Company: King Pharmaceuticals
Scoop: In early February, Bristol, Tennessee-based King Pharmaceuticals announced its intention to eliminate roughly 770 employees--a workforce reduction of approximately 22 percent. The company decided to eliminate 520 positions--380 field sales jobs and 140 corporate/admin jobs--following a January ruling in the U.S. District Court for the Eastern District of New York that two patents covering the muscle relaxant Skelaxin are invalid. If King's appeal is ultimately rejected, Skelaxin will face stiff generic competition sooner than it would have otherwise.
The other 250 cuts were designed to trim overlap created when King bought Alpharma. After the dust settles, King will be left with a field sales force of about 720.