Healthcare Industry News: sanofi-aventis
News Release - February 25, 2008
Sciele Expands Alliance with Sanofi-Aventis to Market Allegra(R) (Fexofenadine HCL) Orally Disintegrating Tablets (ODT) and Allegra(R) Oral Suspension (OS) in the U.S.ATLANTA--(HSMN NewsFeed)--Sciele Pharma, Inc. (NASDAQ:SCRX ) today announced it has extended its alliance with sanofi-aventis (NYSE:SNY ) by entering into a new exclusive, three-year agreement to market Allegra® Orally Disintegrating Tablets (ODT) and Allegra® Oral Suspension in the pediatric market in the U.S. Under the terms of this agreement, Sciele will be responsible for all sales and marketing programs associated with these products in the U.S. and will share revenues on both Allegra OS and ODT. Sciele expects to launch Allegra ODT in March 2008 through its 100 pediatric sales representatives.
Allegra Oral Suspension, 30mg/5ml (6mg/ml), is indicated for the relief of symptoms such as sneezing, runny nose, itchy nose/palate/throat, and itchy watery, red eyes associated with seasonal allergic rhinitis in children two to 11 years of age. It also is indicated for the treatment of uncomplicated skin manifestations of chronic idiopathic urticaria (CIU) in children six months to 11 years. Allegra ODT, 30mg, treats the same seasonal allergy symptoms and CIU in children 6 to 11 years of age in a convenient formula that dissolves on the tongue and can be taken with or without water.
Patrick Fourteau, president and Chief Executive Officer of Sciele Pharma, Inc., commented, "We are pleased to expand our alliance with sanofi-aventis, and are excited about the anticipated launch of Allegra ODT by our Pediatric sales force. We continue to execute our strategy of forming partnerships with major pharmaceutical companies to capitalize on the full market potential of key branded products and maximize profits in cost-efficient manner."
Important Safety Information
Allegra ODT contains phenylalanine, a component of aspartame. Other Allegra products do not contain phenylalanine.
Side effects with Allegra Oral Suspension 30mg/5mL for seasonal allergies are low and may include vomiting, diarrhea and/or runny nose.
Side effects with Allegra 30mg for seasonal allergies are low and may include cough, common cold, fever and/or ear infection.
For additional important information, please visit http://products.sanofi-aventis.us/allegra/allegra.html.
About Sciele Pharma, Inc.
Sciele Pharma, Inc. is a pharmaceutical company specializing in sales, marketing and development of branded prescription products focused on Cardiovascular, Diabetes, Women's Health and Pediatrics. The Company's Cardiovascular and Diabetes products treat patients with high cholesterol, hypertension, high triglycerides, unstable angina and Type 2 diabetes; its Women's Health products are designed to improve the health and well-being of women and mothers and their babies; and its Pediatrics products treat allergies, asthma, coughs and colds, and attention deficit and hyperactivity disorder (ADHD). Founded in 1992 and headquartered in Atlanta, Georgia, Sciele Pharma employs more than 900 people. The Company's success is based on placing the needs of patients first, improving health and quality of life, and implementing its business platform – an Entrepreneurial Spirit, Innovation, Execution Excellence, Simplicity, and Teamwork.
Safe Harbor Statement
This press release contains forward-looking statements that are subject to risks and uncertainties that could cause actual results to materially differ from those described. Although we believe that the expectations expressed in these statements are reasonable, we cannot promise that our expectations will turn out to be correct. Our actual results could be materially different from and worse than our expectations. With respect to such forward-looking statements, we seek the protections afforded by the Private Securities Litigation Reform Act of 1995. These risks include, without limitation:
We may not attain expected revenues and earnings. If we are unsuccessful in obtaining or renewing third party payor contracts for our products, we may experience reductions in sales levels and may fail to reach anticipated sales levels. If demand for our products exceeds our initial expectations or the ability of our suppliers to provide demand-meeting quantities of product and samples, our future ability to sell these products could be adversely impacted. The potential growth rate for our promoted products may be limited by slower growth for the class of drugs to which our promoted products belong and unfavorable clinical studies about such class of drugs.
We may encounter problems in the manufacture or supply of our products, for which we depend entirely on third parties. Strong competition exists in the sale of our promoted products, which could adversely affect expected growth of our promoted products' sales or increase our costs to sell our promoted products. We may not be able to protect our competitive position for our promoted products from patent infringers. If generic competitors that compete with any of our products are introduced, our revenues may be adversely affected.
Certain of our products have experienced manufacturing issues. If the issues recur and cannot be resolved, our ability to acquire product for sale and sampling will be adversely affected. We may incur unexpected costs in integrating new products into our operations.
We may be unable to develop or market line extensions for our products or, even if developed, obtain patent protection for our line extensions; further, introductions by us of line extensions of our existing products may require that we make unexpected changes in our estimates for future product returns and reserves for obsolete inventory. If these risks occur, our financial results could be adversely affected.
If we have difficulties acquiring new products or rights to market new products from third parties, our financial results could be adversely impacted. Our licensor/supplier can terminate our rights to commercialize Nitrolingual and the 60mg. dose size of this product has not yet met our expectation. We may not experience the beneficial results of our acquisitions that we expect to receive, and the acquired products may not meet our sales expectations.
We depend on a small senior management group, the departure of any member of which would likely adversely affect our business if a suitable replacement member could not be retained.
An adverse interpretation or ruling by one of the taxing jurisdictions in which we operate could adversely impact our operating results. An adverse judgment in the securities class action litigation in which we and certain current and former directors and executive officers are defendants could have a material adverse effect on our financial results and liquidity. Our business is subject to increasing government price controls and other healthcare cost containment measures. Side effects or marketing or manufacturing problems with our products could result in product liability claims which could be costly to defend and could result in the withdrawal or recall of products from the market which would adversely affect our business. We may be found noncompliant with applicable federal, state or international laws, rules or regulations which could result in fines and/or product recalls or otherwise cause us to expend significant resources to correct such non-compliance.
A small number of customers account for a large portion of our sales and the loss of one of them, or changes in their purchasing patterns, could result in substantially reduced sales, substantially and adversely impacting our financial results. If third-party payors do not adequately reimburse patients for our products, doctors may not prescribe them.
We rely on operational data obtained from IMS, an industry accepted data source. IMS data may not accurately reflect actual prescriptions (for instance, we believe IMS data does not capture all product prescriptions from some non-retail channels).
Our business and products are highly regulated; the regulatory status of some of our products makes these products subject to increased competition and other risks; and we run the risk that we, or third parties on whom we rely, could violate the governing regulations.
Some unforeseen difficulties may occur.
The above are some of the principal factors that could cause actual results to differ materially from those described in the forward-looking statements included above. These factors are not intended to represent a complete list of all risks and uncertainties inherent in our business, and should be read in conjunction with the more detailed cautionary statements and risk factors included in our other filings with the Securities and Exchange Commission.
Source: Sciele Pharma
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