AstraZeneca announced today it is studying whether to relocate its Fairfax headquarters while at the same time pledging that it will stay in Delaware.
Paul Hudson, president, AstraZeneca US and executive vice president, North America said: “Delaware provides a great environment for our employees as we continue to deliver innovative biopharmaceuticals that benefit millions of patients. At the same time, our company and culture have evolved since AstraZeneca’s presence first started in the state over 15 years ago. Creating an even more vibrant work environment that furthers our evolving culture of innovation and collaboration, while staying in the state we’ve proudly called home, allows us to leverage our legacy and continue building new capabilities for the future.”
A release stated that AstraZeneca is in the process of looking at whether to redesign its current office space or relocate to another nearby location in Delaware. A decision is expected later this year and is dependent on a thorough review of all options available and conversations with third parties, the release concluded.
The release also stressed that Delaware remained a key element in AstraZeneca’s efforts to carry out its strategy of bringing new drugs to market.
The company has been facing a “patent cliff” with blockbuster drugs losing protection. Employment in Delaware has dropped from about 5,000 to nearly 2,000.
AstreaZeneca moved its R&D work out of Delaware a few years ago and razed the research buildings at the Fairfax site.
AstraZeneca also sold its South Campus across the highway from its headquarters to JPMorgan Chase.
The campus was overhauled by JPMorgan Chase, which tore down walls in AstraZeneca’s individual offices and moved to large group work spaces interspersed with conference areas.
On Friday, AstraZenca’s CEO announced it will undertake $1.1 billion in cost cuts.
A spokeswoman for the company said at that time that no further information is available on the effects of the cost cuts on Delaware operations.
No further information on the effect of the cost cuts was released today.
The following statement was issued by the office of Gov. Jack Markell.
“The governor looks forward to speaking with AZ leaders about their plans and about how Delaware’s quality workforce and innovation-friendly environment can continue to benefit the company for many years to come.”
Business and government leaders have been concerned about the status of AstraZeneca in Delaware, with the news on the cost-cutting effort raising fears that more bad news could be forthcoming.
In addition to its headquarters, AstraZeneca has a distribution/packaging site near Newark.
