Actelion Ltd. Ends Employee Consultation in Switzerland
Published: Sep 11, 2012
Actelion - following discussions with the Employee Representatives - has minimized the number of redundancies resulting from the refocusing of the company's Research and Development activities. Through natural attrition and other measures, the number of actual redundancies in Switzerland has been reduced to a maximum of 40. The initial expectation was up to 70 redundancies at Actelion's headquarters.
In addition, an agreement with the Employee Representatives has been reached in relation to social plan measures in Switzerland. These measures include severance payments, early retirement packages, out-placement support as well as additional benefits.
The cost saving initiative is an integral part of Actelion strategy for value creation outlined in early May 2012. The initiative will ensure that the company can fully capitalize on the significant growth opportunities in its core area of expertise of pulmonary arterial hypertension (PAH).
Cost savings will start to take effect in the latter part of 2012 and accelerate in 2013. In total the cost saving initiative will result in a reduction of 135 positions globally, including 115 positions at Actelion's headquarters.
The Cost Savings initiative will result in a restructuring charge that will be booked in Q3 2012. As a one-off event the charge will not be included in core earnings.
Actelion is confirming its July 2012 guidance of core earnings to grow in the mid single-digit percentage range for 2012. This guidance excludes any impact from movements in provisions relating to receivables in Southern Europe. In May, the company had guided for no 2012 core earnings growth. On the same 2012 basis and unforeseen events excluded, Actelion also expects to maintain core earnings in 2013 at this higher forecasted 2012 level (in local currencies) and expect to return to single-digit growth in 2014 and double-digit growth by 2015.
Actelion Ltd is a biopharmaceutical company with its corporate headquarters in Allschwil/Basel, Switzerland. Actelion's first drug TracleerR , an orally available dual endothelin receptor antagonist, has been approved as a therapy for pulmonary arterial hypertension. Actelion markets Tracleer through its own subsidiaries in key markets worldwide, including the United States (based in South San Francisco), the European Union, Japan, Canada, Australia and Switzerland. Actelion, founded in late 1997, is a leading player in innovative science related to the endothelium - the single layer of cells separating every blood vessel from the blood stream. Actelion's over 2,500 employees focus on the discovery, development and marketing of innovative drugs for significant unmet medical needs. Actelion shares are traded on the SIX Swiss Exchange (ticker symbol: ATLN) as part of the Swiss blue-chip index SMI (Swiss Market Index SMIR ).
For further information please contact:
Senior Vice President, Head of Investor Relations & Public Affairs
Actelion Pharmaceuticals Ltd, Gewerbestrasse 16, CH-4123 Allschwil
+41 61 565 62 62
+1 650 624 69 36
The above information contains certain "forward-looking statements", relating to the company's business, which can be identified by the use of forward-looking terminology such as "estimates", "believes", "expects", "may", "are expected to", "will", "will continue", "should", "would be", "seeks", "pending" or "anticipates" or similar expressions, or by discussions of strategy, plans or intentions. Such statements include descriptions of the company's investment and research and development programs and anticipated expenditures in connection therewith, descriptions of new products expected to be introduced by the company and anticipated customer demand for such products and products in the company's existing portfolio. Such statements reflect the current views of the company with respect to future events and are subject to certain risks, uncertainties and assumptions. Many factors could cause the actual results, performance or achievements of the company to be materially different from any future results, performances or achievements that may be expressed or implied by such forward-looking statements. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated or expected.