The Experts in Animal Health

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Brakke Consulting’s
Animal Health News & Notes for January 14, 2011

Copyright © Brakke Consulting, Inc.
Editor: Lynn Fondon, DVM MBA
Brakke news
2011 Industry Overview
earnings news
other news
DentalAire Products
Merial (Centegen)
Merial (Vivalis)
Smiths Medical
Stockade Brands
Ultima Dental Systems

Brakke Consulting will be presenting its annual US Animal Health Industry Overview at the North American Veterinary Conference and the Western Veterinary Conference in 2011.
NAVC Overview
Monday, January 17th, 2011
2:00 – 4:00 pm
Gaylord Palms, Orlando
WVC Overview
Date: Tuesday, February 22, 2011
Time: 2:00 – 4:00 pm
Place: The Four Seasons Hotel, Las Vegas
To register, go to and look for the Overview link in the “What’s New” box.  Payment by major credit card is required at time of registration.
> Cargill reported a profit of $1.49 billion in its fiscal second quarter ended November 30, tripling net earnings in the year-ago period, on strong performances across its five business segments. Sales in the second quarter rose 16% to $31.1 billion. (Meating Place) 
> Centegen Inc announced that it has entered into an exclusive licensing partnership with Merial for the development and global commercialization of its proprietary vaccine, CEN-102, designed to reduce staphylococcal infections in ruminant animals such as cows. Financial details were not disclosed. (Business Wire) 
> Vivalis announced that Merial has signed a new commercial license for the production of a veterinary vaccine using Vivalis’ EB66 cell line. Financial terms were not disclosed. (company press release) 
> IDEXX Laboratories introduced the new and improved SNAP Total T4 Test for the SNAPshot Dx Analyzer. The test is fully quantitative, and reference intervals and interpretive information are directly aligned with the IDEXX Reference Laboratories Total T4 assay. (company website) 
> Ceva Santé Animale announced that it has selected Lenexa, Kansas to maintain and expand its North American corporate headquarters. (company press release) 
> Neogen Corporation announced that its rapid test for Salmonella enteritidis (SE), Reveal for SE, has been determined by the FDA to be equivalent to the FDA’s traditional testing method in accuracy, precision, and sensitivity for detecting SE. (company press release)
> Smiths Medical announced the launch of its new SurgiVet V1030 Hand Held Pulse Oximeter.  Built on a foundation of proprietary technology, the V1030 Oximeter provides fast, reliable SpO2, pulse rate and pulse signal strength measurements across a full range of patients. (company press release) 
> Stockade Brands, Inc. announced it has received FDA approval to manufacture Aureo Anaplaz Block 700, Type C Medicated Feed. This block aids in the prevention of active infection of anaplasmosis caused by Anaplasma marginal susceptible to chlortetracycline. (company press release) 
> DentalAire Products and Ultima Dental Systems announced their mutual decision to dissolve the previously agreed on merger into DentalAire UDS.  (company press release) 
> GroupDVM, an online veterinary purchasing group, announced that the organization has registered its 5,000th member. (company press release)
> DuPont announced the acquisition of Danisco for $5.8 billion. The acquisition also includes the assumption of $500 million in debt. Danisco, based in Copenhagen, Denmark, makes enzyme and specialty food ingredients. ( 
> EU – FEED CONTAMINATION   Germany reported finding pork contaminated with dioxin following the discovery of dioxin-contaminated feed, prompting authorities to order the slaughter and incineration of hundreds of pigs. More than 4,700 farms in Germany were closed following the discovery of the contaminated feed.  The contaminated feed was also shipped to several other EU countries, although most samples had dioxin levels below the allowed maximum. (Meating Place, Reuters)
> KOREA – AVIAN INFLUENZA   South Korea confirmed three new cases of avian influenza at duck farms in the southwestern county of Yeongam, bringing the total number of cases to seven since December 31. (Agence France-Presse)
> BULGARIA – FMD  Bulgaria reported finding 37 cases of foot-and-mouth disease after identifying an infected boar in the southern village of Kosti near the Turkey border.  All farm animals in Kosti will be slaughtered in an effort to contain the spread of the disease. (
> US – NEWCASTLE DISEASE   A new vaccine for Newcastle disease (ND) in poultry has been developed by USDA scientists. Using reverse genetics technology, the new vaccine is made from part of a virus that is similar to the wild-type Newcastle disease virus (NDV) circulating in the environment today. (ARS)
>  US – VETERINARY EDUCATION   Iowa State University announced it will purchase Iowa Veterinary Specialties, a 24-hour animal hospital in Des Moines, for $4.6 million. A partnership would allow Iowa Veterinary Specialties to refer cases to and share expertise with ISU’s Lloyd Veterinary Medical Center in Ames. The hospitals would continue to operate independently. Clinical rotations for ISU students would be available at Iowa Veterinary Specialties. In addition, ISU faculty would be allowed to practice there, with approval from the Des Moines hospital. (Des Moines Register)
ANIMALHEALTHJOBS.COM set a new record in 2010 with over 204,000 visits to our web site for 2010, a 63% increase over our 2009 performance. The web site now has over 12,600 pre-qualified and registered job seekers on the site, most with animal health industry experience and college degrees, including many with advanced degrees.
To see how AHJ can assist you in your company’s recruiting, go to and click on “News and Notes” for more details.
I was particularly struck by the first quarter results for Cargill.  Revenue of $31.1 billion for the quarter with $1.49 billion in earnings are some impressive numbers. Wow!!  Almost all of the Cargill business segments are attached to agriculture or food production in some fashion.
Yesterday, the USDA signaled the prospects of corn and soybean prices for 2011.  Prices for these commodities are already at the highest levels they’ve been since mid-2008, and several market analysts believe we could reach record-setting prices in 2011.  Do you remember what happened to the animal health industry in the fall of 2008? 
High fuel and food prices are not positive for any portion of the animal health industry.  Both animal protein producers and consumers (pet owners) will be under pressure to pay for higher energy costs and food in 2011.  We’ll provide you with our analysis of the possible meaning of the developing market situation in our Overview in Orlando next week.
Have a great weekend and we’ll see many of you next week!!  Travel safely!!
Ron Brakke
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Brakke Consulting, Inc.
2735 Villa Creek, Suite 140
Dallas, TX  75234    USA


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