A Medical Device Daily

SurModics (Eden Prairie, Minnesota) said it will reorganize its business units and move manufacturing of a product line from Maryland to Eden Prairie as part of a restructuring plan.

The company, which makes coatings for medical devices and pharmaceuticals, will also close a sales operation in Irvine, California. The changes will cost the company between $900,000 and $1.5 million in 2Q10. However, SurModics said it expects the move will ultimately save it between $500,000 and $1 million per year.

The restructuring also means some changes to the company's executive team. SurModics has hired Eugene Rusch and Joseph Stich, both of whom have experience in the pharmaceuticals industry, to serve as vice presidents. Paul Lopez, president of the company's ophthalmology division, as well as two other managers, will be leaving the company.

“Our new structure will allow us to better meet customer needs and leverage our customer relationships across our many and ever-increasing technologies and products. In addition to consolidating SurModics' sales and marketing and research and product development efforts, these changes will enhance accountability on the management of customer relationships and revenue targets and improve resource allocation,“ said CEO Bruce Barclay.