Cardinal Health restructures
This article was originally published in The Gray Sheet
Executive Summary
Dublin, Ohio-based firm is consolidating into two core businesses and cutting 600 jobs. The new organization, announced July 8, will consist of a Healthcare Supply Chain Services segment, which as a pharmaceutical/medical product distributor generates annual sales of over $80 billion, and a Clinical and Medical Products segment, with annual revenue of $5 billion. The latter group will include Cardinal Health's Alaris infusion pumps, Avea respirators, Pyxis medication dispensing systems, surgical gowns, gloves and other medical products. The firm says that over the next year it will evaluate the fit of a third business group, which includes its Tecomet orthopedic implant manufacturing services unit and Medsystems enteral devices and airway management products. The cost of the restructuring is estimated at $63 million in fiscal year 2009, which began July 1