Replies to post #2387 on SurModics Inc (SRDX)

[skiplarson98]

There will be no significant value in what I'm about to say, but still I'm going to say that my eyes glazed over whenever I listened to Bruce Barclay's explanations of most anything and especially his view of the organization. I sort of hoped against hope that he actually knew what he was talking about.

Your explanations were understandable and excellent, Democritus. I could understand Phil's discussions usually. And when Dale spoke I understood exactly what he wanted me to understand--I suppose the choice of Surmodics as a name suggests the role he played at the company since I could now understand what it was they were trying to do. While Cypher dominated earnings, I could see some sort of focus to the company.

But Bruce left me feeling he saw some sort of vague matrix of businesses to which various people had been assigned probably several different functions. Lisa and Lopez left and I wondered if they weren't just confused about what they were supposed to be doing.

I had thought you probably were able to grasp Bruce's organization and the reasons for it. I was simply confused. Was he trying to maximize interactions among various specialties?

Maybe I've told you that I once tried to design a pure research lab as a class project. Thousands of employees trying to come up with new science. The building turned out like the pentagon on the California coast with scientists of every specialty and function walking down halls past mathematicians or chemists or psychologists or physicists mixing in small conference rooms. It would have been a social mess with very little accomplished. And that's what I picture happening at SRDX. Was someone leading? I couldn't discern a leader though Phil seemed to be able to follow and explain what was happening. And maybe you did also.

I don't have the intelligence to get it. Or maybe I just did not try hard enough. I hope the new organization becomes understandable to me (and perhaps to the employees). Best, Lance

[Democritus_of_Abdera]

Possible sale of pharmaceutical business...

In the “Subsequent Events” section of the 10K (pg 4-5) filed today one finds the following quote:

In addition, in December 2010, we announced that the Board of Directors of the Company had authorized the Company to explore strategic alternatives for the Company’s Pharmaceuticals business, including a potential sale of that business. This decision by the Board reflects our focus on returning the Company to profitable growth, and our renewed commitment to pursuing growth opportunities and investments in our Medical Device and In Vitro Diagnostics businesses. We have retained Piper Jaffray & Co. as our financial advisor in connection with this process. The Company has made no decision to enter into any transaction regarding the Pharmaceuticals business, and there can be no assurance that we will enter into such a transaction in the future. Additional details concerning this announcement can be found in the Company’s Current Report on Form 8-K expected to be filed with the Securities and Exchange Commission on or before December 20, 2010.

see: http://www.sec.gov/Archives/edgar/data/924717/000095012310113522/c61767e10vk.htm