West Pharmaceutical Services
today announced its intention to consolidate selected operations in order to
improve operating efficiencies. The company expects to close its Montgomery, Pennsylvania,
USA manufacturing facility
and to downsize operations at its facility in St. Austell, Cornwall, U.K.
The Pennsylvania
facility has been engaged primarily in contract manufacturing of molded plastic
components and assemblies for consumer-product applications. The Cornwall facility
produces molded elastomeric components for disposable medical devices, as well
as elastomeric and plastic components used in pharmaceutical packaging.
Ancillary to the manufacturing changes West is also planning to eliminate a
limited number of other operational and administrative roles.

“The changing landscapes in the healthcare and consumer
markets we serve require that we regularly evaluate our operations and adapt to
changing conditions in order to successfully compete,” said Donald E.

Morel Jr., Ph.D., Chairman and Chief Executive Officer.
“The plans announced today will reduce the manufacturing capacity devoted
to product lines that no longer support sustainable, competitive operations,
and will unfortunately result in the loss of a number of jobs over time. These
are difficult decisions that fall most heavily on our employees in these
locations, and we will be providing support that should ease the burden placed
on them.” The costs of the restructuring are expected to be between $18
million and $21 million. When fully implemented, the changes are expected to reduce
annual operating costs by approximately $12 million.