Baxter Receives European Approval for Two Additional Manufacturing Suites At Thousand Oaks
Company Reiterates Financial Commitments For 2000, 2001
DEERFIELD, Ill., Nov. 9 /PRNewswire/ -- Baxter International Inc. (NYSE: BAX - news) announced today that it has received European approval for two production suites (Suites B and C) at its Thousand Oaks, California facility. The facility is the site of manufacture for Baxter's recombinant Factor VIII therapy, Recombinate Antihemophilic Factor (rAHF), produced by recombinant DNA technology for people with hemophilia.
``The European approval of Suites B and C will provide much needed product and will benefit customers in both Europe and the United States,'' said Thomas Glanzmann, president of Baxter's Hyland Immuno business.
Baxter received U.S. Food and Drug Administration (FDA) licensure for Suite B at Thousand Oaks in early October.
Since 1995, demand for recombinant Factor VIII has nearly doubled on a global basis. The heightened demand is due to numerous factors, including increased use to prevent bleeding, rather than treating patients when bleeds occur.
Hemophilia is caused by the absence or severe deficiency of Factor VIII, a protein in human blood critical for proper blood coagulation. More than 300,000 people worldwide have hemophilia. They can experience spontaneous, uncontrolled internal bleeding that often is associated with pain, chronic joint destruction and, if left untreated, death.
People with hemophilia infuse themselves with clotting factors on average three times per month, unless they are on a preventive regimen, in which case they could infuse multiple times per week. Barring other complications or disorders, clinicians today expect a near normal life expectancy, provided patients receive proper treatment.
Financial Commitments for 2000, 2001
The company reiterated its financial commitments and projections for both 2000 and 2001. Baxter's commitments for 2000 include sales growth of approximately 10 percent, earnings growth in the mid-teens and operational cash flow in excess of $500 million.
``Given our strong performance to date, we expect to achieve our financial commitments for this year. We're looking forward to a strong fourth quarter, with low-double-digit sales growth and earnings growth in the mid-to high-teens,'' said Harry M. Jansen Kraemer, Jr., chairman and chief executive officer.
``The ongoing capacity expansions at Thousand Oaks, along with new product introductions, successful integration of recent acquisitions and continued global expansion position us well for 2001 and beyond,'' Kraemer continued.
Specifically for 2001, the company expects to generate a minimum of $500 million in operational cash flow, accelerate its sales growth to the low double digits, and achieve earnings growth in the low double digits, including the impact of foreign exchange.
``Excluding the impact of foreign exchange, our earnings growth in 2001 would be in the mid- to high-teens each quarter. However, due to the continued decline of the Euro and resulting year-over-year comparisons, this will result in earnings growth in the high single digits in the first half of 2001, and in the low teens in the second half of the year,'' explained Kraemer. |
