Bill's list.
1. Resolve the SEC audit.
Not much that Elan can do on that point I am afraid. The ball is in SEC's court. Two positives from my horizon.
- 1. The fact that KPMG has signed off on the the recent reports without any major restatements.
- 2. In most other cases where SEC is involved bad news seem to come out relatively quickly. One way or another. But nothing has been leaking from Elan so far. Apart from the funds we have invested in the company.
As an aside, I would like to note, that in a way it seems as if SEC who is supposed to protect the interests of shareholders, seems to achieve just the opposite by not being able to finish their investigations in due time. Especially considering that they should have been fairly up to date as far as Elan is concerned.
2. Dodge the poison put issue.
Yes, that is the major issue at this point in time.
3. Get a RESPECTED CEO with experience in running a Pharma company, not a person who started a no-profit biotech or an accountant.
It shouldn't be too difficult to find the right person. Elan is really at the bottom of the bottom. From here there should be nothing but improvements. And if things go wrong it is always possible to put the blame to the previous management.
4. Revamp the Board of Directs.
Absolutely.
5. Fire their investment bankers who probably planted the seeds in Geaney of buy now pay later.
Haven't they done so already? By bringing in Morgan Stanley and UBS Warburg.
6. Mend the fences with the FDA. If a Skelaxin generic comes out early, you know that the FDA is pissed at Elan.
I am not certain you are correct in that assumption. Ms Pendergast seems to have the right profile. But perhaps she made no "friends" at FDA.
>>Mary Pendergast Executive Vice President, Government Affairs
Mary Pendergast joined Elan as Executive Vice President, Government Affairs in January 1998. Prior to joining Elan, Ms. Pendergast was the Deputy Comissioner and Senior Advisor to the comissioner of the FDA, where she had previously served as Associate Chief Counsel for Enforcement. Ms. Pendergast is on the boards of the Regulatory Affairs Professional Society and Child Trends. >>
7. Simplify the accounting.
That will no doubt be one of the results from the house cleaning efforts that are now on-going. Rather unavoidable in a way as there will be much less left to be confused about.
8. Clean out the upper management.
I would at least let Lars stay on. Here is Sweden he is supposed to be a "good guy".
9. Hire someone competent in marketing strategy.
I cannot really judge that. Looking at sales expansion in the US over the last year or so, they don't seem to be doing so badly.
10.Repair the IR department.
The IR department is really a reflection of the CEO. With the right person in charge at the top, the IRs will behave properly if not better.
11. Have a raising revenue stream from drugs not fancy accounting.
Well, that is the objective of the whole exercise.
12. Have a successful drug launch.
Zonegran doesn't count? Too small?
Ice |
