(12-05) 09:38 PST New York (AP) —

Pharmaceuticals maker Bristol-Myers Squibb Co. announced a major restructuring plan that includes a 10 percent work force reduction, the shuttering of more than half of its manufacturing plants and a significant cutback in its mature product offerings.

The company said it expects the work force changes to generate cost savings of roughly $1.5 billion by 2010.

The drug maker also said it is lowering its 2007 earnings guidance and spinning off its medical imaging business. Bristol-Myers also is currently reviewing a range of strategic alternatives for ConvaTec, a wound care products supplier, and its Mead Johnson Nutritionals businesses. Its best-selling product is anticoagulant Plavix.

The job cuts will likely mean the loss of roughly 4,300 positions over several years.

Bristol-Myers will reduce the number of brands in the company’s mature products portfolio by 60 percent between 2007 and 2011. The company also said it will close more than 50 percent of its manufacturing facilities by the end of 2010.

The company plans to further outline its strategy and cost-reduction plan during an update at an investor meeting in New York this afternoon.

Shares of New York-based Bristol-Myers fell 7 cents to $28.99 in midday trading.

This entry was posted on Wednesday, December 5th, 2007 at 9:45 pm While Dave was in Money. Responses are currently closed, but you can trackback from your own site.