February 25, 2009 / 10:49 AM / 11 years ago

UPDATE 1-Irish Elan cuts 230 jobs, keeps full-year guidance

* Cutting 230 jobs, sees FY savings of $50 mln

* Repeats full-year guidance

(Writes through, adds detail)

DUBLIN, Feb 25 (Reuters) - Elan ELN.I will cut 230 jobs in the United States and Ireland as it pares costs at its biopharmaceuticals unit, the Irish drugs group said on Wednesday.

Elan is cutting costs as part of a wider effort to boost its finances. The group hired Citigroup (C.N) last month to conduct a strategic review that could lead to a sale or merger of the company.

Elan said the job cuts at its biopharmaceuticals unit was separate to the Citigroup review.

“This will further strengthen our core business areas that bring the greatest potential value to patients and shareholders and enable us to invest in our most valuable programs within the biopharmaceuticals and Elan Drug Technologies businesses,” Elan CEO Kelly Martin said of the cuts.

The group reiterated its financial guidance for 2009 of a double-digit percentage increase in revenue and adjusted operating profit for the full year.

Elan said the job cuts, evenly split between the United States and Ireland, would reduce operating expenses by between $30 million and $35 million in 2009 and $50 million in a full year.

Shares in Elan were up 1.4 percent at 5.05 euros in mid-morning trade, underperforming the wider index .ISEQ which was 3 percent up. (Reporting by Jonathan Saul and Carmel Crimmins; Editing by David Holmes)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below