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Biotech / Medical : VVUS: VIVUS INC. (NASDAQ)
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To: Cacaito who wrote (3466)12/12/1997 9:10:00 AM
From: blankmind  Read Replies (1) of 23519
 
-- VVUS wasn't trying to build the new plant on the cheap.

-- Think about what's going on. It actually makes sense. And I agree with the strategy to some extent:

1. New plant has the potential for 8 lines - should demand call for it.

2. Can't make the first batch until approval is obtained. In a sterile plant, not easily obtained.

3. Cannibalize the old plant. Do what you have to do. And get the new plant approved ASAP.

4. And for the old plant, bring new machinery on-line, which they did - but without success - and hence the product shortfall.

Out.
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