Johnson & Johnson sets restructuring, plans charge
NEW YORK -- Johnson & Johnson says it will trim layers of management and set other restructuring moves in order to save up to $900 million next year.
The New Brunswick, N.J., company says the job cuts will affect 6 to 7 percent of its global work force of roughly 118,700 workers.
The company is booking a restructuring charge of up to $1.3 billion pretax in the fourth quarter and confirms its adjusted profit guidance for 2009.
Johnson & Johnson says it will also simplify its business structure in order to achieve savings.
The company, the world's most diversified health-products maker, saw its revenue fall 5 percent in the third quarter as intensifying generic competition slashed sales of about a half-dozen of its prescription drugs.