J&J CEO: More McNeil recalls possible
CEO Bill Weldon says Johnson & Johnson has reviewed operations for every McNeil product manufactured in-house, about 80 percent of the portfolio. The focus shifts now to the 20 percent manufactured by contractors.
The internal review completed, most of the recall action is in the rear-view mirror. "But there could be a little ahead of us," he says in a briefing to investor today. "We have to see if there's anything to be addressed externally."
J&J expects "significant costs" in 2011 related to ongoing McNeil manufacturing and quality issues. CFO Dominic Caruso estimates "a negative impact of 6 cents per share."
Weldon says that with last year's commitment to restore McNeil, J&J has made changes to manufacturing, supply chain, and quality and compliance operations. "We've identified the issues and are addressing them," he says. And the comprehensive action plan filed with the FDA has led to a "good working relationship" with the agency.