« Return to News | CROs/Service Providers

Charles River Labs Halts Preclinical Operations at MA Facility

Wednesday, January 13, 2010 07:20 AM

In response to decreased demand for preclinical services, Charles River Laboratories is halting operations at its Shrewsbury, Mass., preclinical services facility by the middle of 2010, once on-going studies are completed. The contract research organization (CRO) said it plans to resume operations when the global preclinical market improves.

Suspending operations at the facility is expected to save Charles River $20 million in operating costs in 2010. Although the closure will result in some loss of revenue, the company said it expects to maintain the majority of the business through other preclinical services sites. The CRO will pay approximately $7 million in the first quarter for severance and related costs.

“The extended softness in preclinical market demand for the last 15 months has resulted in excess capacity throughout the contract research industry and in our own global network of [preclinical services] facilities,” said Charles River president and CEO James Foster in a statement. “We have thoroughly evaluated the anticipated demand and our available capacity, and determined that the leaner infrastructure will improve our PCS operating margin while providing us with sufficient capacity to meet the expected upturn in demand for preclinical services in the biopharmaceutical industry.”

 

Share:          
CLINICAL TRIAL RESOURCES

Search:

NEWS ONLINE ARCHIVE

Browse by:

CWWeekly

September 30

Novartis-Walgreens pilot study blurring the line between retail pharmacy, investigative site

CISCRP to launch traveling science museum exhibit to demystify clinical trial participation

Already a subscriber?
Log in to your digital subscription.

Subscribe to CWWeekly.

The CenterWatch Monthly

October

New growth and decline in Asia clinical trials
South Korea, Japan, China see big growth in 1572s, while India posts huge drop

Harnessing Big Data to transform clinical trials
From protocol to patient recruiting, data analytics can yield valuable insights

Already a subscriber?
Log in to your digital subscription.

Purchase the October issue.

Subscribe to
The CenterWatch Monthly.

The CenterWatch Monthly

September

Sponsors look to collaborate on comparator drugs
Co-therapies, comparators are in 60% of studies, cost $25m per company a year

Early adopters implement risk-based monitoring pilot programs
Experiments aim to offer long-term solutions, despite short-term uncertainties

Already a subscriber?
Log in to your digital subscription.

Purchase the September issue.

Subscribe to
The CenterWatch Monthly.

JobWatch centerwatch.com/jobwatch

Featured Jobs

More Jobs

 

Copyright © 1995-2013 CenterWatch.