Cellular Biomedicine Discontinues Consulting Business Segment - Quick Facts

(RTTNews) - Cellular Biomedicine Group Inc. (CBMG), a biomedicine firm engaged in the development of new treatments for degenerative and cancerous diseases, announced the discontinuation of the company's consulting business segment. The consulting business is expected to be classified as discontinued operations, effective July 1, 2014.

As a result, the company expects to record a one-time pre-tax cash charge of approximately $840,000 in the second quarter 2014 resulting from severance to be paid to employees affiliated with the consulting business.

"After a circumspect review by management and the Board of Directors, our decision to discontinue operating the legacy consulting business should remove any performance variability associated with this segment," said William Cao, Chief Executive Officer of Cellular Biomedicine Group.

The company noted that consulting business' securities will remain on the Company's balance sheet. Keith Wong and Norm Klein, the consulting business' current management team will assist and ensure a smooth discontinuation of our consulting operations.