The Experts in Animal Health

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Brakke Consulting’s
Animal Health News & Notes for April 23, 2010

Copyright © Brakke Consulting, Inc.
Editor: Lynn Fondon, DVM, MBA
Brakke news
recruiting services
earnings news
Boehringer Ingelheim Vetmedica
OurPet’s Company
other news
Franck’s Pharmacy
Response Products

Since 1986 Brakke Consulting, Inc. has successfully assisted many clients in acquiring exceptional employees at all levels, in the many departments of animal health, pet, veterinary and specialty chemical companies.  
We pre-qualify candidates, allowing clients to choose from a few of the best applicants for a position.  Our approach increases the efficiency and effectiveness of the Human Resources Departments of client companies. For more information, visit us at
> Eli Lilly and Company announced financial results for the first quarter of 2010. Worldwide sales of Elanco animal health division in the first quarter of 2010 were $290 million, an increase of 10% compared with the first quarter of 2009. (company press release)
> Novartis announced results for the first quarter of 2010.  Animal Health experienced growth of 10% in constant currencies. (company communication)
> Boehringer Ingelheim reported results for the full year 2009.  Revenues for the Animal Health division increased by 31% to a total of EUR 610 million ($874 million).  The most important growth driver was the company’s swine vaccine portfolio, including the core product Ingelvac CircoFLEX. (company website)
> IDEXX Laboratories, Inc. reported that revenues increased 14% to $269 million for the first quarter of 2010. Companion Animal Group revenues for the first quarter of 2010 were $221 million, an increase of 14%. (PRNewswire)
> Nestle reported results for the first quarter of 2010.  PetCare sales were CHF 3.2 billion ($3.1 billion), representing 5% organic growth and 2% real internal growth. (company press release)
> OurPet’s Company reported record financial results for its first quarter ended March 31, 2010. Net revenues increased 8% to $3.6 million for the 2010 first quarter. Net income increased 234% to $262,254. (MarketWire)
> Intervet/Schering-Plough Animal Health announced the opening of a state-of-the-art production center for veterinary vaccines against bacterial infections at Biosciences Center Boxmeer.  Intervet/Schering-Plough  invested $22 million in the new building, which has increased the floor space of the bacterial vaccine production unit by more than three-fold from approximately 1500 to over 5500 square meters. (company press release)
> Novartis Animal Health US, Inc. and Hill’s Pet Nutrition announced a new initiative to screen one million dogs for canine arthritis. The “Million Dog Search” includes a simple pain checklist dog owners can use to determine if their pets are suffering from arthritis.  For each checklist and screening completed online, Novartis and Hill’s will donate a dollar to the owner’s charity of choice from a list of seven companion animal groups. The charity with the most donations receives a grand prize of $20,000. (company press release)
> The FDA announced it is seeking an injunction in federal court against Franck’s Pharmacy to prevent the company from introducing adulterated, misbranded, and unsafe animal drugs into interstate commerce. The injunction would permanently bar the company and its chief executive officer from compounding animal drugs from bulk ingredients without FDA approval. According to the FDA, Franck’s has been inspected and warned about its illegal behavior, as recently as December 2009, but it has failed to cease its illegal practices. (
> Response Products announced a voluntary recall of  lot numbers 1210903 and 0128010 of supplement Cetyl M for Dogs because the product could be contaminated with Salmonella. No illnesses have been reported, according to the company.  (APPA SmartBrief)
> JAPAN – FMD   The Japanese government reported suspected cases of foot and mouth disease (FMD) at a farm in Tsuno-cho Koyu-gun in Miyazaki province, prompting the government to suspend beef exports. The ministry has destroyed all 16 head on the farm, started cleaning and disinfection there and put quarantine zones in place around the affected farm. (Feedstuffs)
> US – PETFOOD  The Humane Society of the United States (HSUS) announced the launch of its first ever dog food, Humane Choice.  The dog food is an organic, vegan, soy-based formula. (Petfood Industry)
> US – EQUINE DENTISTRY   Oklahoma’s governor has signed into law a bill that allows non-veterinarians to practice equine dentistry in the state.  The new law reverses an earlier law passed in 2008 that made practicing equine dentistry without a veterinary license, or under veterinary supervision, illegal. Under the bill, the State Board of Veterinary Medical Examiners will certify equine dentists if they have at least 80 hours or training from recognized schools; equine dentists will be recertified annually. The measure also allows horse owners and their employees to buy and administer veterinary prescription sedatives sometimes used in teeth-floating procedures. (
> US – MUMS GRANTS  The FDA announced the publication of a Request for Applications for a grant program to support the development of new animal drugs intended for minor species or minor uses in major species. The grant program was established by the Minor Use and Minor Species Animal Health Act of 2004 and FDA has $750,000 to offer in MUMS grants for the fiscal year ending September 30, 2010. For more information, go to (CVM website)
Congratulations to the AVDA organization in holding one of the best meetings that I’ve attended in sometime.  The educational programs provided thoughts, challenges and insights as to how the animal health business can utilize the rapidly developing social networking alternatives available.  The record number of attendees was treated to a 4-star location with great food and beverage.  It was great to be a part of it.
The first companies to report for 2010 have some impressive growth numbers over prior year.  We look forward to additional first quarter reports, and if they are as positive as these, maybe animal health is showing some signs of having the tough times behind us on the revenue side.  There are still 9 months to go and we remain cautious regarding 2010 year-end results. 
We’d also like to congratulate the FDA on taking some firm action regarding at least one illegal compounder.  As we have mentioned in various venues, illegal compounding is not good for the animal health industry.  Hopefully, we’ll be able to report additional similar actions in the coming weeks and months.
Have a great weekend!
Ron Brakke
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