Expenses		4,120,669			1,729,379
Accrued Clinical Expense		2,441,220			2,198,736
Vacation Payable		171,230			314,884
Employee FSA Medical		1,583			1,582
Employee FSA Dependent Care		3,738			2,070
Accrued Purchases		13,404			12,376
Accrued Audit Fees		605,848			487,270
Deferred Revenue		25,000			25,000
Refundable Credits		354,400			354,400
Asset Retirement Obligation		317,057			312,115
Rent/Leases - Building/Equipment
Professional Fees
Amounts Due to Insiders		21,000

TOTAL POST-PETITION LIABILITIES		8,896,910			6,930,150

LIABILITIES SUBJECT TO COMPROMISE (Pre-Petition)
Accounts Payable - Pre-Petition		1,416,608			0
Bonds Payable		150,000,000			150,000,000
Accrued Severance		162,500			162,500
PIK Interest & Bonds		51,794,104			51,794,104
Bond Discount & Derivative		(7,976,199	)		(7,976,199	)

TOTAL PRE-PETITION LIABILITIES		195,397,013			193,980,405


TOTAL LIABILITIES
OWNERS’ EQUITY
Common Stock		252,683			252,683
Additional Paid in Capital		184,167,553			183,847,458
Accumulated Deficit - Pre-Petition		(357,086,435	)		(357,086,435	)
Accumulated Deficit - Post-Petition		(8,489,710	)

NET OWNERS’ EQUITY		(181,155,909	)		(172,986,294	)


TOTAL LIABILITIES AND OWNERS’ EQUITY	$	23,138,014		$	27,924,261

MOR-4


Molecular Insight Pharmaceuticals, Inc.	Case No.	10-23355 (FJB)
Debtor	Reporting Period	12/10/2010 - 12/31/2010

PETITION DATE BALANCE SHEET RECONCILIATION


				REVISED - January MOR			REVISED - February MOR
ASSETS	BOOK VALUE ON PETITION DATE			BOOK VALUE ON PETITION DATE			BOOK VALUE ON PETITION DATE
ASSETS	BOOK VALUE ON PETITION DATE			BOOK VALUE ON PETITION DATE			BOOK VALUE ON PETITION DATE
CURRENT ASSETS
Unrestricted Cash and Cash Equivalents	$	14,921,313		$	14,925,779		$	14,925,779
Restricted Cash and Cash Equivalents		520,995			520,995			520,995
Accounts Receivable (Net)		204,255			204,255			204,255
Notes Receivable
Inventories
Prepaid Expenses		1,720,015			1,708,993			1,708,993
Professional Retainers		1,990,119			1,990,119			1,990,119
Employee Advances		21,550			21,550			21,550
Deposits		1,071,082			1,071,082			1,071,082

TOTAL CURRENT ASSETS		20,449,329			20,442,773			20,442,773

PROPERTY & EQUIPMENT
Lab & Equipment		3,425,980			3,425,980			3,425,980
Furniture & Fixtures		328,467			328,467			328,467
Leasehold Improvements		838,407			838,407			838,407
Construction-In-Process		3,518,355			3,518,355			3,518,355
Less Accumulated Depreciation		(3,775,735	)		(3,775,735	)		(3,775,735	)

TOTAL PROPERTY & EQUIPMENT		4,335,474			4,335,474			4,335,474

OTHER ASSETS
Financing Costs		3,146,014			3,146,014			3,146,014

TOTAL OTHER ASSETS		3,146,014			3,146,014			3,146,014


TOTAL ASSETS	$	27,930,817		$	27,924,261		$	27,924,261


LIABILITIES AND OWNER EQUITY	BOOK VALUE ON PETITION DATE			BOOK VALUE ON PETITION DATE			BOOK VALUE ON PETITION DATE
LIABILITIES AND OWNER EQUITY	BOOK VALUE ON PETITION DATE			BOOK VALUE ON PETITION DATE			BOOK VALUE ON PETITION DATE
LIABILITIES NOT SUBJECT TO COMPROMISE (Post-Petition)
Accounts Payable		834,101			1,033,336			1,492,338
Accrued Expenses		1,729,379			1,729,379			1,729,379
Accrued Clinical Expense		2,198,736			2,198,736			2,198,736
Vacation Payable		314,884			314,884			314,884
Employee FSA Medical		1,582			1,582			1,582
Employee FSA Dependent Care		2,070			2,070			2,070
Accrued Purchases		12,376			12,376			12,376
Accrued Audit Fees		487,270			487,270			487,270
Deferred Revenue		25,000			25,000			25,000
Refundable Credits		354,400			354,400			354,400
Asset Retirement Obligation		312,115			312,115			312,115
Rent/Leases - Building/Equipment
Professional Fees
Amounts Due to Insiders

TOTAL POST-PETITION LIABILITIES		6,271,913			6,471,148			6,930,150

LIABILITIES SUBJECT TO COMPROMISE (Pre-Petition)
Accounts Payable - Pre-Petition		0			0			0
Bonds Payable		150,000,000			150,000,000			150,000,000
Accrued Severance		162,500			162,500			162,500
PIK Interest & Bonds		51,794,104			51,794,104			51,794,104
Bond Discount & Derivative		(7,976,199	)		(7,976,199	)		(7,976,199	)

TOTAL PRE-PETITION LIABILITIES		193,980,405			193,980,405			193,980,405


TOTAL LIABILITIES
OWNERS’ EQUITY
Common Stock		252,683			252,683			252,683
Additional Paid in Capital		183,847,458			183,847,457			183,847,458
Accumulated Deficit - Pre-Petition		(356,421,642	)		(356,627,432	)		(357,086,435	)
Accumulated Deficit - Post-Petition

NET OWNERS’ EQUITY		(172,321,501	)		(172,527,292	)		(172,986,294	)


TOTAL LIABILITIES AND OWNERS’ EQUITY	$	27,930,817		$	27,924,261		$	27,924,261

MOR-4 ADDENDUM


Molecular Insight Pharmaceuticals, Inc.	Case No.	10-23355 (FJB)
Debtor	Reporting Period	2/1/2011 - 2/28/2011


	Beginning Balance		Amount Withheld or Accrued		Amount Paid		Date Paid		Check No. or EFT		Ending Tax Liability
Post-Petition Taxes

FEDERAL
Income Tax Witholding		—		55,959.85		55,959.85		Various		EFT		—
FICA- Employee		—		19,040.00		19,040.00		Various		EFT		—
FICA- Employer		—		25,779.83		25,779.83		Various		EFT		—
Unemployment		—		75.99		75.99		Various		EFT		—
Income		—		—		—						—
Other- Cobra Premium Assistance		—		—		—		Various		EFT		—

Total Federal Taxes		—		100,855.67		100,855.67						—
STATE and LOCAL
Income Tax Witholding		—		14,894.40		14,894.40		Various		EFT		—
Sales		—										—
Excise		—										—
Real Property		—										—
Personal Property		—										—
Other- State Unemployment/Cobra Asst		—		7,898.94		7,898.94		Various		EFT		—

Total State and Local Taxes		—		22,793.34		22,793.34						—
Withholding for Employee Healthcare		—		8,112.28		8,112.28		2/25/2011		Ck 24141		—
Premiums, Pensions & Other Benefits		18,878.16		75,823.61		80,319.30		Various		EFT		14,382.47

Total Taxes				207,584.90		212,080.59						14,382.47

SUMMARY OF UNPAID POST-PETITION DEBTS		Current		0-30		31-60		61-90		Over 90		Total

Accounts Payable		804,137		17,624								821,761
Wages Payable		179,550										179,550
Taxes Payable		14,382										14,382
Rent/ Lease Payable- Building		—										—
Rent/ Lease Payable- Equipment		—										—
Secured Debt/ Adequate Protection Payments		—										—
Professional Fees		—										—
Amounts Due Insiders		21,000										21,000
Accrued Clinical Expenses		2,441,220										2,441,220
Accrued Expenses		4,116,692										4,116,692
Other (Deferred Revenue)		25,000										25,000
Other (Refundable Credits)		354,400										354,400
Other (Asset Retirement Obligation)		317,057										317,057
Other (Accrued Audit Fees and Purchases)		605,848										605,848

Total Post-petition Debts		8,879,286		17,624		—		—		—		8,896,910

MOR -5


Molecular Insight Pharmaceuticals, Inc.	Case No.	10-23355 (FJB)
Debtor	Reporting Period	2/1/2011 - 2/28/2011

ACCOUNTS RECEIVABLE RECONCILIATION AND AGING


ACCOUNTS RECEIVABLE RECONCILIATION	AMOUNT

Total Accounts Receivable at the beginning of the period	$	543,699
+ Amounts Billed during the period	$	95,727
- Amounts collected during the period	$	(355,325	)

Total Accounts Receivable at the end of the period	$	284,101


ACCOUNTS RECEIVABLE AGING	AMOUNT
0 - 30 days old	$	95,727
31 - 60 days old	$	38,493
61 - 90 days old
91+ days old	$	149,881

Total Accounts Receivable	$	284,101
Amount considered uncollectible	$	35,816

Accounts Receivable (Net)	$	248,285

MOR-6

Attached files

Molecular Insight Pharmaceuticals, Inc. Reports

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