MORGANTOWN — Viatris and WVU have begun talks about the possibility of transferring ownership of the former Mylan plant site in Morgantown to WVU.
Viatris issued its announcement Wednesday.
“We have worked diligently to try to identify viable alternatives for the site outside of the company’s network,” the announcement began. “We have communicated with all potential prospects identified by us or others and have maintained open channels of communication with West Virginia public officials, all in an effort to obtain a formal proposal of interest to maintain the site as a pharmaceutical manufacturing facility. However, we believe that the same industry and market dynamics that prompted our decision have resulted in no such viable proposals being received to date.”
Viatris then turned to the WVU talks: “While Viatris remains open to any new expressions of interest, we are committed to continuing to work with state officials and others to secure the next-best possible future outcome for the Chestnut Ridge site. To that end, the company has commenced discussions to align on a memorandum of understanding with West Virginia University and its affiliates to pursue the potential transfer and ownership of the site to WVU or one of its associated entities.”
WVU has not indicated what it might do with the site if the talks succeed.
WVU President Gordon Gee said in a statement, “We are pleased that Viatris has engaged with West Virginia University and its affiliates relating to the Chestnut Ridge facility. While we are at the start of this potential new beginning, I can say with certainty that we are excited to reach an agreement, and if so, we are committed to working with our local, state and federal partners to create public and private sector jobs.”
Gee continued, “We also will prioritize retraining and educational opportunities for recently impacted employees. This endeavor goes to the core of the university’s land-grant mission. We are eager to possibly be a part of this new opportunity to make our community the best it can be.”
The Dominion Post asked WVU about the possibility of the site going off the tax rolls. WVU replied, “It is too early to speculate. Our primary focus is a potential agreement and then on locating employers and working on workforce and educational opportunities for impacted employees.”
Monongalia County Commissioner Jeff Arnett spoke with The Dominion Post about the announcement.
He said, “We’re cautiously optimistic that at least … now there will be someone to talk with and someone to work with that will have local control and will accept local input on what to do. Up until now we’ve been running blind because Viatris hasn’t come to the table to talk to anybody.”
They’ve had inquiries, he said. “We have had no vehicle to discuss it with them.”
But they’re cautiously optimistic there will be a use for the plant, he said, perhaps in a job-creation type of platform.
Regarding possible lost taxes, he estimated the plants total tax bill might be around $2.5 million to $3 million, though he didn’t have specifics. “That would be an overriding concern. We’ll have to work through that with the university.”
The commission has a good working relationship with WVU and Morgantown Area Partnership Director Russ Rogerson has been involved in the talks so far. He’s been the point person on inquiries about the plant.
Sen. Joe Manchin sent out a statement praising the talks. “I am thankful to President Gordon Gee, West Virginia University and Viatris Executive Chairman Robert Coury for working diligently over the last several months to form this significant partnership that will lead to a bright new future for this impressive facility, the region and our entire state,” he said.
“I believe in my heart nobody would be more proud and delighted than Mike Puskar to see his beloved Mylan family and property join forces with the WVU family he cherished so deeply,” Manchin said. “West Virginia University has a proven track record of success when it comes to identifying economic development partnerships that reap benefits for the entire Mountain State. I am confident this partnership will be no different and am hopeful WVU will take this opportunity of a lifetime to create meaningful jobs for this skilled workforce. I am eager to support these efforts in every way I can.”
Coury provided some comments in the Viatris statement on what led to the talks. “Given the present landscape, when thinking about responsible new stewards for the site, as well as its strategic location, future potential uses, and the possibility for job creation opportunities in the short-, medium- and long-term for Morgantown and its surrounding areas, we determined that pursuing formal discussions at this time with WVU and its affiliates is the absolute right next step to consider. This is especially true given that we remain and intend to continue to remain a significant employer in Morgantown, including at our world-class global center of excellence for Research and Development.”
Coury continued, “I also know and have witnessed firsthand the love and the respect that Mike Puskar, Mylan’s co-founder, had for West Virginia University and the tremendous support that he, Mylan and its employees have provided to this critical and highly regarded institution throughout the years. With that in mind, it only seems fitting that we pursue discussions with the university and its affiliates as we continue to seek the best possible solution for the site outside of the Viatris network that is in the best interest of the community and all of its stakeholders.”
Delegate Barbara Evans Fleischauer, D-Monongalia, commented at length. In part, she said, “It is ironic that on the same day Viatris announced it was beginning discussions to transfer the Mylan plant to WVU, I had made plans to meet with representatives of a company that wishes to take over the manufacturing of drugs at the plant. The devil is always in the details, and we probably won’t know the details for some time. Whether this is a win-win or a win-lose remains to be seen.”
“I have major questions and concerns about whether it will be a win for our country, for our community, and for the workers who devoted their lives to making safe medications for the United States and for the world,” she said.
“Most importantly, with the Delta Variant of COVID-19 ravaging India and probably China, what will this transfer mean for the supply of medicines in the United States? This plant was the largest oral solid dosage plant in the world. With the closure of the Mylan plant, 98% of our generics will now be manufactured in foreign countries. Our country is dependent on a safe supply of generic drugs. The Mylan plant has never had a drug recall.”
She continued, “One of my biggest concerns is for the former employees, who had their financial stability yanked out from under them by the closure. What if anything will the Memorandum of Understanding say about them? Will this proposal generate jobs in our state? Will there be jobs at WVU for the former Mylan employees, and will the workers ever again be financially secure? It will continue to be hard for the former Mylan employees to square their financial situation with that of the Mylan/Viatris management.”
She concluded, “As we await more details, it is my sincere hope WVU will be a more responsible steward than Viatris has been.”
Joseph Gouzd, president of United Steelworkers Local 8-957, which represents about 850 of the plant’s workers (most laid off, some still working on the decommissioning), commented, “I wonder if 1,500 people would like to ask WVU if they can become a potential future employer. It really does very little at this point to resolve the fact that 1,500 people are out of work as of Saturday [July 31].”
He concluded, “The building of success that Milan Puskar built hopefully will remain in place. If anything other than that signifies, albeit good, as long as people are employed. But if nothing signifies other than that, Mr. Puskar’s legacy remains standing. Rep. David McKinley said in a statement, “This is a positive step forward. West Virginia University is a world class institution, our state’s largest employer, and can have a profound influence on our state’s economy. We will continue to work with all parties to ensure a positive outcome. I look forward to the next phase of discussions and opportunities.”
TWEET David Beard @dbeardtdp EMAIL dbeard@dominionpost.com
