BioScrip Plans to Reduce Costs
January 31, 2011 5:33 PM
BioScrip (NASDAQ: BIOS) today provided an update of its ongoing strategic assessment and the execution of its plan. The Company is in the process of implementing a two-phased initiative, to include reducing costs and streamlining operations, and to focus the strategic direction of BioScrip on its high-margin businesses.
The Company is taking steps towards improving its financial and operational performance. The Company has initially identified cost reduction programs that will generate approximately $15 million in annualized savings. Many of the cost savings programs will be implemented during the first half of 2011, with the balance to be completed by year-end and fully realized in 2012.
Savings are expected to come from a number of areas, including corporate overhead, restructuring of the employee benefits program, and reduction of drug and non-drug spend.
