Contract sales firm PDI said a “large pharmaceutical company” client has decided not to renew a $35 million contract sales engagement with the firm.
PDI said it had expected the one-year deal, which expires May 12, to be extended through the end of 2007.
The loss of the deal, announced yesterday, is just the latest in a series of contract setbacks for PDI.
In October, GlaxoSmithKline decided not to renew its 2007 sales agreement with PDI. That deal represented as much as $70 million in annual revenue for the contract sales firm.
Also in October, Sanofi-Aventis ended a $20 million sales engagement with PDI.
And in March 2006, AstraZeneca discontinued its fee-for-service agreements with PDI, after previously working with the firm for 12 years. That termination affected approximately 800 field representatives and impacted $65 to $70 million of PDI’s revenue.
PDI CEO Michael Marquad called the latest setback “disappointing” in a statement, adding that it “underscores the importance of our strategy, which focuses on diversifying our revenue stream.”
Marquad added that PDI would continue to be engaged in discussions with other large pharma companies for fee-for-service contracts, while exploring potential acquisition opportunities.