8-K

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

March 17, 2009

Date of Report (Date of
earliest event reported)

Poniard Pharmaceuticals, Inc.

(Exact Name of Registrant as Specified in Charter)

Washington		0-16614		91-1261311
	(State or Other Jurisdiction of Incorporation)		(Commission File No.)		(IRS Employer Identification No.)
7000 Shoreline Court, Suite 270, South San Francisco, California				94080
	(Address of principal executive offices)				(Zip Code)

(650) 583-3774

(Registrant’s telephone number, including area code)

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 communication 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))

Section 2 — Financial Information

Item 2.05.              Costs Associated with Exit or Disposal Activities.

On March 17, 2009, the Board of Directors of the Company approved a strategic restructuring plan to refocus its cash resources on its clinical and commercial development of picoplatin, resulting in the discontinuation of the Company’s preclinical research operations and reduction in its workforce by approximately 12 percent, or eight employees, effective March 31, 2009.  The Company will continue to evaluate strategic alternatives for its preclinical research programs.

The Company previously announced that it would be exploring strategic alternatives for its preclinical research programs in order to allow the Company to focus its resources on the clinical development of picoplatin and to support the initial commercialization of picoplatin in the treatment of small cell lung cancer, currently targeted for 2010.

The Company currently estimates that it will incur total restructuring charges of approximately $700,000, consisting of one-time employee termination benefits (approximately $300,000), contract termination costs (approximately $350,000) and other program shut-down costs (approximately $50,000).  All of the restructuring charges, except for approximately $10,000 of other program shut-down costs will result in future cash expenditures.  The foregoing is subject to change as further analysis is conducted.

See press release dated March 20, 2009, attached hereto as Exhibit 99.1 and incorporated herein by reference.

Section 9 — Financial Statements and Exhibits

Item 9.01.Financial Statements and Exhibits.

(d)     Exhibits.

99.1 - Press release dated March 20, 2009

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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.

	Poniard Pharmaceuticals, Inc.
Dated:  March 20, 2009	By:	/s/MICHAEL K. JACKSON
		Name: Michael K. Jackson
			Title: Senior Director, Finance
			(Principal Accounting Officer)

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EXHIBIT INDEX

Exhibit No.	Description
99.1	Press Release dated March 20, 2009

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EX-99.1

Exhibit 99.1

Poniard Pharmaceuticals Focuses Company Resources on Late-Stage
Oncology Candidate Picoplatin Through Realignment of Research Organization

South San Francisco, Calif. (March 20, 2009) — Poniard Pharmaceuticals, Inc. (NASDAQ: PARD), a biopharmaceutical company focused on oncology, today announced that it will concentrate its cash resources on the clinical and commercial development of its late-stage oncology candidate, picoplatin. As a result, the Company has discontinued its in-house preclinical research operations and reduced its workforce by approximately 12 percent, or eight employees, effective March 31, 2009.  The Company continues to evaluate strategic alternatives for its preclinical research programs.

“Concentrating our resources on advancing our lead product candidate, picoplatin, currently in  Phase 2 and 3 clinical trials for the treatment of lung, colorectal and prostate cancers, supports our goal of commercializing picoplatin in 2010, initially for the treatment of small cell lung cancer,” said Jerry McMahon, Ph.D., chairman and CEO of Poniard.  “We believe these measures will bring us closer to near-term success and build shareholder value.  I would like to thank the Poniard employees who have been affected by this change for their significant contributions to the Company.”

About Poniard Pharmaceuticals

Poniard Pharmaceuticals, Inc. is a biopharmaceutical company focused on the development and commercialization of innovative oncology products to impact the lives of people with cancer. Picoplatin, the Company’s lead platform product candidate, is a new generation platinum chemotherapy. To date, clinical studies suggest that picoplatin has an improved safety profile relative to existing platinum-based cancer therapies. Picoplatin is designed to overcome platinum resistance associated with chemotherapy in solid tumors, and is being studied in multiple cancer indications, combinations and formulations. Clinical trials of intravenous picoplatin include a Phase 3 trial in small cell lung cancer and Phase 2 trials in metastatic colorectal and castration-resistant (hormone refractory) prostate cancers. The Company also is conducting a clinical trial of oral picoplatin in solid tumors. For additional information please visit http://www.poniard.com.

This release contains forward-looking statements, including statements regarding the Company’s results of clinical trials to date, business objectives and strategic goals, drug development plans, the potential safety and efficacy of its products in development and commercialization strategy. The Company’s actual results may differ materially from those indicated in these forward-looking statements based on a number of factors, including risks and uncertainties associated with the Company’s research and development activities; the results of clinical testing; the receipt and timing of FDA and other required regulatory approvals; the market’s acceptance of the Company’s proposed products; the Company’s anticipated operating losses, need for future capital

and ability to obtain future funding; competition from third parties; the Company’s ability to preserve and protect intellectual property rights; the Company’s dependence on third-party manufacturers and suppliers; the Company’s lack of sales and marketing experience; the Company’s ability to attract and retain key personnel; changes in technology, government regulation and general market conditions; and the risks and uncertainties described in the Company’s current and periodic reports filed with the Securities and Exchange Commission (SEC), including the Company’s Annual Report on Form 10-K for the year ended December 31, 2008. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. The Company undertakes no obligation to update any forward-looking statement to reflect new information, events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.

© 2009 Poniard Pharmaceuticals, Inc. All Rights Reserved.

Poniard and Poniard Pharmaceuticals are trademarks of Poniard Pharmaceuticals, Inc.

For Further Information:

Greg Weaver

Chief Financial Officer

Poniard Pharmaceuticals

650-745-4437

Susan Neath (Investors)

Burns McClellan

212-213-0006

Jani Bergan

WeissComm Partners

415-946-1064