Health products maker Johnson & Johnson on Tuesday said that it will cut jobs and restructure the company in an effort to save up to $900 million next year. The New Brunswick, New Jersey, company said the job cuts will affect 6 to 7 percent of its global work force of roughly 118,700 workers, prompting a restructuring charge of up to $1.3 billion pretax in the fourth quarter. Still, the company confirmed adjusted profit guidance between $4.54 and $4.59 per share for 2009. Johnson & Johnson said it will also simplify its business structure in order to achieve savings and projects that it will save between $1.4 billion and $1.7 billion annually after the restructuring is complete in 2011. "Johnson & Johnson has long adhered to a broad-based operating model and set of sound management principles that have driven our success," said Chairman and CEO William Weldon, in a statement, adding that the program should keep the company positioned for long-term growth in the health care industry. --SPA
