Transcept Provides Update to Key Initiatives to Increase Stockholder Value

Transcept Pharmaceuticals

today provided an update to the key initiatives being pursued to increase stockholder value. The Transcept Board and management team have taken, or are undertaking, the following steps: In November 2013 we announced the reduction of 6 employees, or approximately 43% of our workforce.  In connection with this restructuring, Thomas P. Soloway, Executive Vice President and Chief Operating Officer, notified the Company that he would resign effective December 31, 2013.  With these combined changes, we expect that our headcount will be reduced by approximately 50% and our annual payroll and benefits expense will be reduced by approximately $1.23 million, or 37% of the annual Transcept payroll. Effective December 31, 2013, Glenn A. Oclassen, President and Chief Executive Officer, will assume the role of Chairman of the Board and Chief Executive Officer.  Concurrently, G. Kirk Raab, the Company's current Chairman of the Board, will move to the position of Lead Independent Director.  Christopher B. Ehrlich, a longstanding member of the Transcept Board of Directors, will resign from the Board effective December 31, 2013.