The Experts in Animal Health

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Brakke Consulting’s
Animal Health News & Notes for March 20, 2009

Copyright © Brakke Consulting, Inc.

Editor: Lynn Fondon, DVM, MBA

earnings news

other news
Dainippon Sumitomo Pharma
Dr Eckel
Parnell Labs
Sud Chemie

Order now to receive early-order discount!

Pain management is one of the leading topics in veterinary medicine today.  The products represent a substantial market segment with potential still to be tapped.

Brakke Consulting’s annual report on Pain Management Products for Dogs and Cats includes such valuable information as:
– overview of acute and chronic pain in small animals
– review of current products
– estimates of US sales and prices of leading products
– pain management products in development
– review of nutritional supplements used for chronic pain
– review of therapeutic diets for joint care
– 2009 survey of over 200 small animal veterinarians regarding use of pain management products

Pain Management Products for Dogs and Cats 2009 can be purchased for $4,995 if ordered by March 31, 2008.  The report will be completed in April.  Questions about the study can be answered by project manager Lynn Fondon, DVM, MBA at 972-243-4033, or email


> Neogen Corporation announced results for its fiscal third quarter ended February 28, 2009.  Company revenues increased 11% to $27.8 million and net income increased 6% to $2.8 million. The Animal Safety Division led the company’s third quarter revenue increase, with sales up 20% to $13.7 million. (company press release)

> Heska Corp. announced results for the full year 2008.  Total revenue was $81.7 million, down 1% compared to $82.3 million in 2007.  The 2008 net loss was $(0.9 million) compared to net income of $34.8 million in 2007. (company press release)


> Pfizer’s Chief Financial Officer stated that the company may have to shed some of its animal health business in order to gain antitrust clearance for its planned purchase of Wyeth, but that any potential asset sales would probably be immaterial, or less than 10% of the company’s combined animal health revenue. (CNN Money)

> Bayer Animal Health announced it is expanding its presence in the Asian livestock markets through licensing agreements with four partner companies. The companies include German feed additive manufacturers Süd-Chemie and Dr Eckel; Danish Novozymes; and Taiwan-based GeneReach Biotechnology Corporation, which manufactures diagnostics for shrimp. (Animal Pharm)

> AgriLabs and Parnell Laboratories announced an exclusive agreement whereby AgriLabs will market the EstroPLAN branded prostaglandin for cattle in the US. (Animal Pharm)

> Tyson Foods Inc. announced it has acquired a minority interest in Freshpet, expanding into the refrigerated pet food area. In addition to supplying meat and poultry product, Tyson will provide its expansive refrigerated distribution network and product innovation capabilities. Meanwhile, Freshpet will lend its experience and knowledge in the pet food market. Products will continue to carry the Freshpet brand. Financial terms were not disclosed. (Meating Place)

> Purina introduced seven new horse feeds designed to help horses obtain a shinier coat, healthier hooves, better body and muscle condition and overall better nutrition in 60 days.  Six of the seven horse feeds contain Purina’s new, patented Amplify Nugget, a palatable and nutrient-rich extruded particle that is easy for horses to digest. (company press release)

> SonoSite, Inc., announced the first remote control for veterinary ultrasound and a new transducer for reproductive and musculoskeletal applications in horses and other large animals. The SonoRemote control is based on Bluetooth wireless technology, can be voice or touch activated and can adjust system controls from within a radius of 10 meters. The new L52x/10-5 MHz transducer is the eighth transducer to join SonoSite’s suite of veterinary probes and is compatible with both SonoSite’s M-Turbo and S-VetMed ultrasound products. (Business Wire)

> JAPAN   Dainippon Sumitomo Pharma announced the Japanese launch of Pronamid Tablets (mosapride citrate) for the treatment of anorexia and vomiting in dogs caused by hypokinesis of upper digestive tract, including the stomach and duodenum. (Animal Pharm)


> US – COOL TAKES EFFECT   A new food safety law took effect on March 16 that requires COOL (Country of Origin) food labels to include point of origin for fresh meats, some fruits, vegetables, and various other foods. Under the new law, a COOL label will identify the geographic source of each animal sold for meat production. (MedHeadlines)

> US – NONAMBULATORY RULE   The US Agriculture Secretary announced a final rule to amend the federal meat inspection regulations to require a complete ban on the slaughter of cattle that become non-ambulatory disabled after passing initial inspection. The final rule requires all cattle that are non-ambulatory disabled (“downer”) cattle at any time prior to slaughter at an official establishment, including those that become non-ambulatory disabled after passing ante-mortem inspection, be condemned and properly disposed of according to FSIS regulations. (Meating Place)

> US – ANTIBIOTIC USE BILL   US Representative Louise Slaughter introduced the Preservation of Antibiotics for Medical Treatment Act of 2009 (PAMTA). The bill amends the Federal Food, Drug, and Cosmetic Act to withdraw the use of seven classes of antibiotics vitally important to human health from use on farms unless animals or herds are sick with disease. The seven classes of drugs that would be revoked from routine use include penicillins, tetracyclines, macrolides, lincosamides, streptogramins, aminoglycosides, sulfonamides and any other drug used to treat bacterial illness in people. (Pew Charitable Trusts)

15 New Jobs Posted!

Within the last 10 days, Animal Health Jobs has posted 15 new Territory Manager positions, 3 Professional / Consultant Veterinary Services positions and a Regulatory Scientist position.  Visit the site and see if these or any of the other positions currently posted are the job you’ve been looking for!


The small number of stories in the newsletter would indicate that many of you have been enjoying spring break this week.  Hopefully, you’ll be back at it shortly and will start creating newsworthy stories.

As I have traveled around the US the past few days, I have picked up the early indications that revenues in the 1st quarter of 2009 are not going to be very impressive.  This should not come as a big surprise, based on the state of the general economy and other actions or lack of actions occurring within our state and national legislatures and the agencies they fund.

We remain particularly concerned with the lack of significant new products entering the marketplace in 2009 and the general lack of innovation.  Investment in R&D and innovation should be a major focus of the industry if there is an expectation of future growth.  It’s easy to justify the reduction of R&D budget in a difficult economy, but if you expect to have new products in the coming years then investments need to be made now.

As I’ve mentioned in our Industry Overviews the past few weeks, we’re seeing more innovation by smaller companies than we are from the large players.  Finding funding to move innovation forward under the current regulatory environment has become almost impossible for start-ups, so a number of these innovations will not be developed. Would you invest in animal health under the current environment?  If you would, give us a call; we have several start-up companies with intriguing product concepts or technologies that need funding.

Have a great weekend and don’t watch too much NCAA basketball!

Ron Brakke

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