BUFFALO — Contract Pharmaceuticals Limited says it will close its Buffalo plant by the end of next year because of a lack of business, leaving 260 employees out of work.
Privately held CPL makes prescription and over-the-counter liquids, creams and ointments for drug companies.
The Canadian company’s chief executive, Ken Paige, says that when CPL acquired the 415,000-square-foot Buffalo facility five years ago, executives believed they could attract new business to fill the excess capacity. But he says the economic downturn has led companies to slow drug development and to make more products in-house, rather than contract out.
The current Buffalo operations will be consolidated into CPL’s Mississauga, Ontario facility, which is operating at 60 percent capacity.