Amgen memorandum -- workforce reduction

To:              All Staff

From:          Bob Bradway

Date:            March 9, 2015

Subject:       Oncology at Amgen

Amgen's vision is to be a world leader in oncology – discovering, developing, acquiring and launching innovative medicines that improve the lives of cancer patients, with the urgency they deserve. Central to achieving our vision is our strong reputation in oncology, our highly talented staff, our existing therapeutic and supportive care products, our innovative oncology pipeline and our oncology biosimilar portfolio.

The unparalleled clinical results that Kyprolis® demonstrated in the ENDEAVOR trial, when added to recent advances with Vectibix®, BLINCYTO™, the Neulasta® On-Body Injector, TVEC, XGEVA® and our recently-announced research partnership in the CAR T cell area, are all evidence of our rapidly-growing strength and capabilities in oncology.  At the same time, the payer, provider and clinical practice environment for oncology is changing dramatically.

To build on our competitive presence in the rapidly evolving oncology field, and as part of our ongoing transformation across the company, we have decided to combine Amgen's scale and immuno-oncology expertise with Onyx's highly successful approach to hematologic malignancies. These combined oncology capabilities will create the focus and efficiency Amgen requires to progress our vision in oncology, and to remain a world leader for the long term.

Under the new single oncology team:
•          Onyx and Amgen oncology functions will be combined and report into the existing Amgen organization and operate within Amgen's global commercialization process and governance system.
•          We will consolidate our commercial and development oncology presence in Thousand Oaks; some Onyx R&D roles will move to Amgen's existing research facility in South San Francisco.
•          Based on the growth opportunities with Amgen's combined oncology portfolio, we expect that all Onyx US field (sales and medical) staff will be offered roles and become part of Amgen's field organization.

We anticipate reducing our Onyx workforce by approximately 300 home office and remote worker positions. To ensure our ability to continue delivering for patients, all Onyx home office staff and remote workers will be retained through December 31, 2015, and will be informed of their longer-term employment status by late-April.  While I recognize this will be difficult news for our colleagues in Onyx, I want to extend my gratitude and appreciation for everything Onyx has achieved over the years in support of cancer patients.
Consistent with our efforts to consolidate our geographic footprint, we expect to vacate our Onyx site. Nonetheless, Amgen's commitment to build a world-class research presence in San Francisco remains intact, and we will continue to grow our San Francisco R&D site accordingly.
We will begin implementing these changes immediately and, beginning today teams that are directly or indirectly affected will receive more information from their leadership.

As we make the transformational changes necessary to position Amgen for the future, we thank you for your continued focus on helping to advance important medicines for patients.

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