Thousands of jobs axed at AstraZenca as chiefs look to save 1bn by 2014
Astrazenca has axed another 7,300 jobs and warned of lower profits ahead, sending investors running for cover.
Britain's second-largest pharmaceuticals firm after GlaxoSmithKline said annual sales were $33.6bn (21.2bn) in 2011 but are likely to be at the lower end of the forecast $28bn to $34bn range in the period to 2014.
Pre-tax profits for the 12 months were $12.4bn, up from $10.9bn a year earlier.
The company is axing more jobs in a bid to reduce its losses
Astra and its industry rivals are facing a triple whammy of competition from generic copies as their products fall out of patent protection; pricing pressures as governments cut healthcare spending; and sluggish research and development pipelines as they struggle to discover the next blockbuster cure.
Chief executive David Brennan said: 'While the further expected losses of market exclusivity make for a challenging 2012 outlook, we remain committed to a long-term, focused, research and development based strategy, and have announced further steps to drive productivity in all areas to improve returns on our investment in innovation.'
Astra has cut more than 21,000 posts since 2007, reducing its headcount to around 61,000 people with 8,000 in the UK.
The company said it was too early to say how many British jobs were at risk but trade unions said up to 300 of the latest cuts would be at an R&D site in Cheshire.
Further cuts are expected elsewhere as the group reorganises to save more than 1bn a year by 2014.
The company said it lost almost 1.3bn in sales last year as blockbuster drugs – those selling more than $1bn a year – went over the so-called 'patent cliff ', opening them up to generic competition.
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