Vivus Announces Production Shortfall
Looks like the problem has not been Viagra, but decreased production.
MENLO PARK, Calif.--(BUSINESS WIRE)--Dec. 10, 1997--VIVUS, Inc. (NASDAQ:VVUS) today announced that the Company will be unable to meet its production goals for the fourth quarter. This shortfall results primarily from the Company's efforts to expand its production capacity into its new 90,000 square foot plant. In an effort to complete construction and focus on international and US regulatory approvals for the new plant, VIVUS has shifted existing equipment and personnel to the new facility. In addition, because the existing manufacturing facility has run at full capacity since the product was launched, VIVUS plans to suspend production from Christmas to New Year's in order to complete needed maintenance. Because the Company continues to be capacity constrained, the impact of these factors is likely to result in approximately a 25% decrease in product revenues for the fourth quarter as compared with the third quarter.
The Company anticipates that shipments from its new plant to Europe and the United States will be delayed to the first and second quarters of 1998, respectively. Such shipments will be dependent upon obtaining the required regulatory approvals. Until that time, the Company will continue to be capacity constrained.
Founded in 1991, VIVUS, Inc. is a leader in the development of advanced therapeutic systems for the treatment of erectile dysfunction, commonly referred to as impotence. VIVUS has pioneered a novel therapy for erectile dysfunction known as the transurethral system for erection. This therapy consists of a proprietary, non-invasive drug delivery system that delivers pharmacologic agents via the urethra.
Note to Editors and Investors: Additional written materials, recent releases and Company information are available through a variety of sources, including the VIVUS home page (www.vivus.com) and the VIVUS Fax-On-Demand Service (1-888-329-5719).
This should take it down to the mid-teens, a good stroke of fortune for all who are short. But, since this is a tempoary problem, this should be viewed as a buying opportunity whether you are short or long.
Zebra |
