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Biotech / Medical : GUMM - Eliminate the Common Cold -- Ignore unavailable to you. Want to Upgrade?


To: Madeleine Harrison who wrote (715)7/21/1999 10:43:00 AM
From: Bo Didley  Read Replies (1) | Respond to of 5582
 
GUMM - their products

GUMM is the leader in 'functional chewing gums' meaning gums for
special uses. gum-tech.com

This last January, they announced a new product called ZICAM -Cold Remedy. zicam.com it is a jointventure, 60% owned by GUMM.
This is an amazing product. I've used it and works. Clinicals
are being done at two major universities that will back up the
findings in the first study. This will allow them to be more specific
on the packaging saying it reduces the common cold to 1-3 days.
It will be in 35,000-50,000 stores for this cold season. Walmart
will have it in 3 sections of the store. The largest grocery store
chains in the US have already placed their orders.

Here is some math: Zicam wholesales for $7.95 a bottle.
After all is said and done, GUMM's net profit is around $1.80. Excellent!
$1.80 multiplied by # colds...hmmmm

The US OTC cold market is a $3 billion industry. No one can make
the claims as ZICAM does on reducing the cold, so it will be a big seller. GUMM has small shares outstanding, so this will really
impact the bottom line. Year after year, they will penetrate the
$3 billion market further because word will get around that it is the best treatment. They have already had requests to go international but right now all there efforts are US based.

biz.yahoo.com
When the clinicals are released in a Scientific Journal,
I anticipate a large spike upwards. The common cold is ubiquious
to everyone. An otc med that reduces it to 1-3 days has appeal.
Plus, the product is already on the shelves for people to buy
for around $10.50.

Another development: Generic Nicorette GUM. This is a big money maker for SmithKline Beecham proprietary product. GUMM has submitted
an ANDA to the FDA to produce the generic form and this will be huge. Last quarter, SBH made $183 million off their gum. GUMM will be entering this market.

This is not a daytrade, imo.

bo