Roopesh Patel (UBS): You had two price increases taken over the six-month period, totaling 12% on Celebrex in the US market. Are you satisfied with how things have turned out?
Ian Read: Celebrex offers value to patients and that is reflected in the way we are commercializing the product this year. The market growth is anemic and we are still focused on reestablishing market growth and script growth for Celebrex. To get to that we need to deal first of all with the CV issue and put it in perspective and we are leading with that in our discussions with physicians, both with the field force and with medical-to-medical and through DTC. When we ran the DTC over this issue in the second quarter, we did see a response in market share. We will be back into the fourth quarter and the first quarter heavily on this area in DTC to reestablish to growth trend on scripts for Celebrex.
Roopesh Patel (UBS): What is the opportunity for Celebrex in Japan?
Ian Read: We are working through indications and registrations in Japan and when that is complete, we also have to work through pricing and depending upon that, we can get to the opportunity in Japan.
George Grofik (Citigroup): Could you give a sense for the Part D pricing environment, and to what degree you may have seen more pressure on that business relative 2007?
Ian Read: The land grab was made early on and Part D is becoming more competitive and the negotiations to be more competitive. There is more pressure vis-à-vis the net access and rebase and I expect that to be reflected in 2008.
George Grofik (Citigroup): In past several weeks, across the market, growth is low to mid single-digit. What do you believe is causing that slowdown and what you anticipate will reinvigorate growth in the market to your expectation of high single-digit?
Ian Read: I do not have any specific data anecdotally from distributors and from people we speak to. There maybe an issue of the Donut Hall and some resistance as seniors get close to that, may be causing a slow up. My belief is that, we can expect high single-digits for the statin market in 2008.
Tony Butler (Lehman Brothers): In your management team you have been rapid to execute some costs reduction. What are the next 12 months holding for you and what are your true objectives over this very finite period of time?
Jeff Kindler: When I started in this job and our current team start in this job, it was clear to us that this business needed to be fixed in a lot of ways. We needed to get down to the foundation of this company and rebuild some basic elements of it brick-by-brick. I would say, as examples, four big areas that we have been addressing, with a great deal of intensity, are pursuable, focus and accountability that required both changes in the culture but also organizational changes. Second is improving our leadership cadre. Third is a disciplined approach to capital allocation and prioritizing our investments. Starting to get into the habit of understanding that we can not do all things to all people, we can not do everything we would like to do and we have to focus our investments where they provide the greatest opportunities. Fourth is improving our cost base, making it more flexible and instilling the culture productivity, all of this is foundational. We have made a lot of progress but we by any means are not done and we have a lot more to do in this regard. In order to establish ourselves for the future, we have to have the foundation right. This is hard work and there are no quick fixes. We are making a lot of progress but we need to keep going. We face in 2011 loss of exclusivity on the largest product in the history of pharmaceutical industry and that we have to be, while we are fixing the foundation of this business, while we are improving our operational performance, we have to be thinking about, not just thinking about, but taking actions to prepare ourselves for that time. To reset the company strategically to push our late stage pipeline, to provide real focus on the value that is in that pipeline, to continue with focus on aggressive business development. To see whether we can get more out of our mature products, which is an opportunity to focus on parts of the world like Asia, where there are tremendous opportunities, we need to continue to do, to looking for complementary products and technologies that can enhance the value of our offerings, and we are going to focus on all of these on multiple fronts. Over the next year and in the next month you will see continued activity across all those areas that I have listed. There is not a magic bullet here.
Chris Schott (Banc of America): Could you talk about the further investments in Lipitor heading towards its license expiration in 2011?
Ian Read: The statin market is extremely competitive. I mean not only on the generic side but on the branded side with large investments by behind Crestor and Vytorin. We analyzed this carefully and have its models and look at response rates and I have got no doubts that we need to continue to maintain the support behind this brand.
Chris Schott (Banc of America): Are you comfortable with the breadth of investment in R&D?
Martin Mackay: We visited all the major R&D sites last week, and during that visit we took along new PGRD leadership team, plus Corey Goodman and gained tremendous amount of excitement amongst the colleagues for some of the changes that we have made. At those meetings, we laid out a distinct five point plan to all the colleagues in R&D. Over the short term, we must make sure that we deliver on our Phase 3 portfolio. That portfolio is not as rich as like it to be in Phase 3, but nevertheless there is a lot of value there around our Oncology platform with Axitinib, CTLA-4, et cetera and another indications for Sutent. We also have some other exciting compounds in that area, and we must deliver to gain the value for the company. Secondly, we need to make sure that this rich Phase 2 portfolio that we have which has already been eluded to, as we actually translate into Phase 3. We do have a real potential to create and Phase 3 starts next year and in 2009 and 2010 than we have ever have before as an organization. We are going to have to focus resources on the highest priority compound and the highest priority disease areas.
Chris Schott (Banc of America): What are your thoughts on just may be Pfizer focusing on pure therapeutic categories?
Martin Mackay: I have launched a team to look at all the compounds that we currently have in development and will be going through those in a rigorous analysis one by one over the next two to three weeks to make sure that we are backing that finest compound. Next on our list is to look at the disease areas that we work on and we have been doing work over the summer already to get to that heart of what are therapeutic areas that we are going to be crucial over the next period. Oncology is one, diabetes will continue, Alzheimer''s disease and a number of other areas that over a short period of time, we are going to focus our resources on.
James Kelly (Goldman Sachs): On the Exubera exit, if you are looking at about $1.1 billion of intangibles and $500 million worth of fixed assets, what do you think about the fixed cost charge per annum that will not be in the number going forward?
Frank D''Amelio: There will be some cost that will not be incurred. That is part of an array of various items we are working our way through relative to the 2008 plan and to the guidance that we reaffirmed today on 2008. We are still working through the details of the 2008 plan, we are comfortable with the general parameters we provided today and come January, we will provide another update on our 2008 guidance.
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