* Company to pursue options for certain clinical assets
* Raises 2010 guidance to reflect planned strategy
* Says move is part of broader cost-cutting program
BOSTON, Dec 14 (Reuters) - Charles River Laboratories International Inc (CRL.N) said on Tuesday it was pursuing strategic alternatives for certain assets as part of a cost-cutting program, and raised its earnings forecast for 2010.
The company, which provides animals to drug companies for clinical research, has been under pressure from several investors to sell parts or all of itself and return more value to shareholders.
The company said it plans to “aggressively” manage its cost structure and pursue strategic alternatives for certain underperforming preclinical services assets, including its early-stage clinic and its China preclinical facility.
The actions are expected to eliminate about $10 million in combined operating losses from the two facilities in 2011 on a non-GAAP basis.
The company updated its 2010 outlook to reflect its actions and said it plans to treat its Phase I clinical business as a discontinued operation for accounting purposes and therefore its results will be excluded from sales and earnings per share on a continuing basis.
It increased its 2010 forecast for earnings excluding one-time items to between $1.88 and $1.93 a share, up from a previous forecast of $1.85 to $1.90 a share. It expects sales of $1.12 billion to $1.13 billion, down from its previous forecast of $1.14 billion to $1.15 billion.
It anticipates 2011 earnings from continuing operations, excluding one-time items, of between $2.20 and $2.40 a share. (Reporting by Toni Clarke, editing by Maureen Bavdek)