Novartis plans expansion

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BY MATT OLBERDING / Lincoln Journal Star

People with headaches and sinus congestion will soon be looking to Lincoln for relief. Novartis Consumer Health Inc. announced Thursday it will move production of brands such as Excedrin, Comtrex, Bufferin and No-Doz to the company’s plant between Lincoln and Waverly.

The work will increase the plant’s volume by 60 percent, the company said, and add 100  scientific and production jobs to its permanent workforce of 511. It will continue to produce such drugs as Theraflu, Maalox and Triaminic at its Lincoln.

The Swiss pharmaceutical company acquired the brands last year from Bristol Myers Squibb, and they are now produced at a plant in Mt. Vernon, Ind.

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(LJS File)

(LJS File)

Donna Blake, a local spokeswoman for Novartis, said the company, which has U.S. headquarters in Parsippany, N.J., had extensively studied where to locate production of the new drugs and decided Lincoln was the best place.

“It’s great news for our people here,” she said.

Blake said the plant’s track record was part of the reason the company chose Lincoln.

Marlene Leuenberger, site leader for the Lincoln plant, agreed.

“This says a lot about the company’s confidence in our facility and our capabilities, and it’s definitely a reward for the hard work and dedication of our employees,” she said.

Lincoln Chamber of Commerce President Matt Carlson said the  move was a recognition not only of the work ethic at the local plant but also of the area in general.

“The fact that Novartis could have located these capabilities anywhere in the world is proof that the Lincoln workforce continues to be world class in all areas of business and industry,” he said.  

Local officials were overjoyed at the prospect of adding good jobs and well-known products.

“I am especially pleased that this manufacturing expansion signals the firm’s commitment to Lincoln as a great place to do business,” said Lincoln Mayor Coleen Seng.

The announcement elicited two “wows,” a “hallelujah” and an “amazing” from Lancaster County Board members during their Thursday staff meeting.

Gov. Dave Heineman said the expansion was good news for the state as a whole.

“This is further proof the Nebraska Advantage jobs creation legislation was needed and is working,” Heineman said, referring to the state’s tax incentives offered to expanding companies. “We were able to compete here with at least one other state and one other country and they chose to locate in Nebraska. “

State Economic Development Director Richard Baier said he couldn’t comment on whether Novartis had applied for incentives under the Nebraska Advantage Act, but he said just the availability of it was a factor in its decision.

“What I do know from the company is that Nebraska Advantage and the customized job training that is part of the package were both significant considerations in moving their production to Lincoln,” Baier said.

Blake, the Novartis spokeswoman, said the production shift to the local plant will occur in phases over 18 months.

She said there will be a “multi-million dollar” investment in the local plant but said the majority of that will be internal changes, such as reconfiguring floor plans to make room for additional equipment. Actual physical expansion of the plant will be minimal, she said. 

Hiring for the additional positions will begin soon, Blake said, with most of the hiring to be done locally.

Blake said she didn’t know the breakdown of the jobs or how much they will pay.

Darl Naumann, the city’s economic development coordinator, said he understands they will be “high-paying jobs.”

Naumann and Jason Smith, vice president of economic development for the chamber, said a coalition including the city, county, state and Lincoln Electric System worked with Novartis for months to bring the expansion here.

“It was truly a cooperative effort,” Smith said.

Reach Matt Olberding at 473-2647 or molberding@journalstar.com.

Novartis’ local lineup

Novartis produces the following drugs at its plant between Lincoln and Waverly: Benefiber, Maalox, Tavist, Triaminic, Theraflu and Lamisil.

Within 18 months it will add Excedrin ES/Migrane, Comtrex, Excedrin  PM, Excedrin  Aspirin Free Tension Headache, Excedrin Sinus, Bufferin and No-Doz.