Biogen Idec, a pharmaceutical company located in Cambridge, MA has announced late today that it plans to cut 650 employees, equal to 17% of its workforce in order to generate additional revenue equal to $200-$300 million dollars yearly, according to Biogen’s CFO Peter Kellogg. The company plans to invest the money into its pipeline over the next following years.

As a result of the lay-off, for the current quarter Biogen will obtain a pre-tax charge of $30-$40 million. Kellogg also mentioned that Biogen will now be able to earmark $200mil per year for business related acquisitions as well as licensing and product acquisitions starting in the year 2006.

This is definately not a good situation for all of the employees that lost their jobs, truly sad and unfortunate how a company can just screw people over like that, unbelievable.

This entry was posted on Thursday, September 8th, 2005 at 8:45 pm and is filed under Finance, General Business. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.