The Experts in Animal Health

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Brakke Consulting’s
Animal Health News & Notes for September 28, 2012
Copyright © Brakke Consulting, Inc.
Editor: Lynn Fondon DVM MBA
Brakke news
Industry Roundtable
earnings news
other news
Boehringer Ingelheim
For The Earth
Oasmia Pharmaceutical
Orsco Laboratoire Vétérinaire
Prestige Pet Products
Purina Animal Nutrition
Science Supplements
Therapeutic Vision
First Steps in Commercialization:
Market Research and Intellectual Property Issues

Following their successful inaugural roundtable in June, Brakke Consulting and Stinson Morrison Hecker LLP will hold the second Animal Health Breakfast Roundtable in Kansas City on October 10. The Roundtable will feature John Mannhaupt and Susan Warren, both from Brakke Consulting, who will lead discussions on resources for evaluating the animal health marketplace as well as intellectual property issues to consider for animal health products, including compounding and new uses for existing products.

The program will begin at 8 a.m. at 1201 Walnut Street, Suite 2900 in Kansas City. There is no charge, but you must register to attend. The deadline for online registration is October 5. To register online, go to 
> Neogen Corporation announced results for the first quarter of FY 2013 ended August 31. First quarter revenues increased 9% to $50 million. Independent of revenues from the Igenity animal genomics business acquired in the fourth quarter of FY 2012, the company’s revenues increased 8%. Net income increased 12% from the prior year to $6.7 million. Animal Safety revenues were $23.5 million, an increase of 5% compared to the comparable period in the prior year. (company press release)
> Boehringer Ingelheim announced the opening of its European Research Center for animal vaccines in Hanover, Germany. The company has invested more than EUR 40 million in the “Boehringer Ingelheim Veterinary Research Center” (BIVRC). (
> Vétoquinol announced the acquisition of Orsco Laboratoire Vétérinaire. Orsco posted 2011 sales of EUR 4.3 million. The company’s products include Zylkène, which is recommended to combat stress in dogs, cats and horses. Financial terms were not disclosed. (company website)
> IDEXX Laboratories, Inc. announced several new diagnostic test features for the ProCyte Dx Hematology Analyzer and LaserCyte Hematology Analyzer. ProCyte Dx analyzer customers will now receive important diagnostic information on band, or immature, neutrophils and nucleated red blood cells. In addition, both analyzers will have the capability of running other body fluids, such as abdominal and thoracic fluids, and the validated capability to run several additional species. (company website)
> The FDA granted Minor Use Minor Species (MUMS) to designation to Oasmia Pharmaceutical for Doxophos Vet (doxorubicin) for the treatment of lymphoma in dogs. (CVM)  
> The FDA granted Minor Use Minor Species (MUMS) to designation to Therapeutic Vision, Inc. for Kinostat (2-MS) for the prevention of diabetic cataracts in dogs. (CVM) 
> Purina Animal Nutrition announced a strategic partnership with Science Supplements, a UK-based company that produces a range of products from hydration to joint supplements. (Feedstuffs)
> For The Earth Corp. announced the acquisition of Prestige Pet Products Inc.  Financial terms were not disclosed. (Pet Product News)
> JAPAN  Pfizer Animal Health announced the launched of Injectable ProHeart 12 (moxidectin) treatment for the prevention of heartworm in dogs onto the Japanese market. (Animal Pharm)
> US – FDA  The FDA is extending to November 26, 2012, the comment period for the advance notice of proposed rulemaking (ANPRM) that appeared in the July 27, 2012, Federal Register. The ANPRM stated that FDA was soliciting comments from the public on possible enhancements to the existing requirements related to the collection of antimicrobial drug sales/distribution data as well as input on alternative methods for monitoring antimicrobial use in food-producing animals.  The agency invites comments on all aspects of ADUFA 105, available online at: . (FDA)
This is the last business day of the third quarter of the year and it appears that managers are focusing on making their third quarter forecasts. We’ve heard from a number of companies that revenues continue at about the same pace as the first two quarters. There could be a couple of bumps in the road in the food animal sector in the fourth quarter because of commodity prices and drought conditions. The movement of calves from poor pastures to feedlots was higher than normal during the third quarter. The cost of producing pork is putting pressure on the herd numbers as some operations are moving the pigs to market earlier to avoid feeding them.

The companion animal market remains relatively positive; however, there appears to be some reluctance to spend heavily at the companion animal veterinary clinic. Earlier this week an article in USA TODAY estimated that pet owners will spend around $370 million this year on Halloween costumes for their pets. If correct, it seems in some pet owner’s minds that dressing your pet up for Halloween may be more important than preventative health care. Interesting pet owner behavior!!

Have a great weekend!
Ron Brakke
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