Updated: Pfizer plans $3.5B in cost cuts amid Covid slide, while Moderna sticks by guidance
Pfizer will begin a company-wide cost-cutting program this year and next, part of a plan to bring the company’s costs in line with a world where sales of its Covid products are waning as the coronavirus becomes one more in a host of respiratory illnesses.
Friday’s announcement that the drugmaker will make $3.5 billion in cost cuts was triggered by a revised agreement with the US government for supply of Pfizer’s antiviral pill Paxlovid. Under the new terms, the government is returning large numbers of doses that had been distributed around the country as access to the drug switches from an emergency, government-run effort to one run through the commercial markets.
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