GUMM - Eliminate the Common Cold Message Board

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Biotech / Medical : GUMM - Eliminate the Common Cold

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To: Street Walker who started this subject	10/21/2000 4:27:37 PM
From: Bo Didley	Read Replies (2) of 5582

Nicotine Gum - Smoking Cessation When SBH developed the idea of nicotine gum, they needed someone who could disguise the taste of the nicotine and make an excellent gum. nicorette.pnu.com SBH wanted Gary K and GumTech to do all the work and make money by just producing and packaging it. GUMM wanted more of the pie and SBH said no. So SBH was left with producing an inferior product. And now GUMM has made use of its 'intellectual property' and will make considerable more profits. Gumm Management was thinking long term when they were back in discussions with SBH. They were smart in creating a better deal with Swedish Match where GUMM will make money both from producing and packaging it and from 49% of the sales. GumTech's nicotine gum will have exceptional taste and texture, offer more choices in mg's, will be priced better, and coupled with Swedish Match's downline of 140 countries, will be more widely available. Nicorette gum from SBH/PNU is a cash cow. GUMM/Swedish Match JV will be a huge money maker. Swedish Match is giving $10 million initially and GumTech is providing the intellectual know how. nicorette.pnu.com Gumm has two joint ventures: 1. Geltech: JV with BioDeliveries in ownership of Zicam 2. Unknown Name: JV with Swedish Match in ownership of an entire product line of Nicotine Gum. I talked to IR about the Nicotine Gum joint venture. They are formalizing the name of the company, its officers, and location (Swedish Match has a lot of offices in London). They will release that information along with the product line in due course before production begins in late Q1. bo

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