Shire layoffs, on the record
Every job cut, severance charge and restructuring Shire reported in its annual reports, 2015 to 2017, quoted from the filings. Headcount went from 5,548 to 23,044.
Headcount, as reported
| Annual report | Employees | As of |
|---|---|---|
| 10-K for 2015 | 5,548 | December 31, 2015 |
| 10-K for 2016 | 23,906 | December 31, 2016 |
| 10-K for 2017 | 23,044 | December 31, 2017 |
Job cuts, severance and restructuring
Our summaryShire reported a continued restructuring of the business, including filling over 2,000 open roles and concentrating operations in Lexington, with employees accepting offers to relocate from Chesterbrook, Pennsylvania to Lexington, Massachusetts.
Word for word“Continued restructure of the business , including filling over 2,000 open roles and executing plans to concentrate operations in Lexington, with a greater number of employees than anticipated accepting Shire's offer to relocate from Chesterbrook, Pennsylvania to Lexington, Massachusetts.” 10-K for 2015
Our summaryShire terminated certain employees and announced plans to close certain facilities as part of integrating Baxalta.
Word for word“As part of the Company's activities to integrate Baxalta, it terminated certain employees and announced plans to close certain facilities.” 10-K for 2016
Our summaryShire recorded integration and acquisition costs, including severance and employee termination benefits, primarily related to the Baxalta and Dyax transactions.
Word for word“For the year ended December 31, 2016, Shire recorded integration and acquisition costs of $884 million , primarily related to the Baxalta and Dyax transactions, which included severance and employee termination benefits.” 10-K for 2016
Our summaryShire charged severance and employee benefits to its integration reserve and paid part of it, leaving a reserve balance at year end.
Word for word“The following table summarizes the related reserve as of December 31, 2016 : (In millions) Severance and employee benefits As of January 1, 2016 $ — Amount charged to integration costs 267.3 Paid/utilized (193.3 ) As of December 31, 2016 $ 74.0 For the year ended December 31, 2015 , Shire recorded net integration and acquisition costs of $39.8 million .” 10-K for 2016
Our summaryShire recorded integration and acquisition costs for 2017, mainly for the Baxalta acquisition, including asset impairments, employee severance and facility consolidation expenses.
Word for word“For the year ended December 31, 2017, Shire recorded Integration and acquisition costs of $894.5 million , primarily relating to the Baxalta acquisition.” 10-K for 2017
Our summaryShire recorded reorganization costs for 2017, mainly for closing its Basingstoke, U.K. office.
Word for word“For the year ended December 31, 2017, Shire recorded Reorganization costs of $47.9 million , primarily related to the closure of the Basingstoke, U.K. office.” 10-K for 2017
Our summaryShire recorded reorganization costs for 2016, mainly for closing a facility at its Los Angeles manufacturing site.
Word for word“For the year ended December 31, 2016, Shire recorded Reorganization costs of $121.4 million , primarily related to the closure of a facility at the Los Angeles, U.S. manufacturing site.” 10-K for 2017
Our summaryBaxalta integration costs in 2017 included employee severance and accelerated stock compensation, along with other integration expenses.
Word for word“The Baxalta integration and acquisition costs include $211.6 million of employee severance and acceleration of stock compensation, $140.3 million of third-party professional fees, $89.9 million of expenses associated with facility consolidations and $231.7 million of asset impairments for the year ended December 31, 2017 .” 10-K for 2017
Our summaryShire's 2016 integration and acquisition costs for the Dyax and Baxalta deals included large employee severance and stock compensation acceleration charges.
Word for word“These costs primarily consist of $463.4 million of employee severance and acceleration of stock compensation, $378.7 million of third-party professional fees, $58.1 million of contract terminations and a credit of $11.1 million relating to the change in fair value of contingent consideration.” 10-K for 2017
| Fiscal year ended | Restructuring charges | Cash paid for restructuring |
|---|---|---|
| 2016-12-31 | $121.4 million | $193.3 million |
| 2017-12-31 | $47.9 million | $192.4 million |
Shire has filed no restructuring notice (Form 8-K, Item 2.05) since 2016. Companies file one only for a cut they judge material, so many announced layoffs never appear as one. This page shows what the company reported to the SEC, not news reports or state layoff notices.
Read from Shire’s annual reports (10-K for 2017, 10-K for 2016, 10-K for 2015) and the financial data it files with the SEC, as of 2018-02-20. Every quotation is word for word from the filing linked beside it; how these pages are built and checked. The full record is in its company data sheet.