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KV Pharmaceutical Company Reduces Workforce

By Pharmaceutical Processing | February 9, 2009

KV Pharmaceutical Company announced today it is in the process of reducing its workforce by approximately 700 jobs. The action is part of an overall cost-cutting program as the company works toward resuming full operation. The company has encountered a number of substantial challenges over the past months, including a voluntary suspension of product manufacturing and shipment, as well as voluntary recalls of its products. “KV Pharmaceutical plans to emerge from these challenges on a solid foundation of a smaller, more focused organization and the return to providing excellent products to our customers,” said David Van Vliet, interim President and CEO. “The need to reduce our employee base is regrettable and one of the most difficult parts of our program to resume manufacturing and shipping product.” The KV workforce reduction includes a combination of terminations and layoffs. The company expects to recall some employees when production and shipment of approved products resume. To resume product shipments as quickly as possible, the company is currently working with Lachman Consulting, a third-party consulting group, to enhance KV’s current Good Manufacturing Practice (cGMP) processes and quality systems. KV continues to work in full cooperation with the U.S. Food and Drug Administration (FDA).

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