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Biotech / Medical : VVUS: VIVUS INC. (NASDAQ) -- Ignore unavailable to you. Want to Upgrade?

To: drsvelte who wrote (3439)	12/11/1997 8:11:00 PM
From: Zebra 365	Read Replies (2) \| Respond to of 23519

My take on the production drop was that, they had two lines running three shifts in October with experienced workers. They moved some of these experienced workers across the street to start up the new line, one shift, and filled in their old positions with new hires. So production fell at the old plant starting in November, and is still not up to where it was in October. Remember 25% for the quarter is a guess, to me that means it could be +/- 12%. The one week maintenance shutdown in the last week of December has no effect on this quarter, as product that would be made in that week will not go through QA and be shipped (and counted as revenue) until January or Q1 of 1998. The company recognizes revenue when product is shipped, and all product is shipped as soon as it is released from QA. As to when production and sales will be back to 100% of October? The company did not say, and are not going to make a guess. Reading between the lines, and this is a guess only, I think they will be back to October level of production and sales within the next 60 days IF MCA approval of the new plant comes and they can start shipping product to channels in the UK from the new plant as well as the old. Just my guess FWIW. Zebra