Hospira Plans to Shut Plants

It sees charges.
Author:
Publish date:

Hospital product maker

Hospira

(HSP)

announced its plan to close plants in Ashland, Oh., and Montreal, Canada, over the next 18 to 28 months as part of a plan to improve operational efficiencies.

The company will transfer manufacturing operations at the affected plants to other Hospira facilities based in the U.S. and will outsource certain product components to third-party suppliers. The transfer is expected to create about 400 new full-time positions at other Hospira locations.

The Illionois-based company, in connection with the closures, estimates its total pretax expenses in the range of $95 million to $110 million over the 2005 to 2009 time period.

''To ensure long-term success, Hospira must take every step necessary to keep costs down while maintaining our high standards of quality and performance,'' said the company.

This story was created through a joint venture between TheStreet.com and IRIS.