UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of Earliest Event Reported): November 6, 2007
Acorda Therapeutics, Inc.
(Exact name of registrant as specified in its charter)

Delaware	 	000-50513	 	13-3831168	
(State or other jurisdiction	 	(Commission	 	(I.R.S. Employer	
of incorporation)	 	File Number)	 	Identification No.)	
 	 	 	 	 	
15 Skyline Drive, Hawthorne, NY	 	10532	
(Address of principal executive offices)	 	(Zip Code)	

Registrant’s telephone number, including area code:  (914) 347-4300
Not Applicable
Former name or former address, if changed since last report
 Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
o   Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o   Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o   Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o   Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Item 2.02 Results of Operations and Financial Condition
On November 6, 2007, Acorda Therapeutics, Inc. (the “registrant”) issued a press release announcing its financial results for the quarter ended September 30, 2007. A copy of the press release is attached as Exhibit 99.1 to this Current Report on Form 8-K, and incorporated by reference into this Item 2.02.
The information in this Item 2.02 of Form 8-K (including Exhibit 99.1) shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, except as expressly set forth by specific reference in such filing.
 
Item 9.01 Financial Statements and Exhibits
99.1 Press Release dated November 6, 2007
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 	 	Acorda Therapeutics, Inc.	
 	 	 	
November 6, 2007	By:	/s/ David Lawrence	 	
 	 	 	
 	 	Name: David Lawrence, M.B.A.	
 	 	Title: Chief Financial Officer	
 
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Exhibit Index

Exhibit No	 	Description	
 	 	 	
99.1	 	Press Release dated November 6, 2007	

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Exhibit 99.1

CONTACTS:
Tierney Saccavino
Acorda Therapeutics
(914) 347-4300 ext. 104
tsaccavino@acorda.com

FOR IMMEDIATE RELEASE
 
Acorda Therapeutics Reports Third Quarter 2007 Financial Results
 
HAWTHORNE, NY, November 6, 2007—Acorda Therapeutics, Inc. (Nasdaq: ACOR) today announced its financial results for the third quarter 2007.
 
“We are very happy with the rapid enrollment in our second Phase 3 trial of Fampridine-SR, and look forward to reporting results from this trial in the second quarter of 2008, as well as results of our Thorough QT cardiac study in the first quarter,” said Ron Cohen, M.D., President and CEO of Acorda Therapeutics. “In addition, we were pleased with the continued growth of our Zanaflex business. Based on our current projections, we expect our Zanaflex commercial operations to be cash flow neutral by the end of calendar 2007 and cash flow positive in 2008. This growth reflects the strength of our sales team, and positions us well for the anticipated launch of Fampridine-SR, if approved. We are also excited by the potential of our novel pipeline products as we move them toward IND stage.”
 
Financial Results and Product Update
Zanaflex Gross Sales — For the quarter ended September 30, 2007, the Company reported gross sales of Zanaflex Capsules of $10.0 million and gross sales of Zanaflex tablets of $1.5 million providing combined gross sales of $11.5 million, compared to $5.0 million of Zanaflex Capsules and $1.5 million of Zanaflex tablets gross sales totaling $6.5 million combined gross sales for the same quarter in 2006. Included in the $1.5 million of gross tablet sales recorded in the third quarter of 2007 was $0.5 million of recognized revenue from 2 mg tablet deferred revenue. In August 2007, the right to return this product expired, allowing the Company to recognize the $0.5 million deferred revenue as gross sales.
 
Zanaflex Shipments — Zanaflex Capsules shipments for the quarter ended September 30, 2007 were $11.9 million and Zanaflex tablet shipments were $1.3 million providing total shipments of $13.2 million compared to $6.9 million of Zanaflex Capsules shipments and $1.8 million of tablet shipments for total shipments of $8.7 million for the same quarter in 2006.
 
Research and development expenses for the quarter ended September 30, 2007 were $5.6 million, including $0.3 million of share-based compensation, compared to $2.6 million, including $0.1 million of share-based compensation for the same quarter in 2006.
 
Sales, general and administrative expenses for the quarter ended September 30, 2007 were $11.6 million, including $1.6 million of share-based compensation, compared to $8.7 million, including $0.8 million of share-based compensation for the same quarter in 2006.
 
The Company reported a net loss of $8.5 million for the quarter ended September 30, 2007, or $.30 per diluted common share, compared to a net loss of $7.2 million or $.37 per diluted common share, for the same quarter in 2006.

 
 
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As of September 30, 2007, the Company held cash, cash equivalents, and short-term investments of $105.1 million.
 
Fampridine-SR Clinical Update
As of November 2, the Company’s Phase 3 study of Fampridine-SR, MS-F204, had 198 participants enrolled.  Data from the study are expected in the second quarter of 2008.
 
The Company was invited to make both a platform and a poster presentation at the prestigious annual meeting of ECTRIMS, the European Committee on Treatment and Research in Multiple Sclerosis, which took place in Prague, Czech Republic, in October.
 
A Thorough QT cardiac study was initiated in September 2007 and data from that study are expected in the first quarter of 2008.
 
Preclinical Product Update
On October 9, researchers at Mayo Clinic presented details from a preclinical study showing that a recombinant human monoclonal antibody, being developed by Mayo Clinic and Acorda Therapeutics, administered in a single low dose in a laboratory mouse model of multiple sclerosis, can repair myelin, the insulating covering over nerve fibers in the central nervous system.  Under a license agreement between Acorda and Mayo Clinic, Acorda holds exclusive worldwide rights to certain patents and other intellectual property for this antibody related to use and treatment of central nervous system disorders, including multiple sclerosis. Acorda and Mayo are collaborating to move this technology toward an Investigational New Drug application (IND) and clinical trials.
 
Corporate Update
On October 11, 2007, Acorda announced that it filed a lawsuit against Apotex Corp. and Apotex Inc. asserting infringement of the Company’s U.S. Patent No. 6,455,557 relating to multiparticulate tizanidine compositions, such as those sold by the Company as Zanaflex Capsules TM (tizanidine hydrochloride). The patent expires in 2021. The lawsuit is in response to Apotex Inc.’s Paragraph IV Certification Notice to the Company advising that Apotex Inc. had submitted an Abbreviated New Drug Application (ANDA) to the U.S. Food and Drug Administration (FDA) seeking marketing approval for generic versions of the Company’s three Zanaflex Capsules dosage strengths.
 
Webcast and Conference Call
Ron Cohen, M.D., President and Chief Executive Officer and David Lawrence, Chief Financial Officer, will host a webcast and conference call today at 8:30 am ET to review the Company’s third quarter 2007 results.
 
The live webcast and accompanying slides may be accessed on Acorda’s website at http://phx.corporate-ir.net/phoenix.zhtml?p=irol-eventDetails&c=194451&eventID=1668450. To access the call only, please dial 866-203-2528 (domestic) or 617-213-8847 (international) and provide the access code 20548970 five minutes prior to the start time.
 
An archived webcast of the call can also be accessed from the Company’s website, at http://www.acorda.com, for the next 30 days.  A replay of the call will be available for 30 days from 10:30 a.m. Eastern Time on November 7, 2007 until 11:59 p.m. Eastern Time on December 7, 2007. To access the replay, please dial 888-286-8010 (domestic) or 617-801-6888 (international) and provide the access code 47508787.
 
About Acorda Therapeutics
Acorda Therapeutics is a biotechnology company developing therapies for spinal cord injury, multiple sclerosis and related nervous system disorders. The Company’s marketed products include Zanaflex Capsules™ (tizanidine hydrochloride), a short-acting drug for the management of spasticity. Acorda’s lead clinical product, Fampridine-SR, is in a Phase 3 clinical trial to evaluate its safety and efficacy in

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improving walking ability in people with MS. The Company’s pipeline includes a number of products in development for the treatment, regeneration and repair of the spinal cord and brain.
 
Forward-Looking Statements
This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, regarding management’s expectations, beliefs, goals, plans or prospects should be considered forward-looking.  These statements are subject to risks and uncertainties that could cause actual results to differ materially, including Acorda Therapeutics’ ability to successfully market and sell Zanaflex Capsules, the risk of unfavorable results from future studies of Fampridine-SR, delays in obtaining or failure to obtain FDA approval of Fampridine-SR, competition, failure to protect its intellectual property or to defend against the intellectual property claims of others, the ability to obtain additional financing to support Acorda Therapeutics’ operations, and unfavorable results from its preclinical programs. These and other risks are described in greater detail in Acorda Therapeutics’ filings with the Securities and Exchange Commission. Acorda Therapeutics may not actually achieve the goals or plans described in its forward-looking statements, and investors should not place undue reliance on these statements. Acorda Therapeutics disclaims any intent or obligation to update any forward-looking statements as a result of developments occurring after the date of this press release.

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Interim Financial Statements

Acorda Therapeutics, Inc	
Condensed Consolidated Balance Sheet Data	
(in thousands)	
(Unaudited)	

 	 	September 30,	 	December 31,	 	
 	 	2007	 	2006	 	
 	 	 	 	 	 	
Assets	 	 	 	 	 	
Cash, cash equivalents and short-term investments	 	$	105,134	 	$	53,756	 	
Trade and grant receivable, net	 	3,806	 	4,389	 	
Other current assets	 	3,985	 	7,867	 	
Finished goods inventory	 	7,178	 	6,221	 	
Property and equipment, net	 	1,741	 	1,223	 	
Intangible assets, net	 	14,333	 	10,178	 	
Other assets	 	681	 	734	 	
Total assets	 	$	136,858	 	$	84,368	 	
 	 	 	 	 	 	
Liabilities and stockholders’ equity	 	 	 	 	 	
Accounts payable, accrued expenses and other liabilities	 	$	14,049	 	$	14,033	 	
Deferred product revenue	 	19,572	 	20,441	 	
Current liabilities	 	3,037	 	4,436	 	
Long term notes payable	 	6,654	 	6,695	 	
Non-current portion of revenue interest liability	 	18,527	 	20,094	 	
Stockholders’ equity	 	75,019	 	18,669	 	
Total liabilities and stockholders’ equity	 	$	136,858	 	$	84,368	 	

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Acorda Therapeutics, Inc	
Consolidated Statements of Operations	
(in thousands, except per share amounts)	
(Unaudited)	

 	 	Three Months Ended	 	Nine Months Ended	 	
 	 	September 30,	 	September 30	 	
 	 	2007	 	2006	 	2007	 	2006	 	
 	 	 	 	 	 	 	 	 	 	
Gross sales - Zanaflex	 	$	11,507	 	$	6,538	 	$	30,810	 	$	18,304	 	
Less: discounts and allowances	 	(1,068	)	(381	)	(2,576	)	955	 	
Net sales	 	10,439	 	6,157	 	28,234	 	19,259	 	
Grant revenue	 	20	 	70	 	36	 	371	 	
Total net revenue	 	10,459	 	6,227	 	28,271	 	19,630	 	
Cost of sales	 	(2,182	)	(1,652	)	(5,746	)	(4,037	)	
Gross profit	 	8,278	 	4,575	 	22,524	 	15,593	 	
 	 	 	 	 	 	 	 	 	 	
Operating expenses:	 	 	 	 	 	 	 	 	 	
Research and development	 	5,603	 	2,595	 	12,854	 	8,892	 	
Sales and marketing	 	7,918	 	5,297	 	22,006	 	14,142	 	
General and administrative	 	3,720	 	3,435	 	12,550	 	9,273	 	
Total operating expenses	 	17,241	 	11,327	 	47,410	 	32,307	 	
 	 	 	 	 	 	 	 	 	 	
Operating loss	 	$	(8,963	)	$	(6,752	)	$	(24,886	)	$	(16,714	)	
 	 	 	 	 	 	 	 	 	 	
Other income (expense), net	 	431	 	(418	)	641	 	(750	)	
Cumulative effect of change in accounting principle	 	—	 	—	 	—	 	454	 	
Net loss	 	(8,532	)	(7,170	)	(24,245	)	(17,010	)	
Beneficial conversion feature, accretion of issuance costs, preferred dividends, and fair value of warrants issued to convertible preferred stockholders	 	—	 	—	 	—	 	(36,007	)	
Net loss	 	$	(8,532	)	$	(7,170	)	$	(24,245	)	$	(53,017	)	
Net loss per common share - basic and diluted	 	$	(0.30	)	$	(0.37	)	$	(0.95	)	$	(3.17	)	
Weighted average per common share - basic and diluted	 	28,209	 	19,633	 	25,468	 	16,746	 	

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