The Experts in Animal Health

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Brakke Consulting’s
Animal Health News & Notes for August 12, 2011

Copyright © Brakke Consulting, Inc.
Editor: Lynn Fondon, DVM MBA
Brakke news
earnings news
Boehringer Ingelheim Vetmedica
Spectrum Brands
Tyson Foods
other news
Anacor Pharmaceuticals

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.
> Boehringer Ingelheim reported results for the first half of 2011. Sales for Boehringer Ingelheim Vetmedica grew 3% in local currency terms to EUR 468 million ($673 million) in the first half of 2011, attributable primarily to growth in sales of Ingelvac CircoFLEX swine vaccine. (company website)
> Nestle reported financial results for the first half of 2011.  Pet Care sales were CHF 4.79 billion ($5.7 billion), representing organic growth of 2%. (company press release)
> Novozymes reported results for the second quarter of 2001, with operating profit of DKK 578 million ($112 million), up 1% from the same period in 2010. Revenues increased by 3% to DKK 2.5 billion ($484 million). Sales of the company’s feed enzyme division grew by 1% in the first half of the year. (Animal Pharm)
> Balchem Corporation reported results for the second quarter of 2011.  The animal nutrition and health division set a new quarterly sales record of $51.8 million dollars in the second quarter, spurred by an improvement in sales to the global dairy sector. (Animal Pharm) 
> Spectrum Brands reported results for its fiscal third quarter ended July 3, 2011. The Global Pet Supplies Business segment reported net sales of $144 million for the third quarter of fiscal 2011, an increase of 6% compared with the comparable year-ago period. (Business Wire)  
> Tyson Foods Inc. reported results for its fiscal 2011 third quarter ended July 2, with all business segments recording profits. Tyson reported net earnings of $196 million on sales of $8.2 billion, compared with earnings of $248 million on sales of $7.4 billion in its fiscal 2010 third quarter. (Feedstuffs)
> Novartis Animal Health announced that Atopica for Cats (cyclosporine oral solution), a treatment for chronic allergic dermatitis, has been approved by both the US FDA and Competent Authorities in the EU. (company press release)
> Anacor Pharmaceuticals announced that it has achieved the first development candidate in its animal health collaboration with Elanco. Anacor’s research collaboration explores the use of Anacor’s boron chemistry to discover products for a variety of animal health applications. Under the terms of the collaboration, Anacor will receive a $1 million payment for achieving this milestone. (Business Wire) 
> IDEXX Livestock and Poultry Diagnostics announced the worldwide release of the IDEXX Bovine Pregnancy Test. The IDEXX Bovine Pregnancy Test accurately detects pregnancy-associated glycoproteins (PAGs) in serum or EDTA plasma just 28 days after breeding and without interference from a previous pregnancy as early as 60 days after calving. (company press release) 
> petMD and Hill’s Pet Nutrition announced that they have partnered to create MyBowl for dogs, an interactive tool designed to put dog nutrition in terms people can understand. (PRNewswire) 
> Equi-Force Equine Products announced the launch of Equitivia equine probiotic. Equitivia contains bacterium Lactobacillus reuteri, an equine-origin bacterium cultured from the colon of the horse. In addition to its viability and equine specificity, L. reuteri has been shown to inhibit the growth of Salmonella. (
> US – ANIMAL ID  USDA’s Animal and Plant Health Inspection Service proposed a new livestock identification rule. Under the proposed rule, unless specifically exempted, livestock that is moved interstate would be required to be identified and accompanied by an interstate certificate of veterinary inspection or other documentation, such as owner/shipper statements or brand certificates. The program would be mandatory upon implementation.  It would be administered by the states and tribal nations to provide more flexibility. To read the proposed rule, go to (Pork Network)

The Kansas City Animal Health Corridor cordially invites the animal health industry to join us for an exclusive gathering of animal health CEOs and industry leaders from across the country and around the world.  Highlights include celebrity guest Ty Murray, the “King of Cowboys,” and Iron Paw honoree Joerg Ohle.
For details or to register for the event, go to
It’s been an interesting week in the financial markets to say the least. The issues impacting the world financial markets make the animal health industry an attractive place for some serious investments.  The continued revenue growth in the food and companion animal segments so far this year is really impressive when matched against other product areas for the same period.  Almost all of the companies participating in animal health are showing positive results for the first 6 months.  Now we’ll see what happens in the second half of the year.  If there is a double dip recession, as is being suggested by several economists, we’d expect revenues to be below expectations the next 6 months.  We’ve heard from some clients that July revenue was soft and August appears sluggish at this point. We still predict positive revenue numbers for the industry for the full year.
Here in Dallas we fell two days short of breaking the record of 42 consecutive days above 100 degrees Fahrenheit when the temperature only reached 97 on Thursday. Unfortunately there is no real relief in sight, with highs over 100 in the foreseeable future!!
Have a great weekend and stay cool!!

Ron Brakke

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