Drugmaker warns sales will be flat for the year

GlaxoSmithKline warned that sales in 2012 would be flat as pressure on drug prices intensifies in Europe, due to government austerity measures aimed at curbing healthcare bills.

The worsening situation in Europe is a challenge for the drugmaker which had previously forecast a return to sales growth this year after putting patent expiries and a record-breaking mis-selling fine in the US behind it.

The company employs 370 people in Cork.