August 3, 2007
BSX weighs job cuts, selling assets
By Cory Hopkins
While it is not immediately clear what an impending "headcount restructuring plan" will entail at Natick-based Boston Scientific Corp., it seems safe to recommend employees of the troubled medical device company should start dusting off their resumes.
The company said a comprehensive expense and "headcount restructuring plan" is in the works, details of which will be released next quarter. The plan is part of an overall strategy of restoring growth and increasing shareholder value, the company said.
As part of the effort, the company also announced that after exploring selling off a minority interest in its Endosurgery group, the group would remain wholly owned by Boston Scientific.
Endosurgery delivers consistent double-digit growth to the company and is expected to generate more than $1.4 billion in revenue this year, said Jim Tobin, the company's president and CEO.
The next few weeks and months figure to be busy for the company. A number of announcements are planned that will detail plans to help the company sell non-strategic assets, divest of elements of its investment portfolio and reduce expenses and headcount, according to a release issued last night by the company.
Total net sales for Boston Scientific in the second quarter totaled slightly more than $2 billion, a small dip compared to last year at the same time, due in large part to a sharp decrease in its coronary stent sales, which declined more than 40 percent in the second quarter compared to the second quarter of 2006.
The company said a comprehensive expense and "headcount restructuring plan" is in the works, details of which will be released next quarter. The plan is part of an overall strategy of restoring growth and increasing shareholder value, the company said.
As part of the effort, the company also announced that after exploring selling off a minority interest in its Endosurgery group, the group would remain wholly owned by Boston Scientific.
Endosurgery delivers consistent double-digit growth to the company and is expected to generate more than $1.4 billion in revenue this year, said Jim Tobin, the company's president and CEO.
The next few weeks and months figure to be busy for the company. A number of announcements are planned that will detail plans to help the company sell non-strategic assets, divest of elements of its investment portfolio and reduce expenses and headcount, according to a release issued last night by the company.
Total net sales for Boston Scientific in the second quarter totaled slightly more than $2 billion, a small dip compared to last year at the same time, due in large part to a sharp decrease in its coronary stent sales, which declined more than 40 percent in the second quarter compared to the second quarter of 2006.
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