J&J Says DePuy Orthopaedics President David Floyd Resigns
Johnson & Johnson (JNJ) said David Floyd is resigning as worldwide president of DePuy Orthopaedics, the maker of artificial hips and knees that has struggled with product recalls and lawsuits over faulty implants.
Floyd, president of the unit since 2007, submitted his resignation last week and will leave at the end of March, said a spokeswoman, Lorie Gawreluk, in an e-mail. He is leaving to “pursue interests outside the company,” she said, declining to be more specific.
The DePuy division, which also makes spinal-care devices, generated $5.59 billion in revenue last year for New Brunswick, New Jersey-based J&J, the world’s largest maker of health-care products. Sales of its hip and knee implants fell in last year’s fourth quarter, hurt by a slowdown in medical procedures due to economic weakness and the recalls, the company said in its Jan. 25 earnings statement.
DePuy Orthopaedics recalled the ASR XL Acetabular hip system last August, after researchers found 13 percent of patients needed a repeat operation, or “revision surgery,” to fix problems with the implant. The company took a $280 million charge in the fourth quarter to pay for the recall.
The company faces more than 500 lawsuits in state and federal courts by patients who had the hip implants.
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