...Corporate News: Pfizer Wins Prevnar 13 Approval, In Quick Boost From Wyeth Deal Rockoff, Jonathan D. Wall Street Journal, Eastern edition [New York, N.Y] 25 Feb 2010: B.4. Turn on hit highlighting for speaking browsers by selecting the Enter button Hide highlighting Abstract (summary) Translate AbstractTranslate Press the Escape key to closeTranslate [[missing key: loadingAnimation]] The Food and Drug Administration approved Prevnar 13 for prevention of "pneumococcal" illnesses, such as ear infections, sepsis and meningitis, in infants and young children. Full Text Translate Full textTranslate Press the Escape key to closeTranslate [[missing key: loadingAnimation]] Turn on search term navigationTurn on search term navigation A new version of the Prevnar childhood vaccine won regulators' approval Wednesday, giving maker Pfizer Inc. a quick and important lift from its takeover of rival Wyeth last year. The Food and Drug Administration approved Prevnar 13 for prevention of "pneumococcal" illnesses, such as ear infections, sepsis and meningitis, in infants and young children. An advisory panel to the Centers for Disease Control and Prevention swiftly recommended the vaccine's routine use. Pfizer has been counting on the new vaccine, and the approval marks an important early success for the Wyeth deal. After struggling to find new blockbusters, Pfizer bought Wyeth for $68 billion to help offset sales it will lose when cholesterol drug Lipitor loses patent protection late...
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...Executive Summary: Pfizer-Wyeth Merger Deal Overview: On January 25, 2009, Pfizer and Wyeth entered into the merger agreement, pursuant to which, subject to the terms and conditions set forth in the merger agreement, Wyeth will become a wholly-owned subsidiary of Pfizer. Upon completion of the merger, each share of Wyeth common stock issued and outstanding will be converted into the right to receive, subject to adjustment under limited circumstances, a combination of $33.00 in cash, without interest, and 0.985 of a share of Pfizer common stock in a taxable transaction. Pfizer will not issue more than 19.9% of its outstanding common stock at the acquisition date in connection with the merger. The exchange ratio of 0.985 of a share of Pfizer common stock will be adjusted if the exchange ratio would result in Pfizer issuing in excess of 19.9% of its outstanding common stock as a result of the merger Deal Terms Breakdown: Transaction Value Transaction Consideration Purchase price per WYE share $50.19 Existing Cash Used $22,213 32.7% Cash per WYE share $33.00 New Debt $22,500 33.1% PFE stock value per WYE share $17.19 Total Cash $44,713 65.8% PFE shares per WYE share 0.985 Stock Consideration $23,289 34.2% Premium to 1/23/09 WYE price 29.3% Total Consideration $67,303 100.0% Total WYE shares (MM,diluted) 1,341 Total Equity...
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...Trang Tran, Yinjia Hua, Xiaoyi Zhou, Wei Luo - Group 3 Professor Nina Dorata Business Combinations – ACC 638 (T, 6:55pm-9:20pm) 11 May 2011 Pfizer & Wyeth When Pfizer announced an agreement to buy Wyeth in January 2009, it was expected to not only create a pharmaceutical behemoth which would be the biggest merger since AT&T and BellSouth in March 2006 (according to the research firm Capital IQ but also would be an extraordinary event in such a financial crisis for the period 2008-2009 because this was not a desperate merger of two financial institutions orchestrated by the government. Moreover, since after 12/15/2008, a new accounting standard that requires acquisition method for business combinations has been taken into effect. Therefore, the acquisition of Pfizer and Wyeth has been one of the most interesting deals recently. Although credit was tight that time because of the financial turmoil, Pfizer borrowed about $22.5 billion from five banks to cover the Wyeth purchase; the remainder was financed through a combination of cash and stock. The deal closed in October 15, 2009. At that time, the whole Wyeth outstanding common stock was about 1,339.6 million; the closing price of Pfizer stock was $17.66; Wyeth stock option canceled was about $405 million and Wyeth restricted stock canceled was about $320 million. Accordingly, the total purchase is $68,236 (Appendix A). Other related accounting and consulting costs was recorded as expense at the acquisition date. Because...
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...ETHICAL CULTURAL ANALYSIS: Pfizer Incorporated Prepared by Benjamin Smith Submitted in partial fulfillment of Thomas Edison State College course: 2014AUG PHI-384-GS004: Ethics and the Business Professional. October 23, 2014 [pic] Introduction Pfizer is the second-largest biopharmaceutical company in the world, and largest research-based company in the world (Herper 2014). They are the producers of some of the most popular names in prescription drugs, including Lipitor®, Viagra®, Xanax®, and Zoloft®. They are also one of the leading names of over the counter drugs and supplements such as Advil®, Centrum®, and Robitussin®. Pfizer employs over 78,000 personnel all over the world in most every continent. Its operations encompass researching and development of new medications, vaccines, and therapies; government regulatory compliance; and providing care and support for global healthcare programs. My interest in Pfizer is that I plan on changing careers into the medical field as a physician or research scientist. As the leading research-based pharmaceutical company, I would aspire to work with neuroscientist Dr. Michael Ehlers and his team. This analysis will review Pfizer Incorporated as a responsible, ethical company by analyzing its mission statements, core values, published principles, and code of ethics, how these are reflected in their actions and which ethical concepts are displayed in these actions; how Pfizer prevents and responds to problematic...
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...organization to remain competitive. Growth strategies arise from an organization’s SWOT where clear guidelines identify areas of focus. Achieving this requires innovation and alliances on products and services that will create a competitive advantage. Successfully execution requires a strategic manager who can effectively and successfully drive strategic objectives, then report its performance to the leadership team (Thompson & Strickland, 2013). This paper will examine how Pfizer utilized growth, innovation and execution strategies as well as acquisitions and mergers to become the number one global pharmaceutical company. The organization’s SWOT analysis (Thompson & Strickland, 2013) showed its strength in being innovative, opportunities to create more products, weakness in its dependence on successful products, and threats in generic competition and regulatory laws. The company’s corporate culture, strategic innovative through the top-down leadership approach, a unified tagline “OWN IT!” (Pfizer, 2013), and a strategy map demonstrates that all employees are ultimately responsible for their individual roles to drive success throughout the organization. Additionally, this paper will present a student created strategy map identifying areas the organization reports on annually. Theory Definitions Thompson and Strickland (2013) define that growth strategies arise when an organization utilizes its strength, weakness, opportunities, and threat (SWOT) to create a competitive...
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...spending years of effort to integrate Warner Lambert and Pharmacia into Pfizer, should its management have avoided another huge acquisition like Wyeth? Should Pfizer have gone after smaller bio tech firms in a series of small acquisitions in 2008 and 2009? A number of these bio tech firms could have been acquired for the $68 billion price of the huge Wyeth acquisition. Present arguments for and against buying several small firms versus one large firm. In my opinion, when it comes to the option of bigger or smaller firm acquisition, Pfizer should have invested in a large acquisition like wryeth. This is because Pfizer’s focus is not really on how many firms it can acquire but proceeds and profit margins these acquisitions can bring in. Basing on the case, its previous large acquisitions such as Warner Lambert and Pharmacia. In 2000 and 2003 where quiet good investments bringing in large profit margin of up to 90% from the Warner. A large problem of staffing is also worsened by over acquisition. According to the case overtime acquired firms have brought in excess staff for Pfizer and this has become a problem as managers for each line have increased and thus larger costs in terms of salaries as well. Larger firm acquisitions have also evidently brought stronger products than Pfizer itself can produce. Drugs such as Lipitor from an acquired firm brought in sales of about 12 billion annually while Pfizer produced drugs have failed i.e. T-pill Furthermore larger acquisitions...
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...Case 25: Pfizer Porsha Erwin Angel Harvey Curtis Hubbard DeMontrez Johnson Michael Kitchens China Thomas 1 Table of Contents History……………………………………………………………………………..Page 3 Summary…………………………………………………………………………..Page 3 General Environment Analysis……………………………..……………………Page 5 Industry Environment Analysis………………………………………………….Page 6 EFE Matrix………………………………………………………………………..Page 9 Internal Competencies …………………………………………………………...Page 10 IFE Matrix………………………………………………………………………...Page 12 2 History of Pfizer Pfizer Inc. is a research pharmaceutical company. Charles Pfizer started the company in Williamsburg, Brooklyn in 1849. During World War II, Pfizer became concretely established as one of the United State’s top drug companies by producing the antibiotic penicillin for soldiers out at war aboard. By the 1950's, Pfizer began to establish headquarters in Belgium, Brazil, Canada, Cuba, Mexico, and England. This gave Pfizer a platform to be able to compete globally. Expanding aboard is a powerful concept that most companies during this time did not consider. In 2000, Pfizer merged with Warner-Lambert in order to acquire full rights to Liptor. Lipitor is a popular drug used to lower cholesterol levels in the body. In 2002, Pfizer decided to participate in another merger with Pharmacia. This strategic action lead Pfizer to become the world's largest pharmaceutical devoted solely to healthcare. Of course we all know that this was not the only reason why Pfizer...
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...| Pfizer | Memo To: Professor Fear From: Alexander Ouji Date: [ 1/30/2012 ] Re: Pfizer Overview Pfizer is the largest pharmaceutical company in the world. Upon reviewing annual reviews and financial reports from the past 5 years, Pfizer, although dealing with many issues both inherent and external, is keeping a stable financial condition as well as keeping its strategic operations aligned with its goals and objectives. The following is an overview which will further explain the company’s management and financial climate. Strategy Pfizer’s broad goal is to apply science and global resources to improve health and well-being at every stage of life.[1] Their strategy has been to essentially “beat their competitors to the punch” by being the first to develop and market pharmaceutical drugs. They do this by investing heavily in research and development. In the past six years, their average research and development expense has been 8 billion dollars, with 2010 being the highest amount at 9.4 billion.[2] They have continued to spend approximately this amount despite continued efforts to reduce costs in certain parts of their research dealing mainly with diseases including cardiovascular. With such large sums of money being invested in research and development, the huge risks involved highlights the confidence they have in their talent in terms of successfully developing new, brand pharmaceutical drugs. Pfizer is constantly looking to diversify its portfolio...
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...Pfizer: Ethics and Leadership The selection process used by Pfizer to find a successor to CEO William Steere, who had lead the company to the top of the pharmaceutical industry, lacked a system of checks and balances resulting in a power struggle that ultimately led to distrust and the unraveling of Pfizer’s top brass by an outsider . The power struggle that erupted within Pfizer demonstrates how ethical breaches occur under specific conditions and the resulting damage. It is fascinating to observe how the unethical actions of a few individuals can spiral through an entire organization negatively affecting both the companies and their stakeholders. An economic analysis of Pfizer highlights the mismanagement of resources and the ensuing social and financial costs. Pfizer was founded in 1849 by Charles Pfizer and Charles Erhart as a fine chemicals business in Brooklyn New York. In the 1950’s the company changed its focus from fine chemicals into a research based pharmaceutical company. Pfizer’s growth exploded in the 1980’s and 1990’s with the success of drugs like Lipitor and Viagra. Led by William Steere and fueled by profits from Lipitor, Pfizer was entering its glory years. Under Steere Pfizer stock rose to a record high of $49 a share. When Steere took control in 1991 his emphasis for Pfizer was research and development of pharmaceuticals. Pfizer became a benchmark in the pharmaceutical industry and “was ranked among America’s best managed and most admired companies...
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... Pfizer Inc. Pharmaceutical Industry: Structure and Government Regulations Fairleigh Dickinson University- College at Florham Shivanshu Kharia 9/29/2013 Foundation: Pfizer is one of the world’s largest pharmaceutical companies by revenues, established in 1849, headquartered in New york, U.S.A. Pfizer started as a manufacturer of fine chemicals such as camphor, iodine, borax, citric acid and cream of tartar. The development of deep tank fermentation technique increased the production rate of citric acid by five fold and unlocked secrets to mass production of penicillin to meet high demand of this antibiotic during World War II. Further development of the fermentation techniques helped in reduction of cost of penicillin, which in turn aroused a need to research a new product with greater profit potential. Although citric acid became main product and launching pad of its growth in decades to follow, it was the discovery of Teramycin in 1950 that opened the doors to research based pharmaceutical company and a leading manufacturer of vitamins. Pfizer’s portfolio includes a wide array of medicines and vaccines for a wide range of conditions including areas of oncology, cardiovascular and metabolic diseases, immunology and inflammation, neuroscience and pain. Pfizer “A pioneering spirit on the frontier of medicine” continues to focus on applying science and global resources to improve health and well-being at every stage of life. Pfizer increases...
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...Pfizer Executive Summary Company Overview World’s largest global research-based biomedical and pharmaceutical company that discovers, develops, manufactures and markets safe and effective medicines. Mission To be the world’s most valued company to patients, customers, colleagues, investors, business partners and the communities where we work and live. Pharmaceutical Products Aricept Genotropin Spiriva Aromasin Geodon/Zeldox Sutent Caduet Lipitor Vfend Camptosar Lyrica Viagra Celebrex Norvasc Xalatan/Xalacom Chantix Rebif Zmax Detrol/Detrol LA Relpax Zoloft Eraxis Revatio Zyvox Animal Health Products BoviShield Draxxin RespiSure/Stellamune Cerenia Excede Revolution/Stronghold Clavamox/Synulox Improvac Rimadyl Convenia Lutalyse Silentrol Dectomax Naxcel/Excenel Financials Stock Symbol: PFE Price Range: $11-$18 Sales (2008): $48,296,000,000 Net Income: $8,104,000,000 Net Assets: $109,892,000,000 Key Executives CEO: Jeff Kindler CFO: Frank D'Amelio CMO (Chief Medical Officer): Freda C. Lewis-Hall Key Competitors GlaxoSmithKline Johnson & Johnson Novartis AG Roche Holding-AG Sanofi-Aventis Mergers and Acquisitions (2008-2009) Wyeth: announcement of merger 1/26/09, biopharmaceutical Auxilium Pharmaceuticals: 12/08, develops Xiaflex-first in class biologic for treatment of Dupuytren’s contracture and Peyronie’s Disease Schering-Plough...
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...Pfizer Stock Analysis Pfizer (NYSE: PFE) is involved in the development, manufacturing and marketing of pharmaceutical products. The industry is intensely competitive and there are a few unique characteristics. Pharmaceutical products have long and expensive development periods – upwards of ten years and $100 million depending on the nature of the drug and the scope of the clinical trials process. In order to encourage companies to engage in innovation, companies are given lengthy patent protection for their drugs upon receiving regulatory approval. This allows them to control rates so that they may recover the development cost. A product brought to market is often highly lucrative, so success in the industry depends largely on the firm’s ability to bring product to market and capitalize on the monopoly rates. Pfizer is the world’s largest pharmaceutical firm, with annual sales near $50 billion. After the sale of its consumer health-care division to J&J, prescription drugs now account for more than 90% of sales. Top sellers include cholesterol-lowering Lipitor, Celebrex for arthritis, Viagra for impotence, and Lyrica for epilepsy and some types of neuropathic pain. Recently approved drugs with blockbuster potential include oncology drug Sutent and Chantix for smoking cessation. As most pharmaceutical companies’ in the market, in this type of business it is not simple since there is a lot of research and the development of new drugs in regular basis. Most stocks...
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...loyalty patterns and medical condition. [2] Segmentation of market is one of the crucial elements of marketing strategy. Criteria depend mainly on nature of market, therefore creating a problem in deciding the actual method. Maslow hierarchy of needs also explains about satisfying the customer needs in a vertical arranged pyramid with primary psychological needs at the bottom step and with self-actualization needs at highest step with safety needs, belonging needs and esteem needs as intermediate steps in the hierarchy. For my research, I have chosen Pfizer and will explain its segmentation process using Lipitor as an example. Pfizer: Pfizer is one of the world’s largest pharmaceutical company with its portfolio including human and biologic, small molecular medicines, vaccines, nutritional and consumer products. It is located in more than 150 countries with it’s headquarter in New York. Pfizer acquired Wyeth in October ’09 for $68 billion. Its main...
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...Business Investigation of Pfizer Inc. World’s most profitable and privately sponsored research based biomedical organization is Pfizer Inc. Pfizer became the biggest pharmaceutical company after merging with Warner Lambert in the month of July, 2000. Huge global sales with a large number of popular products, a valuable and ingenious R&D division, all these have taken the firm to the peak of the industry. There lie some secrets behind the success of Pfizer that it follows while operating the business. They are: * Maximizing short and longstanding sales revenue. * Establishing a more flexible but lower cost base some places in Asia. * Creating smaller, more customer focused and responsible operating areas. * Engaging more customers, patients, tolerant, medical doctors and other collaborators. * Making Pfizer a place where everyone enjoys their job. Pfizer has altered the business method along with the change of the global business environment by the end of year 2007. This company currently operates in places where there are fewer constraints, less officialdom and minimum operating costs. Pfizer has reorganized their cost base to run with flexibility. Conversely, this company is now making things easier for the R&D division to create cooperation in all the research teams who are expert in different sides to increase efficiency by using all the research team in functioning together in any particular work base. The upward growth trend of pharmaceutical...
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...The Dalkon Shield Case Study Report Abstract The case study involving A.H. Robins Company will discuss blatant lack of due diligence of the product Dalkon Shield. Ignoring appropriate measures to ensure safety or the product along with misleading aggressive promotional strategies and literature show the malicious intent of the company for short-term profits, despite the fatal and devastating impacts on the public. The Dalkon Shield Case Study Report Unethical Practices As inventors, Davis and Lerner, at first were following protocol by developing, testing, distributing, and refining their product to a small controlled portion of the public with good faith and due diligence along with documenting their studies and recording accurate results. The point Dalkon Shield’s life where unethical practices first become apparent was during the acquisition of A.H. Robins Company of the product from Dalkon Company. The first contributing factor was the financial motivations when Dalkon Company realized that their product needed corporate distribution especially since they lacked the sale team in the organization. A.H Robins Company just did not acquire the product, but put the two inventors became consultants for the company as well. This makes a biased unilateral perspective for pushing financial opportunity gains over appropriate procedural practices when offering this particular new product. The second contributory factor is utilization of a legal loophole that the IUD did...
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