The Experts in Animal Health

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Brakke Consulting’s
Animal Health News & Notes for May 1, 2009

Copyright © Brakke Consulting, Inc.

Editor: Lynn Fondon, DVM, MBA

earnings news
Fort Dodge

other news
Boehringer Ingelheim Vetmedica
DRE Veterinary
Mars PetCare
Nutramax Labs
Pets Best Insurance
Summit VetPharm

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> Pfizer Inc. reported financial results for first-quarter 2009. Animal Health revenues for first-quarter 2009 were $537 million, a 13% decline compared with the year-ago quarter. (company website)

> Wyeth reported results for the 2009 first quarter ended March 31, 2009.  Revenues for animal health division Fort Dodge were $276 million, flat compared to the first quarter of 2008; revenues increased 13% excluding the effect of foreign exchange. (company website)

> Bayer reported results for the 2009 first quarter.  Animal Health sales were EUR 228 million ($301 million), a decline of 3% compared to the first quarter of 2008. (company website)

> Heska reported financial results for its first quarter ended March 31, 2009.  Net revenues were $20 million, down from $22 million in the first quarter of 2008.  Net income was $460,000 compared to a net loss of $(226,000) in the first quarter of the prior year. (company press release)

> Orion reported results for the first quarter of 2009.  Animal health sales fell by 8% to EUR 15.2 million ($19.9 million), down from EUR 16.6 million a year ago, largely as a result of lower sales of animal sedatives. (Animal Pharm)

> Colgate-Palmolive Company reported results for the first quarter 2009. Hill’s sales grew 0.5% to $506 million during the quarter on unit volume that declined 7%. (company press release)

> Abaxis, Inc. reported financial results for the fiscal year ended March 31, 2009. Veterinary market revenues were $74 million, an increase of 4% compared to the prior year. (PR Newswire)

> MWI Veterinary Supply, Inc. reported that in its fiscal second quarter ended March 31, net income increased 32% to $5.8 million, compared to the second quarter last year. The company’s quarterly revenues rose 10% to $215 million. (RTT News)


> Pfizer Animal Health announced the launch of a single-application vaccine to prevent infectious bovine keratoconjunctivitis, also known as pinkeye, caused by Moraxella bovis. SolidBac Pinkeye IR/PR uses a delivery system called SoliDoser that allows two doses of the vaccine to be injected at once. (Animal Pharm)

> Boehringer Ingelheim Vetmedica, Inc. announced the formation of the equine Joint Health Management (JHM) program, an education program for veterinarians and horse owners designed to prevent and treat equine joint problems. (company press release)

> Summit VetPharm announced that Vectra 3D has been granted expanded label claims by the EPA. Vectra 3D’s triple-action formula provides protection against six common vectors: ticks, fleas, mosquitoes, sand flies, mites and lice. (company press release)

> Veterinary Products Laboratories introduced  Harmonease Chewable Tablets, a proprietary blend of a patented extract from Magnolia officinalis and a patented extract from Phellodendron amurense.  The synergistic effect of these natural compounds binds to selective targets in the central nervous system associated with stress, but not to the receptors that would cause lethargy and muscle relaxation. (company press release)

> Nutramax Labs announced the launch of Proviable-EQ for horses, a digestive supplement designed to help re-establish and maintain intestinal health. Proviable-EQ contains a source of live naturally-occurring microorganisms, including Saccharomyces boulardii and Saccharomyces cerevisiae. (Feedstuffs)

> DRE Veterinary launched the DRE Compact Mini, a tabletop non-rebreathing anesthesia machine designed for use on rodents and other small animals. It features a handle for easy transport, and is available with a new or professionally calibrated isoflurane or sevoflurane vaporizer. (PRWeb)

> Mars Petcare US announced plans to develop a new, state-of-the-art research and development facility at their existing manufacturing site in Kansas City, MO.  The facility currently produces Greenies dental treats. The new lab will accommodate Mars Petcare US R&D operations across a number of brands.  The company also has future plans to update production capabilities at the site. (company press release)

> Lallemand Animal Nutrition announced the launch of Micro-Cell Gold, a new direct-fed microbial product for cattle fed diets containing distillers grains plus solubles.  Micro-Cell Gold contains a combination of Lactobacillus acidophilus BT1386 and Lactobacillus buchneri 40788.  (Feedstuffs)

> Nutro Products, Inc. announced that its Greenies products will now be offered exclusively through veterinary hospitals and pet specialty retailers. (

> Royer Animal Health, LLC, announced an exclusive distribution agreement with MWI Veterinary Supply, Inc. to market its lead animal health products: Matrix III Cisplatin Beads and R-Gel Antibiotic Wound Dressing.  These proprietary, timed-release products provide veterinary professionals with localized treatment options for cancer, infections, and general wound management. (PR Newswire)

> Pets Best Insurance and ChaseHealthAdvance, part of Chase Card Services, announced an alliance to help cover expenses for pets without insurance or treatments not covered by insurance.  The alliance will offer 12-, 18- and 24-month, no-interest payment plans and instant credit decisioning to help make more treatments affordable to more pet owners.  (company press release)


> WORLD – SWINE FLU   The USDA answered frequently asked questions on the relationship between swine and the hybrid swine, avian and human influenza virus that has killed more than 100 people in Mexico and infected some people in the US and in other countries. USDA Deputy Secretary Kathleen Merrigan and others reported that the World Health Organization and the Centers for Disease Control and Prevention will join other agencies of the US government in ceasing to use the term “swine flu.”  The US agencies will use “2009 H1N1 flu” and the WHO will use “influenza A (H1N1).” (Meating Place)

> US – ORGANIC AGRICULTURE SURVEY   The USDA announced it will conduct the first wide-scale survey of organic farming in the US to find out how the growth of organic farming is changing the face of US agriculture. The survey will look at various aspects of organic farming during the 2008 calendar year, from production and marketing practices to income and expenses. NASS will publish results next winter. (Meating Place)

MAY 12-13, 2009

The Animal Agriculture Alliance’s Eighth Annual Stakeholders Summit will be held May 12-13, 2009 in Alexandria, Virginia.  This year’s topic is Politics, Activism and Religion: Influencing the Debate on Animal Welfare in America.

For more information please go to


It’s starting to be a trend!  The first 7 of the top 10 companies that have reported have combined revenue declines of 7% for the first quarter of 2009 compared to 2008.  We’ve had some indications that at least one additional company in the top 10 will have declines and two others will show some increase for the period. Unless something changes quickly, our early prediction that unit and dollar volume will be down in 2009 compared to 2008 will become a reality. While there are some faint signs of improvements in the economy, most economists, including senior officials of the Federal Reserve, believe it will be the fourth quarter of this year before we see positive changes.

To add to our problems, the H1N1 virus has taken on the name of “swine flu” around the world and here in the US.  Currently, various government agencies are providing alternative names to reduce the impact on the sale of pork and the swine industry.  Hopefully this effort to correctly name the virus is not too late.  The virus currently has brand recognition as swine flu.   Re-branding is unlikely to be successful in the public’s mind. The best we can hope for is that the current virus epidemic will pass quickly and we’ll soon return to normal activities.

Have a great weekend!!

Ron Brakke

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