Biogen to Cut Jobs
(Boston, MA) said last Thursday that
it would lay off approximately 17% of its workforce to reduce
annual operating costs by $200–300 million.
The downsizing will be part of a restructuring plan conceived after
reviews of business processes, geographic locations, and staffing. Cuts
will be made at the managerial and staff level, and are expected to
to approximately 650 jobs, mostly in the San Diego, California, area,
and at the
company's manufacturing operations at Research Triangle Park, North
In addition, the company plans to sell its NICO clinical manufacturing
plant in San Diego and property in Oceanside, California. Also on the
chopping block is the psoriasis drug, "Amevive," which had revenue of
million in 2004. Biogen expects the plan to take effect by the end of
Biogen Idec said that it is considering using the additional funds for
new product opportunities and 'the acquisition of products and
companies, as well as expanding collaborative research with academic
institutions and teaching hospitals."
In related news, Biogen also announced that Michael Gilman, executive
vice-president of research, is leaving the company, effective Nov. 8.
Alphonse Galdes, vice-president of drug discovery, and Rainer Fuchs,
vice-president of research informatics and operations, will take his
place in the interim.