Establishes Lexington, Mass., as U.S. Operational Headquarters; Decreases Presence in Chesterbrook, Pa.
Interim CFO Appointed
Shire plc (LSE: SHP, NASDAQ: SHPG) today announced plans to relocate over 500 positions to Massachusetts from its Chesterbrook, Pennsylvania, site and establish Lexington, Massachusetts, as the company’s U.S. operational headquarters. The transition is a continuation of the Company’s ‘One Shire’ efficiency program and will streamline business globally through two principal locations – Massachusetts and Switzerland – with support from a limited number of regional and country-based offices around the world.
Simplifying operations in two principal locations will increase efficiencies and Shire expects to realize approximately $25 million in annual savings beginning in 2016. This site strategy will also enable greater alignment and execution of priorities between the Company’s commercial and research and development (R&D) teams to more effectively bring innovative products to patients, as well as strengthen collaboration and cross-development of employees.
“Chesterbrook, the greater Philadelphia area, and the talent of our employees based there have been instrumental to Shire’s growth and evolution,” said Flemming Ornskov, M.D., Chief Executive Officer. “We’ve made the decision to consolidate our U.S. operations in the Massachusetts area to streamline operations and drive further efficiencies in the way we run our business and serve patients. Shire has a great opportunity to combine our Chesterbrook and Lexington talent with the leading biotech resources in the Massachusetts area, and we consider ready access to these resources an important element in the future growth of our company.”
Shire plans to move employees in several phases beginning in the first quarter of 2015 and targets completion by the first quarter of 2016. All directly impacted employees who do not relocate will be offered severance, outplacement service and other employee assistance.
Interim CFO Appointed
As previously announced, James Bowling, Interim Chief Financial Officer (CFO), will be leaving Shire. James’ departure date will now be February 28, 2015. Jeff Poulton, Head of Investor Relations, will assume the role of interim CFO effective January 1, 2015. The CFO position will be based in Lexington.
Jeff Poulton joined Shire in 2003 and has held leadership positions in finance supporting the neuroscience, gastrointestinal and rare disease business units. He oversaw the rare diseases business unit operations in North America, Latin America, and Asia Pacific, and most recently led the integration of Viropharma’s rare disease products into the Shire portfolio. Prior to joining Shire, Jeff spent time at Cinergy Corp. and PPG Industries in a variety of corporate finance and business development roles, in addition to serving four years in the U.S. Navy as a commissioned officer. Jeff received a Bachelor of Arts in economics from Duke University, and a Master of Business Administration in Finance from the Kelly School of Business at Indiana University.
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NOTES TO EDITORS
Shire enables people with life-altering conditions to lead better lives.
Our strategy is to focus on developing and marketing innovative specialty medicines to meet significant unmet patient needs.
We focus on providing treatments in Neuroscience, Rare Diseases, Gastrointestinal, and Internal Medicine and we are developing treatments for symptomatic conditions treated by specialist physicians in other targeted therapeutic areas, such as Ophthalmology.
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THE “SAFE HARBOR” STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995
Statements included herein that are not historical facts are forward-looking statements. Such forward-looking statements involve a number of risks and uncertainties and are subject to change at any time. In the event such risks or uncertainties materialize, Shire’s results could be materially adversely affected. The risks and uncertainties include, but are not limited to, that:
and other risks and uncertainties detailed from time to time in Shire’s filings with the Securities and Exchange Commission, including those risks outlined in “Item 1A: Risk Factors” in Shire’s Annual Report on Form 10-K for the year ended December 31, 2013.