Today's CC call - and why couldn't the new CEO talk?

[Deleted]

Why couldn't the new ceo show some leadership, some courage, some moxy and read the prepared statement himself?  There was no Q&A.  If he's the new leader then why not lead in this time of crises?  That's almost as bad as hakan in my book.  Who are these people that mnkd keeps putting in charge?  Wow...just wow.

Well, at least we know now they have 90 million (including the loan) which will get them through 6-9 months (maybe, depending on various financial realities when companies are running low/out on cash).

We also learned that SNY sent the letter yesterday and that mnkd is not on the hook to pay back any milestones or payments from sny.

Matt also said something else that peaked my curiosity - SNY will continue to sell afrezza until their supply runs out.  Um..ok, so what if their supply runs out tomorrow does that mean sales of afrezza are frozen till july?

[savzak]

Maybe he had a doctor's appointment.

[trondisc]

Duane was not told about Sanofi's non-contract extension yesterday...perhaps this would be grounds for Duane considering a MannKind contract termination already?  FWIW, I think Al aloof in his twilight years Mann will resume his interim CEO role and Duane might just leave given this debacle.

[Deleted]

One thing to add - MNKD did not know in advance. Contractually, that's not how it works. If SNY did tell mnkd in advance, that info would need to be disclosed. MNKD found out yesterday so duane found out yesterday. Not being on the CC is an indication that duane may be rethinking his ceo position. It was a card reading event with no questions - a soft ball. An easy throw. An opportunity to shine in the midst of chaos. I've held some serious positions over the years and I can tell you that in this situation you don't wiff out and hide. You step up, take the lead, and move the ball forward. If this is his leadership style then heaven help mnkd and afrezza.

[rider]

Jan 5, 2016 17:19:14 GMT -5 @davinci said:

One thing to add - MNKD did not know in advance. Contractually, that's not how it works. If SNY did tell mnkd in advance, that info would need to be disclosed. MNKD found out yesterday so duane found out yesterday. Not being on the CC is an indication that duane may be rethinking his ceo position. It was a card reading event with no questions - a soft ball. An easy throw. An opportunity to shine in the midst of chaos. I've held some serious positions over the years and I can tell you that in this situation you don't wiff out and hide. You step up, take the lead, and move the ball forward. If this is his leadership style then heaven help mnkd and afrezza.

Couldn't agree more

[liane]

You don't know the reason he could not participate in the call, so your conjecture is unfair. Give it a rest!

[Deleted]

davinci

When is the conclusion of the notice peroid? He mentioned that early on in the conference call that SNY still has the rights until the conclusion of the notice peroid? Is it in July?



Also he made it clear they are seeking financing to extend the second half of 2016. I am assuming this is more dilution. As for the new CEO I am very disappointed that he was not on the call but I dont think he is bailing. I have no doubt he was hired with the intentions SNY was jumping ship.

[Deleted]

@liane, if he is the ceo there is nothing more important than something like today's CC call. Just calling it like I see it as I always have and always will regardless of who likes or dislikes it.  Besides, what ceo doens't show up for the first day of work as the new ceo or can't read from a paper for 5 minutes into a phone?

[Deleted]

Jan 5, 2016 17:26:15 GMT -5 @reverselo said:

davinci

When is the conclusion of the notice peroid? He mentioned that early on in the conference call that SNY still has the rights until the conclusion of the notice peroid? Is it in July?



Also he made it clear they are seeking financing to extend the second half of 2016. I am assuming this is more dilution. As for the new CEO I am very disappointed that he was not on the call but I dont think he is bailing. I have no doubt he was hired with the intentions SNY was jumping ship.

6 months, so july.  And I'm not in the camp yet that anyone knew anything or that duane was hired with any idea that today would be a real event.  Not yet, anyway.

[silentknight]

Jan 5, 2016 17:19:14 GMT -5 @davinci said:

One thing to add - MNKD did not know in advance. Contractually, that's not how it works. If SNY did tell mnkd in advance, that info would need to be disclosed. MNKD found out yesterday so duane found out yesterday. Not being on the CC is an indication that duane may be rethinking his ceo position. It was a card reading event with no questions - a soft ball. An easy throw. An opportunity to shine in the midst of chaos. I've held some serious positions over the years and I can tell you that in this situation you don't wiff out and hide. You step up, take the lead, and move the ball forward. If this is his leadership style then heaven help mnkd and afrezza.

You make valid points and I would have preferred to have him there as opposed to Matt.

However, I wouldn't be so eager to cast aside his ambition. It's possible he backs out, but somehow I believe he won't.  This is the opportunity of a lifetime for a business man and a CEO. He has a completely clean slate and an opportunity to prove his savvy and the company's naysayers wrong with a product that clearly works.   I think now it's about pride, or at least it should be. 

If he can take a company with a share price of .75 roughly, turn things around, avoid bankruptcy, develop a marketing plan and create value with TS, he'll be the CEO of the century. The possibilities of what he can do here are endless and can revolutionize the medical field for decades.  Men with moxy don't walk away from opportunities like that.

Yes, he is now in a difficult situation and the climb would be arduous, but I think he stays and creates a legacy. At least I hope he does. He has an opportunity to be a visionary like Al Mann, or look in the face of adversity and capitulate like a coward because it's too tough.  If he leaves, then he shouldn't have been here to begin with. 

We'll know soon enough. 

[Deleted]

Jan 5, 2016 17:29:53 GMT -5 @davinci said:

Jan 5, 2016 17:26:15 GMT -5 @reverselo said:

davinci

When is the conclusion of the notice peroid? He mentioned that early on in the conference call that SNY still has the rights until the conclusion of the notice peroid? Is it in July?



Also he made it clear they are seeking financing to extend the second half of 2016. I am assuming this is more dilution. As for the new CEO I am very disappointed that he was not on the call but I dont think he is bailing. I have no doubt he was hired with the intentions SNY was jumping ship.

6 months, so july.  And I'm not in the camp yet that anyone knew anything or that duane was hired with any idea that today would be a real event.  Not yet, anyway.

So we are at the mercy of SNY until July?  We can strike up a deal with another BP but it cant close until July.

[liane]

Jan 5, 2016 17:27:05 GMT -5 @davinci said:

@liane, if he is the ceo there is nothing more important than something like today's CC call. Just calling it like I see it as I always have and always will regardless of who likes or dislikes it.  Besides, what ceo doens't show up for the first day of work as the new ceo or can't read from a paper for 5 minutes into a phone?

Maybe he was out of the country working a deal... I'm just saying there's any number of business related reasons he could not be on the call.

[Chris-C]

Jan 5, 2016 17:19:14 GMT -5 @davinci said:

One thing to add - MNKD did not know in advance. Contractually, that's not how it works. If SNY did tell mnkd in advance, that info would need to be disclosed. MNKD found out yesterday so duane found out yesterday. Not being on the CC is an indication that duane may be rethinking his ceo position. It was a card reading event with no questions - a soft ball. An easy throw. An opportunity to shine in the midst of chaos. I've held some serious positions over the years and I can tell you that in this situation you don't wiff out and hide. You step up, take the lead, and move the ball forward. If this is his leadership style then heaven help mnkd and afrezza.

One might imagine that no experienced CEO would consider taking the position without at least considering that this could be a possibility. A competent CEO prospect would be expected to factor that into his/her decision. MNKD may have gotten the official letter yesterday, but unless they are cretins they would have at least been prepared for the possibility that SNY would pull the plug,  given SNY's lackluster effort and lackluster success. The Internet has been rife with this speculation for at least 6 months. And would SNY actually send a notice without giving Al a heads up before it arrived? What responsible company would do that? The tea leaves have been there, and I feel certain that the MNKD executive change was conceived during MNKD's strategic board discussions about a viable way forward if/when it was announced.

I do agree that it might have "looked" better if DeSisto was there with reassuring words, but given the timing, I also understand why the company might want to say as little as possible until DeSisto has a chance to warm up his desk chair. Look at it this way, there is no direction to go but up, and a good portion of the short interest has been cleaned away. That said, nothing uttered today is likely to send share prices higher.

[Deleted]

Jan 5, 2016 17:32:26 GMT -5 silentknight said:

Jan 5, 2016 17:19:14 GMT -5 @davinci said:

One thing to add - MNKD did not know in advance. Contractually, that's not how it works. If SNY did tell mnkd in advance, that info would need to be disclosed. MNKD found out yesterday so duane found out yesterday. Not being on the CC is an indication that duane may be rethinking his ceo position. It was a card reading event with no questions - a soft ball. An easy throw. An opportunity to shine in the midst of chaos. I've held some serious positions over the years and I can tell you that in this situation you don't wiff out and hide. You step up, take the lead, and move the ball forward. If this is his leadership style then heaven help mnkd and afrezza.

You make valid points and I would have preferred to have him there as opposed to Matt.

However, I wouldn't be so eager to cast aside his ambition. It's possible he backs out, but somehow I believe he won't.  This is the opportunity of a lifetime for a business man and a CEO. He has a completely clean slate and an opportunity to prove his savvy and the company's naysayers wrong with a product that clearly works.   I think now it's about pride, or at least it should be. 

If he can take a company with a share price of .75 roughly, turn things around, avoid bankruptcy, develop a marketing plan and create value with TS, he'll be the CEO of the century. The possibilities of what he can do here are endless and can revolutionize the medical field for decades.  Men with moxy don't walk away from opportunities like that.

Yes, he is now in a difficult situation and the climb would be arduous, but I think he stays and creates a legacy. At least I hope he does. He has an opportunity to be a visionary like Al Mann, or look in the face of adversity and capitulate like a coward because it's too tough.  If he leaves, then he shouldn't have been here to begin with.     

We'll know soon enough. 

well said.  And agreed.

[Deleted]

Jan 5, 2016 17:35:44 GMT -5 Chris-C said:

Jan 5, 2016 17:19:14 GMT -5 @davinci said:

One thing to add - MNKD did not know in advance. Contractually, that's not how it works. If SNY did tell mnkd in advance, that info would need to be disclosed. MNKD found out yesterday so duane found out yesterday. Not being on the CC is an indication that duane may be rethinking his ceo position. It was a card reading event with no questions - a soft ball. An easy throw. An opportunity to shine in the midst of chaos. I've held some serious positions over the years and I can tell you that in this situation you don't wiff out and hide. You step up, take the lead, and move the ball forward. If this is his leadership style then heaven help mnkd and afrezza.

One might imagine that no experienced CEO would consider taking the position without at least considering that this could be a possibility. A competent CEO prospect would be expected to factor that into his/her decision. MNKD may have gotten the official letter yesterday, but unless they are cretins they would have at least been prepared for the possibility that SNY would pull the plug,  given SNY's lackluster effort and lackluster success. The Internet has been rife with this speculation for at least 6 months. And would SNY actually send a notice without giving Al a heads up before it arrived? What responsible company would do that? The tea leaves have been there, and I feel certain that the MNKD executive change was conceived during MNKD's strategic board discussions about a viable way forward if/when it was announced.

I do agree that it might have "looked" better if DeSisto was there with reassuring words, but given the timing, I also understand why the company might want to say as little as possible until DeSisto has a chance to warm up his desk chair. Look at it this way, there is no direction to go but up, and a good portion of the short interest has been cleaned away. That said, nothing uttered today is likely to send share prices higher.

chris, it happened to netkar when pfizer dropped exubera.  This isn't a new story or a new situation:  www.prweek.com/article/1255303/pfizer-criticized-its-drop-exubera-leaves-nektar-hanging
No where to go but up?  Okay, I'd say "give it a rest" but that line has been used today already so I will truly "give it a rest".  Been a tough day all around and I get that.  I just continue to learn as much as I can and apply to new situations going forward.