Reorganisation of Astellas European Business FunctionsTOKYO, August 1/PRNewswire/ -- Astellas Pharma Inc. ("Astellas"; headquarters: Tokyo; President and CEO: Masafumi Nogimori) announced that at the Board of Directors meeting held today, the Company has decided to reorganise Development, Sales & Marketing and other support functions within Astellas' European business.
The Astellas European business has many functions including:
Research & Development, Production and Sales & Marketing,
which includes export operations and employs 3,300 people. With
sales of Yen 219.6 billion (Euros 1,463 million) for the FY2006
which ended March 31, 2007, the European business is the second
largest within Astellas. Astellas, in its medium-term plan, has
positioned the European business as a stable revenue and profit
base. Astellas transferred three of its production plants in Europe
to a third party on January 1, 2007; the reorganisation decided
today does not affect the production function but aims to further
optimise the European business.
The main changes as a result of this reorganisation
- The two Development sites, in the Netherlands (Leiderdorp) and
Germany (Munich) will be consolidated into the Dutch site and the
German site will close.
- Sales & Marketing will continue in Germany. However, as a
result of stringent healthcare cost containment measures that has
been implemented by the German government, Astellas' sales force in
Germany will be reduced to improve both profitability and
efficiency of the Astellas German business.
- There will be some integration of other support staff
functions located in the U.K., Germany and the Netherlands, to the
U.K. and the Netherlands.
- As a result of the above changes, the number of employees
across Europe will be reduced by more than 200.
These issues have been subject to consultations between the
Works Councils and management since February 2007 and have now been
completed. The reorganisation of functions has been agreed through
the correct consultation process and these changes contained in the
formal written agreement will be notified to the German labour
authorities. Astellas hopes to conclude the process by the end of
Astellas forecasts the extraordinary losses of about Yen 12
billion as expenses for integration and closure of business bases.
Of the total, Yen 5.4 billion has already been accounted in the
business results for FY2006, as extraordinary loss with regard to
the expenses for integration and closure of business bases. More
than Yen 6 billion will be accounted as the extraordinary losses in
FY2007 (Yen 0.1 billion of them was accounted in the first quarter
Although extraordinary loss of more than Yen 6 billion for the
FY2007 is not included in the financial forecasts for the FY2007
announced on May 15, 2007, Astellas does not revise the financial
forecasts for the FY2007.
Source: Astellas Pharma Inc.
Contacts for inquiries or additional information: Astellas
Pharma Inc., Corporate Communications, Tel: +81-3-3244-3201, Fax:
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Posted: August 2007