http://dealbook.blogs.nytimes.com/2009/1...

The above article cites the 8,000 person layoff announced by JNJ yesterday as saving $17 Billion over ten years, to offset the loss of profits in it's pharmacetical division due to patent expiration and generic competition. Although the partnership strategy JNJ is employing (rather than direct buyouts of biotech firms) is mentioned as an engine for future growth at JNJ, the partnership strategy is less profitable than outright ownership of successful products. Does this large layoff portend a cash savings that could be used by JNJ to buy Vertex outright in the near future?