Par Pharmaceutical Companies Inc. Q1 2008 Earnings Call Transcript

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2008-06-02 07:54:17.0

Tags: Par Pharmaceutical Companies Inc.

Question-and-Answer Session

Operator

(Operator Instructions). Randall Stanicky.

Randall Stanicky - Goldman Sachs

Great. Thanks guys for the question. Just a couple. First, highlighting the 30-month expirations, can you just talk about your strategy there in terms of monetizing your view to at-risk launch partnering? And then maybe can you just drill down a little bit, as you talk about some of these products, can you give us a little bit more detail on which products are partnered? And then going forward, your strategy to going alone on first-to-file filings versus partnering on some of these opportunities?

Paul Campanelli

Okay. Randall, this is Paul. Regarding the 30-month stay and launching at risk, obviously it's fairly early in several of the products. As we build our cases with our internal and external legal teams, we will assess the basis of potentially launching at risk, but at this time I would say it is premature in that regard. Could you just repeat the second part of your question, please?

Randall Stanicky - Goldman Sachs

Yes, as you look at, for example, your 6 to 10 first-to-files per year, historically Par has relied or been involved with partners on a lot of those opportunities. Much more of that has changed obviously. So, as you look at that targeted strategy, how much are you going to rely on partners versus internally generated first-to-files?

Paul Campanelli

Right, sure. So historically I would say that about 65% of our pipeline had been external. We are now shifting it actually about 65%, 70% to now internal development. So, as we move into the future, clearly the majority of our products are going to be internally developed as first-to-files.

Randall Stanicky - Goldman Sachs

Okay. Actually two real specific there. First of all, on TOPROL XL, can you just talk about the trends around that product given what we're seeing from a marketshare perspective?

Paul Campanelli

On Metoprolol? Currently we're holding about 30% of the market.

Randall Stanicky - Goldman Sachs

And how are you looking from a pricing perspective? How do we think about that going forward?

Paul Campanelli

Well, right now I would tell you that we are fairly flat. We are not seeing too much price erosion at this particular time. We were monitoring the approvals that were listed at the FDA website in March. I will tell you at that time, we had not seen any additional competitors come to the market. While they have approval letters, there were no further entries. So there is no need to erode price. If and when these two other companies eventually come to the market, we're well-poised. We have product, and we plan on defending our share. But at this time we see pricing to remain fairly flat.

 

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