New owner moves to close Covance facility
The Philadelphia company that owns Covance Cardiac Safety Services Inc. said in a filing with the Securities and Exchange Commission that it will close the company’s Reno operation and move its operations to
Pennsylvania and Peterborough in the United Kingdom.
The closure is expected to be completed by late 2008, said eResearch
Technology Inc. in its quarterly report filed with the SEC.
Covance Cardiac Safety Services processes electrocardiograms. The company was acquired by eResearch late last year, and eResearch said at the time it planned to close the Reno facility.
The costs of closing will include $1.2 million for severance payments and $900,000 to wrap up a real estate lease, the company said in its SEC filing.
Executives at eResearch didn’t return calls to provide more details about the number of affected employees and the reasons for the closure.
“While I cannot say with certainty what the business landscape will look like after the dust settles, I do believe it will never get back to the way it was before the shutdown,” advises Mike Bosma.