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

To: Mark A. Stang who wrote (11048)	7/9/1998 9:51:00 PM
From: EyeDrMike	Read Replies (2) \| Respond to of 23519

<< VVUS has $16M in inventory, up from $9M last quarter. Based on 2-Q sales (w/no increase), that's a 3-month backlog. I noted my concern about inventory in a posting yesterday.>> VVUS is contractually bound to purchase raw materials, and they get it cheaper on higher volume. I think this is what "inventory" they are referring to. Finished product is being shipped as it is produced, ALL of it., None is being warehoused. Shelf life on MUSE 18 months. The reported EPS today should surprise no one. The 3 Q will make or break this company. And anyone who's been buying this stock at six, and you've had chances, has had ample opportunity to make money. Mike

To: Mark A. Stang who wrote (11048)	7/9/1998 9:54:00 PM
From: VLAD	Read Replies (2) \| Respond to of 23519

Mark, A few points: Inventory Q1 was 11.7 million not 9 million. In the cc the CFO said that the increase in inventories was primarily due to increased international finished goods and aloprostidal raw materials. Inventory amounts include raw materials and finished goods. Vivus sold 2,200,000 more units in Q2 than in Q1. I think they will have more material on hand as the international demand will require more product. The shelf life for MUSE is 18 months. Wilson also said that based on wholesaler orders late in June and early this month, domestic demand looks as it will be rising in the very near future.