Erectile dysfunction medicine.

In June, Eli Lilly said it planned to close the factory unless an alternative drugs firm could take over the Basingstoke site and its 555 employees.

No buyer was found and manufacturing will stop at the end of 2007.

Company directors have said the cuts have been made due to “over capacity” and they hope to relocate some employees to other UK sites.

The company had carried out employee on the closure and has said about 100 employees will be eligible for retirement.

US-based Eli Lilly manufactures medicines including Prozac, a treatment for clinical and Cialis, a treatment for erectile dysfunction.