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Johnson & Johnson to Slash 8,700 Jobs
Company says moves will save up to $900M annually
(AP)
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Johnson & Johnson will cut 7% of its workforce—some 8,400 jobs—and make other other restructuring moves in order to save up to $900 million next year. The New Brunswick, NJ, company says it will also simplify its business structure in order to achieve savings that will add up to between $1.4 billion and $1.7 billion annually after the restructuring is complete in 2011.
Still, the company confirmed adjusted profit guidance between $4.54 and $4.59 per share for 2009. J&J, the world's most diversified health-products maker, saw its revenue fall 5% in the third quarter as intensifying generic competition slashed sales of about a half-dozen of its prescription drugs, including the schizophrenia drug Risperdal and the epilepsy treatment Topamax.
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