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Biotech / Medical : VVUS: VIVUS INC. (NASDAQ)
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To: LoLoLoLita who wrote (4475)1/12/1998 7:38:00 PM
From: blankmind  Read Replies (1) of 23519
 
-- All advertising is charged off to expense as incurred. None is capitalized.

-- I wouldn't worry about the ad campaign costing $20 million. Any company that has any sense does a cost/benefit by asking this question: Will the change in sales more than offset the additional costs to promote?

-- Hence, if Vivus does $3 mill in advertising and generates no additional sales, they'll never approach $20 mill. But, if they do $3 mill & generate $15 mill; then let them do $20 mill in advertising. Means it is working.

Out.

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