Baxter International, a leading medical device manufacturer, is making significant strides in its recovery efforts following Hurricane Helene’s devastation of its North Cove facility. Over 1,000 employees returned to work last week, joining forces with over 1,000 remediation contractors to tackle the extensive cleanup and restoration process.
The company anticipates reaching a workforce of 3,000 individuals dedicated to recovery by this week, nearly two-thirds of whom are Baxter employees. The primary focus is on thoroughly cleaning the facility, including floors and equipment, while meticulously assessing the condition of all production lines.
A critical milestone in the recovery process was the installation of the first temporary bridge, which has already facilitated the transport of over 350 truckloads of finished products, allowing customer shipments to resume.
In addition to on-site recovery efforts, Baxter has taken proactive measures to mitigate product shortages. Last week, the company began shipping intravenous products to the United States from two of its international facilities. This initiative is further bolstered by the Food and Drug Administration (FDA), which is working to temporarily import specific products in short supply.
The FDA has approved imports from five facilities in Canada, China, Ireland, and the U.K., and is actively working to secure authorization for additional sites.
Baxter has outlined its plan to restart production at the North Cove facility in phases by the end of this year. However, a detailed timeline for fully restoring production to pre-hurricane levels has yet to be announced. It’s worth noting that North Cove is Baxter’s largest facility, responsible for manufacturing approximately 60% of IV fluids and peritoneal dialysis solutions available to healthcare providers in the U.S.
The company’s efforts to resume production are gaining traction, with shipments from two Baxter sites already exporting products to the U.S., and additional shipments in the pipeline. This swift action is reassuring to customers and highlights Baxter’s commitment to minimizing disruptions in the supply chain.
The progress in the recovery efforts is reflected in the company’s stock performance. BAX stock is currently up 0.41% at $37.06.