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Hospira to invest $120m in injectable facility in Kansas

By Zachary Brennan , 02-Jun-2014
Last updated on 02-Jun-2014 at 15:06 GMT

Hospira to invest $120m in injectable facility in Kansas

As part of a wave of good news for the beleaguered Hospira, the company said it will inject $120m into its McPherson, Kansas, facility, which will result in 150 new jobs over the next five years.

The investment will allow Illinois-based Hospira to complete capital improvement and modernization projects, including expanding capacity, adding automated visual inspection systems and installing additional production lines at the facility.

Our operations in McPherson are critical to ensuring that Hospira continues to supply high-quality, more affordable medicines to patients who need them,” said VP Andrew Knudten. “This investment enables us to support a sustainable output of important injectable medications and advance growth opportunities at the plant and in our community. It is also a testament to the dedication of our McPherson employees, the commitment of the community and the appreciated support from the state of Kansas.”

The site has been in production since 1977 and now produces generic injectable and biologic medicines using advanced manufacturing technology, including lyophilization, isolator filling lines and aseptic filling processes.

The investment also may help to stem issues reported in a Form 483 the US FDA issued last fall . In that warning, the FDA found three observations worth noting. Hospira said at the time that it submitted an action plan to the agency.

In 2006, the company also invested $60m in the site to expand capacity and add new employees. These investments come as Hospira continues its remediation efforts at its plant in Rocky Mount, North Carolina.

The company spent $95m in the first three months of 2014 on modernization initiatives at several manufacturing sites across the US, in addition to the construction of the company’s site in Vizag, India.

Hospira’s investment in McPherson is good news for the community and the Kansas economy,” said Kansas Gov. Sam Brownback. “Kansas has built a strong pro-growth business environment that supports the hard work of companies such as Hospira.”

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