Pharmaceutical Company Closing Buffalo Plant

September 27, 2013 Updated May 21, 2010 at 11:56 AM EDT

By WKBW Programming

...

Credit: MGN Graphics

Pharmaceutical Company Closing Buffalo Plant

September 27, 2013 Updated May 21, 2010 at 11:56 AM EDT

BUFFALO, NY (WKBW/Release) -- Contract Pharmaceuticals Limited (CPL), a manufacturer of liquids, creams and ointments for name-brand and generic drug companies, announced Friday that it will close its Buffalo plant at the end of 2011, while consolidating operations into its Mississauga, Ontario facility. The Buffalo plant currently employs 260 people.

CPL purchased the former Westwood-Squibb Pharmaceutical complex at 100 Forest Ave. in 2005 from Bristol-Myers Squibb Co. At the time, CPL hired the existing 200 employees and then added 60 new jobs over the following five years and invested more than $4.5 million in the site.

“This was a very difficult decision to make,” said Ken Paige, CPL’s CEO. “When we acquired the facility, we believed that we could attract significant new business to fill much of the excess capacity. But given the current slower growth in the pharmaceutical outsourcing market, we never got to the production levels we needed for long-term economic success."

CPL will offer displaced employees severance packages and outplacement programs. Discussions will also commence within the Western New York health-care and manufacturing communities to assist CPL staff in finding new jobs. Employment will be reduced in phases from now until the end of 2011 as contracts expire and certain products are moved to its Ontario manufacturing facility.