» 2008

Animal Health News & Notes for April 4, 2008 4/4/2008

printer friendly version

*******************************************************************
Brakke Consulting's
Animal Health News & Notes for April 4, 2008

Copyright © Brakke Consulting, Inc.
 
Editor: Lynn Fondon, DVM, MBA
*******************************************************************
JUMP TO:
 
earnings news
Animalcare
Evialis
Swift
 
 
other news
Aviagen
Bremer Pharma
Imulan
Menu Foods
Oasmia Pharmaceutical
Orion
Phibro
Schering-Plough
T-Cyte
TR BioSurgical
Vetnex
 
*******************************************************************
COMPANY EARNINGS RELEASES
 
> Evialis reported an operating profit of EUR 8.2 million ($11.2 million) on sales of EUR 759 million ($1.04 billion)  in the year ended December 31, 2007, compared with EUR 8.5 million and EUR 637 million the previous year. Acquisitions made during the year added EUR 26.5 million to revenues; these included feed businesses Bernequa in Belgium and Zoofort in Brazil, together with Nutreco's French premix operations and those of Rossovit in Russia. (Animal Pharm)
 
> JBS reported that Swift's beef segment, in the fourth quarter ended Dec. 30, 2007, lost $101 million. The company cited higher freight costs owing to record diesel prices.  Sales for the US beef segment were $1.75 billion for the quarter. Pork earnings surged to $40.5 million. (Meating Place)
 
> UK-based Animalcare reported an unaudited loss of GBP 5,000 ($10,000) on sales of GBP 3.4 million ($6.8 million) in the six months ended December 31, 2007, compared with a surplus of GBP 122,000 on a turnover of GBP 3.8 million in the same period of 2006. Animalcare was formed in mid-January through the merger of Ritchey plc, the animal identification and livestock supplies business, and Animalcare, the former veterinary product wholesale operation that was part of the Genus animal genetics business. (Animal Pharm) 
 
*******************************************************************
COMPANY NEWS RELEASES
 
> Schering-Plough announced a sweeping cost-elimination program "to avoid and reduce costs and increase productivity," including management and product line restructuring that will affect every area of the company. The program's goal is to cut $1.5 billion of corporate-wide costs, or 10% of the company's 2007 costs, and will eliminate 5,500 of the company's 55,000-person worldwide workforce.  $500 million of savings will reportedly come from previously announced synergies that were foreseen in the integration of Organon BioSciences. (Feedstuffs)  
 
> Quoted Private Equity Ltd. reported it has raised its stake in Phibro Animal Health Corp. to 29.87% from 19.5% following the purchase of 8.91 million additional Phibro shares for $44.55 million in Phibro's placing as it started dealings on London's AIM . QPE also plans to subscribe for additional Phibro shares alongside its planned AIM admission, which would take its aggregate shareholding in PAHC to between 25 and 30 percent. (Forbes)  
 
> Menu Foods Income Fund announced it has reached an agreement in principle to settle lawsuits it is facing over its recall of contaminated pet food last year.
The deal is subject to several conditions, but the parties involved have advised the court they are confident a definitive agreement can be reached. The settlement amount was not disclosed. (AnimalNet - Reuters)
 
>  Imulan BioTherapeutics announced the launch of Lymphocyte T-Cell Immunomodulator (LTCI), a treatment for feline leukemia virus (FeLV) and feline immunodeficiency virus (FIV). The company says LTCI is the first and only approved treatment in the US for the two viruses. It is manufactured by T-Cyte Therapeutics, and has a conditional approval from the USDA's Center for Veterinary Biologics. (Animal Pharm) 
 
> TR BioSurgical LLC reported promising preliminary findings for its new veterinary glaucoma device, called TR-ClarifEYE.  TR-ClarifEYE consists of a unique, porous biomaterial that results in enhanced tissue integration and a reduction in fibrosis, two key properties in the control of glaucoma.  TR-ClarifEYE is surgically implanted to recreate the appropriate flow of ocular fluid from the anterior chamber to the vascular network. (company press release) 
 
> Aviagen Group announced a corporate restructuring in which the group was divided into two distinct divisions: Aviagen Broiler Breeding and Aviagen Turkeys & Other Operations. Aviagen breeds and markets the Arbor Acres, Ross and L.I.R. chicken genetics, and breeds and markets the BUT and Nicholas turkey genetics. (Feedstuffs)
 
> RFCL Limited announced its first global acquisition in veterinary healthcare through a share purchase agreement with Marsing & Co Limited A/S for its German-based subsidiary Bremer Pharma GmbH. Bremer has provided research and manufacturing of veterinary medical preparations of all formulations for over 26 years and has 803 global registrations across Europe, Middle East, Asia and Africa. Bremer will be integrated into RFCL's Vetnex business.  Financial terms were not disclosed. (India Times)  
 
> EU   Oasmia Pharmaceutical announced a licensing agreement with the Animal Health business of Orion Corporation for the veterinary product Paclical Vet (paclitaxel), a cytostatic treatment for mastocytoma in dogs. The agreement gives Orion exclusive sales and distribution rights for the Nordic countries and Poland, the Czech Republic, Slovakia and Hungary. Oasmia will receive EUR 2 million in up-front payments plus significant royalties on all sales.  (SunHerald.com)
 
*******************************************************************
12th Annual Distillers Grains Symposium
May 21-22, 2008
Kansas City
 
The 12th Annual National Symposium will provide the latest information on distillers grains marketing/ merchandising, animal nutrition, procession technologies, and governmental regulations.  Distillers grains has grown to over 16 million tons, making this a must-attend meeting to stay current and knowledgeable for feed manufacturers, livestock nutritionists and producers.
 
For more information, contact Michelle Harper at 800-759-3448 or go to http://www.distillersgrains.org/symposium/ .
 
*******************************************************************
ANIMAL HEALTH NEWS
The USDA announced the availability of $16.8 million in emergency funding to continue efforts to eradicate bovine tuberculosis in California, Michigan and Minnesota. The emergency funding will be used to depopulate known tuberculosis-affected cattle herds and for enhanced surveillance, not only to identify affected herds but also to determine the source of infection. This enhanced surveillance will include free ranging white-tailed deer in Minnesota and Michigan, a possible source of the disease.  (Meating Place)
 
> US - VETERINARY SCHOOL   Texas A&M University's College of Veterinary Medicine & Biomedical Sciences will be adding a veterinary imaging and cancer treatment center. The center will add an MRI and a linear accelerator. The addition of MRI capabilities will help veterinarians to image and diagnose many conditions and diseases, especially those of the brain and spinal cord. The cancer center will house a linear accelerator, a tool that utilizes X ray and electron beams to treat cancerous tumors in both large and small animals. (TheHorse)
 
> UK - VIRUS DETECTION   Scientists from the Institute for Animal Health have developed a microarray which contains specific small regions of virus genes that react with any viruses in the samples being tested, showing up as colored spots on glass slides. The method can also be used to see if a sample contains two or more viruses. The new microarray can detect up to 300 different viruses that infect humans and animals. (Science Daily)
 
SOUTH KOREA   A study has demonstrated that the H3N2 avian influenza virus, which has killed dogs in South Korea, can spread from one dog to another.  Tests on specimens collected from three dogs showed they were infected with H3N2 viruses closely resembling those found in chickens and doves in South Korea in 2003.  Viruses taken from sick dogs were used in an experiment to see if pathogens were capable of spreading from dog to dogThe research was published in the May issue of Emerging Infectious Diseases journal.)
 
*******************************************************************
BRAKKE CONSULTING VIEWPOINT
 
The news this week covers a number of smaller technologies that are making their way to the marketplace.  When will some of the larger products or blockbusters alleged to be development reach commercialization?  The market could use a bit of excitement, if what we’re hearing from manufacturers and distributors for the first quarter is correct.  The first quarter is being reported as soft by most firms, with a couple indicating a surge upwards in March. 
 
We hope you each noted the Distillers Grain Symposium in Kansas City in May.  It appears that distiller’s grains will continue to increase as a percentage of the food animal and possibly pet food rations.  We believe that it will be important for many companies to understand how this shift in rations could have a positive or negative impact on their product mix.  Shifts of this type, which appear to be long-term, also can offer opportunities for those that understand the implications. 
 
Have a great weekend!!
 
Ron Brakke
 
******************************************************************
This electronic newsletter is the sole property of Brakke Consulting, Inc.
Any use of the contents herein should be approved by and appropriately attributed to Brakke Consulting, Inc.
For more information about Brakke Consulting's services and syndicated studies, visit our website at www.brakkeconsulting.com.
 
Brakke Consulting, Inc.
2735 Villa Creek, Suite 140
Dallas, TX  75234    USA