Sept 24 (Reuters) - British drugmaker Indivior said on Thursday it plans for up to $70 million in cost savings next year as it restructures its supply channels in the United States, including cutting an unspecified number of jobs.
The company, which makes opioid addiction treatments, said as part of its streamlining plan it would also suspend merit-based pay increases and cut down on third-party expenses.
“While some of the expected savings will be reinvested ... we will retain a large portion of the expected savings to preserve the group’s flexibility through the COVID-19 pandemic,” new Chief Executive Officer Mark Crossley said.
Indivior has been hurt by legal hassles and competition even before the virus outbreak began. (Reporting by Pushkala Aripaka in Bengaluru; Editing by Shounak Dasgupta)
Reuters Breakingviews is the world's leading source of agenda-setting financial insight. As the Reuters brand for financial commentary, we dissect the big business and economic stories as they break around the world every day. A global team of about 30 correspondents in New York, London, Hong Kong and other major cities provides expert analysis in real time.
Sign up for a free trial of our full service at https://www.breakingviews.com/trial and follow us on Twitter @Breakingviews and at www.breakingviews.com. All opinions expressed are those of the authors.