LONDON (Dow Jones/AP) — Pfizer Inc. said Tuesday it plans to close its manufacturing operations in Sandwich, Britain, resulting in the loss of about 420 jobs over the next two years.
The New York-based drug maker said in a press release that the plant closure was part of its worldwide consolidation of manufacturing operations, in order to ''manage global capacity and demand more efficiently.''
In January, Pfizer said it was cutting jobs and closing facilities in order to save $1.5 billion to $2 billion in expenses by the end of 2008. A component of that is the elimination of about 10,000 jobs, or 10 percent of Pfizer's total work force. The moves are designed to help Pfizer adjust to heightened generic competition for its best-selling drugs, which has hurt its sales and profits.
The Sandwich manufacturing plant makes active ingredients for drugs for humans and animals. About 10 to 15 manufacturing employees will remain at the site to support the development of ''regulatory starting materials.'' Pfizer said it will continue to conduct research and development at Sandwich.
''It is with regret that we announce our decision to end manufacturing operations in Sandwich after 53 years,'' Tony Maddaluna, vice president of Pfizer's global manufacturing operations, said in a statement. ''This is the latest in a number of global manufacturing changes, to ensure we are operating as efficiently and effectively as possible and able to respond to the challenges of today's business environment.''