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Biotech / Medical : GENZYME - THE KING OF THE BIOTECHS -- Ignore unavailable to you. Want to Upgrade?

To: Vector1 who wrote (353)	11/14/1998 1:39:00 AM
From: Charles Holewinski	Read Replies (1) \| Respond to of 410

Hi There! I have a few shares of GENZ and was wondering if you or someone else could provide an explanation as to why this company's management always seems to spin off a successful product into another stock issue once the product is on the market? Does this technique shelter the parent part of the company from financial liability should one of their products prove to be harmful? I can't see any other reason for spinning the product off into another company. I particularly do not like this since you then become the holder of a very small number of shares of a one product company which ultimately becomes worthless or worth very little as the product ages and is overtaken by a newer drug or therapy.