Schering-Plough To Cut 20 Percent Of U.S. Sales Force As Part Of Restructuring Plan

Sep 22, 2008 (financialwire.net via COMTEX) -- SGP | Quote | Chart | News | PowerRating -- September 22, 2008 (FinancialWire) -- Schering-Plough Corp. (NYSE: SGP | Quote | Chart | News | PowerRating) said that it plans to cut 20 percent of its U.S. sales force by October 1 as part of a previously disclosed restructuring plan.

Many rival drugmakers, including Pfizer Inc. (NYSE: PFE | Quote | Chart | News | PowerRating) and Merck & Co. (NYSE: MRK), have already cut thousands of jobs in order to create savings needed to bolster earnings and finance their costly research programs.

The company said it would cut 1,000 sales positions from its U.S. Primary Care field force, which markets prescription drugs to family physicians, and make organizational changes within the operation. Schering-Plough said that about 4,000 positions will remain after the cuts.

The restructuring program was designed in part to eliminate costs associated with the company's $14.5 billion acquisition late last year of Organon BioSciences. The program is meant to create cumulative savings of $1.5 billion by late 2012.

Shares of Schering-Plough rose 18 cents to close at $18.58 Friday.

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