"These are always the most difficult decisions," the company's official statement said, "however, this move allows Theranos to marshal its resources most efficiently and effectively."

Today's restructuring caps off a terrible 2016 for CEO Elizabeth Holmes and company. After the company's innovative blood test and Edison testing machine turned out to be too good to be true and possibly based on junk science, the company spent the latter part of 2016 fending off multiple lawsuits from investors and its retail partners at Walgreens.

Last month, the company also announced a new leadership team and reshuffled its Board of Directors to help steer the company back on track as it works to develop a new testing platform called miniLab.