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This is very true I to see a lot of Corp. officers getting fired over Blowing the Dnap deal.Bag8ger i could not have said it better. "I see a lot of big pharma boardroom meetings trying to place blame on the person or persons who let DNAP get away".
Dont worry about this philipabel or what he has to say, Tony has spies everywhere informing him every step of the way.I my self sent Tony and carrie Philipabel post on rb, I as well as others look out for mine.
eb0783, I agree if they come over i'm gone as well but NOT WITHOUT A FIGHT FIRST.
MingwanO;
Your right Thankyou for that correction.David Bligh-Smith did work for Zeneca as director for 5 years this is true. And I did confuse Zeneca w/ Zengen so I dont know if he worked for Zengen. Oh well I tryed. Sorry
Ming. Within the Bio Enterprise Asia {BEA} Group enterprises includes as you know 1} Lynk Biotechnologies take a look at whats in BOLD sounds like what I heard Tony speak of many times "smart drug design" only they have tm at the end.LOL
Lynk Biotechnologies Pte Ltd
Incorporated in February 2000, NUS spin-off company, Lynk Biotechnologies, is dedicated to the application of revolutionary technologies for the design and development of innovative products, services and applications, aimed at improving quality of life and well-being for all.
At Lynk, a rational approach is adopted utilising its SM@RT™ Drug Design, Receptomics™ and PharmaGlue™ technologies, as well as exclusive insights in proteomics, Lynk has made it possible to improve the efficiency and accelerate the drug discovery process, especially in shortening the lead generation stage from years to months.
One of Lynk's first products is Biolyn™ shampoo, which is a natural-based hair care product. It contains active ingredients which have been scientifically formulated using biotransformed phyto-therapeutic agents, vitamins and minerals. It is used to maintain healthy hair and prevent hair thinning and shedding.
Lynk Biotechnologies is the brainchild of Associate Professor Lee Chee Wee, who first developed the technological innovations that form the foundation of Lynk today at NUS.
Lynk has successfully commercialised these technologies and made them available to the public.
Ming Tell me there's nothing Big going on Take a Look at ICICI Knowledge Park Check out their Labs WOW - Bio Enterprise Asia and Ocimum Biosolulions are in this park !!! - http://www.iciciknowledgepark.com/facility/facility.htm
Ming., Mr David Bligh-Smith do you know him ? He is the VP and General Counsel for Bio Enterprises Asia. He also was at Zeneca where Hector Gomez is on the board. Zeneca {now demerged and restructured as AstraZeneca PLC and Syngenta AG respectively} for 5 years where he was Director of Zeneca China LTD and their Regional Counsel Asia Pacific in Hong Kong where you live.
Does this not tie in Zengen to Bio Enterprise Asia who have an alliance with Ocimum Biosolulions. And Zengen has a Lic. agreement with Lee's Pharmaceutical Holding Limited who inturn have a working relationship with PRB Pharmaceuticals to Phase 5 Sciences. I think I'm am starting to get the big picture when Tony says within a year we will be a Pharmaceutical Comp. Anyway whats your take on General Counsel David ?
I didn't know Suresh Chandra worked for the United States Gov. Wow thats got to mean something. Check out her patent.
United States Patent 5,018,163
Daunt , et al. May 21, 1991
--------------------------------------------------------------------------------
Gatling gun laser pulse amplifier using an optical diode
Abstract
A laser oscillator system which transmits laser input beam pulses through optical diode and into a plurality of time-multiplexed phase conjugate amplifier which sequentially amplify in chronological order subsequent input beam pulses. The optical diode is positioned on the oscillator laser beam pulse axis and is comprised of a polarizer, a half-wave plate which rotates the pulse polarity by 45.degree. in one direction and a Faraday rotator which rotates the pulse polarity 45.degree. in the opposite direction. A plurality of grouped Pockels cells and polarizers are positioned on the oscillator axis past the Faraday rotator. The polarizers route the input beam pulse toward a phase conjugate amplifier when a half-wave voltage is applied to the Pockels cell. Each phase conjugate amplifier has a phase conjugate mirror, at its output for retroreflecting the once amplified input laser beam pulse back therethrough for a second amplification. The twice amplified laser beam pulse is returned back to and reflected off the beam splitter back through the Pockels cell. The pockels cell rotates the pusle back to its orignial polarity as the pulse returns to the optical diode. Teh faraday rotator rotates the pulse 45.degree. and the half-wave plate rotates the pulse another 45.degree. for a total of 90.degree.. The 90.degree. rotated amplified output pulses from the time multiplexed amplifiers are reflected off the polarizer and out the laser system.
--------------------------------------------------------------------------------
Inventors: Daunt; Geraldine H. (Arlington, VA); Utano; Richard A. (Winterpark, FL); Chandra; Suresh (Falls Church, VA)
Assignee: The United States of America as represented by the Secretary of the Army (Washington, DC)
Appl. No.: 515139
Filed: April 26, 1990
Current U.S. Class: 372/68; 372/97; 372/105; 372/106; 372/108
Intern'l Class: H01S 003/07
Field of Search: 372/25,703,105,106,108,99,68,97
Dnap and BREAST CANCER - WOW - we going to the moon
My feeling is that new or revised patents have already been submitted and or updated to be more in line with the info. below.
Grant Number: 002/2001 BREAST CANCER - WOW - Testing ends 2003 see below.
PI Name: Arena, J. Fernando - Scientific Advisor to Dnap
Project Title: Development of a BRCA1 and BRCA2 mutation screening assay for women of African descent.
Abstract: DESCRIPTION: (Adapted from investigator's abstract)
The long term objective of this application is to develop and to clinically validate a screening panel for specific BRCA1 and BRCA2 mutation/genetic variants in women of African descent with breast cancer. The development of such panel will allow its incorporation into clinical practice with clear improvement of genetic counseling for this minority population. African-American women under age 50 in the United States have the highest rate of new cases of breast cancer in the nation. In addition, African-American women of all ages have a larger percentage of poorly differentiated breast cancer, that is more likely to occur at an earlier age and to be estrogen and progesterone receptor negative - all factors associated with more aggressive tumorgenicity. Based on this preliminary data and a thorough review of all published English literature, we have identified thirteen mutations and thirteen unclassified variants in BRCA1 and six mutations and ten variants in BRCA2. A screening panel for such BRCA1 and BRCA2 mutations/variants will be designed to develop an efficient assay for eventual use in clinical practice. This assay is based on a combination of multiplex PCR and multiplex SSCP in order to provide a high throughput screening method for the above designated genetic alterations. SSCP variants will be further investigated by DNA sequencing to confirm the exact genetic change. The development of this screening panel will have an important impact on genetic counseling for women of African descent. It may also be helpful in anticipating the design of preventive strategies (mammography, chemoprevention, or prophylactic surgery) and in selecting appropriate therapeutic protocols for this underserved and under investigated patient population.
Institution: UNIVERSITY OF MIAMI
1475 N. W. 12TH AVE.
MIAMI, FL 33136
Fiscal Year: 2001
Department: OB/GYN
Project Start: 01-January, 2002
Project End: 31-December, 2003
FUNDING AGENCY Sylvester Comprehensive Cancer Center
Address: 1475 N.W. 12th Miami Fl, 33136
Press Release
Recipient of the PETRONAS National Inventor Award Joins DNA Phenomics' Management Team
Mathavan A. Chandran to Direct Product and Service Development of Life Science Research Company
KUALA LUMPUR, Malaysia – August 8, 2003 - DNA Phenomics Sdn Bhd, a development-stage company focused on the emerging field of phenomics and the discovery of genomic-based diagnostic tests, announces that Mr. Mathavan A. Chandran has agreed to join its management team as Vice President of Business Development.
"I am thrilled Matt will be joining our management team to help implement our very ambitious plans for growth," said Mr. Ezehan Kamaluddin, DNA Phenomics' Chief Operating Officer. "Matt brings broad experience and strong networking ties in a number key areas, with the pharmaceutical market being one of the most important areas given our strategic plans. As the 1995 recipient of the country’s highest honor in science and industry (the PETRONAS and Ministry of Science, Technology and Environment's Inventor of the Year Award), Matt is well known and greatly admired across the region. His success in business and accomplishments in science speak for themselves. We are very fortunate to have Matt on our team."
"As most of us already know, recent developments in the life sciences industry has created a lot of excitement and hopes within the scientific community, among the public, and especially among investors," said Mathavan Chandran. "What impressed me most about DNA Phenomics is their strategic direction and the core competencies of the team members they have assembled. These assets clearly add value and will be recognized as particularly relevant in the commercial world. This opportunity is definitely not to be missed."
Mathavan A. Chandran began his career in 1992 as a research and development chemist at METACORP BHD, the largest inorganic chemical producer in Malaysia. In 1995, Matt became the Regional Business Development Manager (chemical sector) for Peregrine International, a Hong Kong based direct investment company. He was jointly responsible for conceptualizing, evaluating, implementing, and advising start up operations, while monitoring Peregrine’s business plans across the Asia-Pacific region. Subsequently, he worked for the Belgian petrochemical-pharmaceutical multinational, UCB Pharma, as the Regional Sales and Marketing Manager for the Specialty Chemicals Business Unit in Asia-Pacific. More recently, Matt has served as principal consultant for a number of large multinationals covering ICT, financial institutions, automotive, and telecommunication. In the last two years, Matt has fostered several early stage biotechnology and bioinformatics initiatives.
About DNA Phenomics
DNA Phenomics is a development stage company focused on the emerging field of phenomics and engaged in the discovery of genomic-based diagnostic tests for personalized medicine. The company's phenomics discovery platform offers university labs as well as pharmaceutical and life science companies a powerful research tool for uncovering patterns in the genome associated with health factors and drug responses. The company’s goal is to become a leader in the discovery, development, and sale of genomic-based diagnostic healthcare products and biotech research services throughout Asia and the Pacific. Founded in 2003, DNA Phenomics is headquartered in Kuala Lumpur, Malaysia. DNA Phenomics is a privately-held company. Additional information about DNA Phenomics and its genomic-based solutions can be found at www.DNAphenomics.com.
I received a Press Release:
DNA Phenomics and Senecio Software Inc. Form Strategic Alliance
DNA Phenomics Signs Deal with Senecio Software Inc. to Provide Software Engineering Services and Bioinformatics Support
KUALA LUMPUR, Malaysia – August 7, 2003 - DNA Phenomics Sdn Bhd (a development-stage company focused on the emerging field of phenomics and the discovery of genomic-based diagnostic tests) and Senecio Software Inc. (a leading developer of advanced, multi-tier, web-based software) today announced a broad alliance entailing bioinformatics support and healthcare system development.
The alliance combines Senecio's experience designing platform-neutral, all-Java, web-based systems with DNA Phenomics’ genetic research and diagnostic test development. Initially, the work for the alliance will involve the installation of bioinformatics systems in Kuala Lumpur for use by DNA Phenomics’ research scientists worldwide. Long term, the work will broaden to include creating components needed to deliver and analyze planned diagnostic test products using web services.
Ezehan Kamaluddin, DNA Phenomics’ Chief Operating Officer, noted that this alliance is just the first of many his company plans on forging in the coming year. "Establishing close links with other high tech companies and research institutes enables us to aggressively move in areas of the market that would be impossible otherwise. By completing this alliance with Senecio Software, we are combining talented and experienced software engineers with our world-class lab resources to rapidly create a genomic/phenomic powerhouse in the Asia-Pacific region. Combining these assets will hasten our move into the marketplace.”
About DNA Phenomics
DNA Phenomics is a development-stage company focused on the emerging field of phenomics and engaged in the discovery of genomic-based diagnostic tests for personalized medicine. The company's phenomics discovery platform offers university labs as well as pharmaceutical and life science companies a powerful research tool for uncovering patterns in the genome associated with health factors and drug responses. The company’s goal is to become a leader in the discovery, development, and sale of genomic-based diagnostic healthcare products and biotech research services throughout Asia and the Pacific. Founded in 2003, DNA Phenomics is headquartered in Kuala Lumpur, Malaysia. DNA Phenomics is a privately-held company. Additional information about DNA Phenomics and its genomic-based solutions can be found at www.DNAphenomics.com.
About Senecio Software Inc.
Founded in 1992, Senecio Software Inc. is a privately held company based in Bowling Green, Ohio. The company specializes in the design and production of advanced, multi-tier, web-based systems used in the collection and analysis of social, health, market research, and demographic data. Given the rise in Internet-based commerce and the demand for online information processing solutions, Senecio's corporate strategy has increasingly focused on the development of customized data-gathering tools used by professional survey researchers, scientists, and market analysts. Along with designing multi-tier, web-based survey software, Senecio is developing unique data gathering tools involving remote sensing and wireless communication. Senecio Software has been the recipient of numerous research grants from the U.S. government’s National Institutes of Health. Additional information about the company, its products, partnerships, and research agenda can be found at http://www.senecio.com.
Public Relations Contacts
Corporate Headquarters
DNA Phenomics
Ezehan Reza Kamaluddin
Chief Operating Officer
DNA Phenomics
Kuala Lumpur, Malaysia
ezehan@dnaphenomics.com
Senecio Software Inc.
Jerry W. Wicks, Ph.D.
President
Senecio Software Inc.
125 N. Main St.
Bowling Green, Ohio 43402
(419) 352-4371
jwicks@senecio.com
early_retirement1,
Thankyou for the caring respect you show it helps to build strong relationships. My hope is that some of the posts i write help to bring a little more understanding on the investment world.The way i see it is, it is not wrong to not understand but is to not ask questions to find answers.We are all here to grow along the way we make mistakes and thats ok. We are friends here and can grow and learn from each other.
early_retirement1, they are 2 different News releases.It was not posted twice.It was posted as a general info. topic for anyone who cared to read it.Not trying to make any point. Just for the sake of education.
OT: Rethinking Information About Issuers in the Age of the Internet
Remarks by
Laura S. Unger
Commissioner, U.S. Securities & Exchange Commission
At the University of Texas School of Law 21st Annual Conference on Securities Regulation and Business Law
February 18, 1999
The views expressed herein are those of Commissioner Unger and do not necessarily represent those of the Commission, other Commissioners or the staff.
The Internet has greatly increased retail investors’ access to timely and high quality information. At the same time, the Internet can be used to fraudulently hype stocks by virtue of its capacity to generate vast amounts of confusing "noise." As the Internet becomes increasingly popular, the Commission should rethink how it regulates the quantity and quality of information provided to investors.
Pre-Internet, an investor wishing to buy or sell a security could consult his broker, read an issuer’s prospectus, read the financial magazines, or possibly subscribe to an investment newsletter.
Now, in addition to these "traditional" sources of information, an online investor may get stock tips from postings on online bulletin boards and chat rooms; see analysts’ consensus earnings estimates at a website; or set an alert to warn her that a broker has issued a new research report on a company that she tracks.
The increased availability of information to retail investors has raised a number of interesting issues for the Commission. I would like to touch on just two of these issues.
First, how can information reach the investor in the Internet age? Second, can investors tell the difference between high quality information online and "noise?"
Increasing the quantity of information about issuers that investors get during an offering.
One former director of the Division of Corporation Finance suggested that the Commission does not need to continue to register offers. She went on to note that it is no longer possible to expect that information flows to investors can be limited effectively.
Let’s consider one example. The Commission has allowed foreign companies to talk to U.S. and foreign journalists overseas during the quiet period. Practically all major newspapers have websites. I can get the Financial Times, International Herald Tribune, and Le Monde online. How do we know that information about stocks in an offering in those newspapers will not reach U.S. investors? We don’t.
The Commission took a different philosophical approach in the recently proposed revisions to the ‘33 Act offering structure, otherwise known as the aircraft carrier. In that proposal, we recognize that the free availability of information in chat rooms, bulletin boards, and sites devoted to whispered earnings has made it much harder for the Commission to continue advocating a "quiet period" before an offering by a seasoned public company.
However, we believe that issuers and their underwriters should be held accountable for what they say and file any offering information used just before and during an offering. This approach recognizes that communications to investors made around the time of the offering form the real basis for the investment decision.
As a result, the Commission proposed that the prospectus would no longer have to be the exclusive sales document. Large seasoned issuers could provide any type of written communication to investors just before and during an offering. The catch, of course, is that these communications must either become part of the registration statement or be filed separately with the Commission. Once filed, all investors would have access to this information and communications used in connection with the offering would be subject to liability.
This approach raises the issue of whether Internet information should be treated as "written" rather than oral communication. The Commission has previously defined written communications to include magnetic impulses or other forms of computer data so that any multimedia would be considered a writing. The Commission will have to address this issue in connection with the aircraft carrier.
The characterization of Internet information as written may make intuitive sense when you think about what a website looks like. It becomes less intuitive when you think of a chat room where users post information as if they were engaged in a real conversation, or when you see a video prepared by the issuer, or even e-mail.
This question of how to characterize electronic information has come up recently in the context of e-mail record retention. I have had conversations with a number of brokers who argue that, under most circumstances, e-mail should be treated more like a conversation than a writing, and therefore, they should be required to keep less of it for review by our examiners.
Finally, the Commission’s approach in the aircraft carrier assumes that an efficient market has developed, at least for "large" issuers. An "efficient market" would mean that stock prices reflect all publicly available information about individual companies and about the economy as a whole.
One source for information about individual companies is sell-side analysts. On average, about 15 analysts follow companies that have a market capitalization of $250 million or more. These companies are considered the most seasoned issuers, numbering over 2,000 companies.
The aircraft carrier release notes the important role of these analysts in the dissemination of information to the public. Indeed, analyst research reports have become an online commodity.
Just pull up any broker’s website and you will find either proprietary research or a hyperlink to a research service. One of the top brokerage firms even has given away its research as a means to attract new customers.
If analysts play such a critical role in providing information to investors in an efficient market, we should be sure that the analysts and the information are like Caesar’s wife. The efficient market will only work if analysts are above reproach.
The question is are they? Consider that rarely do analysts issue "sell" recommendations. In fact, about 98 percent of analysts’ recommendations are buy or hold.
Consider the pressure put upon analysts who must perform "star research" in order to maintain the firm’s client relationship with a company it took public. A recent survey shows that 88% of senior executives who dropped their Wall Street underwriters after IPOs between 1993 and 1996 ranked better research coverage as one of the top three reasons for the switch. Consider that companies deny access to analysts who write critical reports about them. Consider also that many top analysts are paid based on their ability to bring in investment banking business.
If, under the aircraft carrier’s communications proposals, research reports develop into sales documents for the retail investor, then maybe it is time to take a closer look at any conflicts of interests that may exist for analysts, to ensure that there are appropriate firewalls between analysts and the investment bankers, and to ensure that the research reports disclose any material conflicts of interest.
Increasing the quantity of timely information available to investors in the secondary market.
The Commission generally disfavors the selective disclosure of information. In a recent rulemaking involving the regulation of alternative trading systems, the Commission required high volume ATSs to display their best-priced institutional orders in the public quote stream. The Commission took the position that there should not be "hidden markets" for institutional orders. Does this drive for transparency make sense in the context of disclosing other types of information when that information gives a temporary advantage to institutional players?
The Internet may push selective disclosure by the wayside. I have to believe that eventually, the Internet will be the only means of disclosure. We can assume that, no matter how hard one may try to hide information, it will always reach the market eventually. It was Ben Franklin who said, "three may keep a secret, if two of them are dead." In Washington, D.C., of course, all three would have to be dead to keep that secret. However, we cannot assume that information always reaches all market participants at the same time.
For example, retail investors who do not use limit orders for trades placed overnight may be surprised that their execution occurred at a significantly worse price than expected due to trading by institutional investors on company news released after-hours.
Chairman Levitt has also expressed his concern with market movements caused by institutional investors during analysts’ conference calls.
Despite his concerns, my guess is that issuers are probably talking more, not less, during these analyst calls as a result of legislation passed in 1995 and last year. The Private Securities Litigation Reform Act of 1995 allows issuers to disclose earnings projections or "forward-looking" statements during analyst calls without the potent threat of private securities litigation. However, the threat of securities litigation in state courts allegedly had a "quieting effect" on such projections until last year, when Congress enacted the Securities Litigation Uniform Standards Act of 1998.
I do not believe we have had sufficient time to judge precisely how this legislation will impact the type of information disseminated by issuers during analyst conference calls or meetings.
Nonetheless, the aircraft carrier release goes far to minimize the potential for selective disclosure and democratize access to information between retail and institutional investors.
For example, today, during the waiting period, issuers and underwriters oftentimes make roadshow presentations to institutional investors. Since the roadshow presentation is largely oral and visual, the conventional wisdom has been that it is not a writing, and therefore, not an unlawful prospectus used during the waiting period.
The aircraft carrier would level the playing field with respect to offering information by requiring issuers to file with the Commission written information given to investors during the offering. As a result, both institutional and retail investors will have access to any written information included during the roadshow presentations.
Noise on the Internet
I said before that I thought that eventually everything would be disseminated over the Internet. When I said that, I was thinking that information on the Internet eventually would be "sorted out" or "quieted down."
The flip side of more information is "noise" and an inability to find out exactly where the noise is coming from. For example, a marketer on the Internet can buy 12 million e-mail addresses for $300 to send mass e-mails or "spam" hyping a particular stock to unsuspecting web users. It’s no wonder that spamming is the number one customer complaint in our Office of Internet Enforcement.
So far, the Commission has brought over 60 cases for fraud online against people trying to raise money for offerings such as eel farms and coconut plantations through high tech direct public offerings.
A lot of this information, whether accurate or not, has the ability to quickly move markets. For example, recently the stock of a maker of financial analysis software almost doubled within half an hour of the market opening based on its recommendation by a stock picker writing overnight in an Internet chat room. That same stock picker made another stock of a small software manufacturer shoot up 25 percent on one day.
The Commission recently brought action against the publishers of 44 online investment newsletters for failing to disclose that they were being compensated for touting stock.
We have also seen increased incidences of "scalping" where an investment adviser buys stock, hypes it, and sells it into a rising market. We have also seen increased complaints about "cybersmears," where anonymous short sellers talk down the price of a stock through postings in chat rooms.
The ability to hype a company quickly raises an interesting question about an issuer’s responsibility in the age of the Internet. What responsibility, if any, should issuers bear for this information? Should issuers have a duty to address material inaccurate information that comes to their attention?
Conclusion
These are some of the issues that the Commission will have to address -- hopefully sooner rather than later. The Internet can be a powerful ally to the Commission. As I mentioned, it can level the informational playing field. It can also empower investors and provide them with valuable information with the click of a mouse. Of course, everything that is good about the Internet is everything that could be bad. It could provide too much information or fraudulent and misleading information -- also with the click of a mouse. We at the Commission must find a way to integrate the Internet into our regulatory scheme in a way that makes sense.
OT:Speech by SEC Commissioner:
Rethinking Disclosure in the Information Age: Can There Be Too Much of a Good Thing?
Remarks by
Commissioner Laura S. Unger
U.S. Securities & Exchange Commission
Internet Securities Regulation
American Conference Institute
June 26, 2000
Introduction
Thank you for inviting me to speak here today. This is getting to be a regular event for me. Before I begin my remarks, I need to tell you that the views I express here today are my own and not the official views of the U.S. Securities and Exchange Commission.
As most of you must know, I've spent the majority of my tenure as Commissioner focusing on and speaking about the impact of the Internet on investors and the securities markets. Although I have directed much of my energy during the past couple of years to online trading issues, I am very happy to participate in a conference that also covers a variety of capital-raising and corporate governance matters so I can talk about something a little different for a change.
In reviewing the topics discussed on the various panels today and tomorrow, the trend seems clear: the Internet is rapidly eroding the informational advantages formerly enjoyed only by big players in the markets and breaking down barriers to individual investors' participation in offerings and the corporate governance process.
The Information Highway
We know that the Internet, the Information Super Highway, delivers truckloads of information about the markets, securities products, public and private securities offerings, companies, corporate management and corporate governance right to the homes of millions of interested individual investors. That's a fact.
Statistics from last year showed us that one new web site was being established every minute and the number of Internet users and web pages doubled every 100 days.1 I don't have this year's statistics, but the continued growth of the Internet in the past year makes it safe to say that things are happening even faster today.
What we don't know yet is what investors will do with the truckloads of information – Will the Internet deliver timely, relevant information to make investors more knowledgeable or will it be more like a dump truck depositing information that overwhelms and buries them? What role will securities professionals - specifically analysts - play in processing information and servicing their customers in the Information Age? Will investors become overconfident and trade too much as a result of all the information at their fingertips? A recent NY Times article on the investment information deluge noted an investment strategist's belief that the instant dissemination of information is creating a tendency for investors to trade first and think later, thereby causing greater market volatility. 2 The Times article also discussed the role of analysts in adding value to information available about companies. It referred to a study by three professors who, over a 15 year period, studied analysts' forecasts to determine what value the forecasts added to companies' financial statements. The study found:
Analysts provided the most value in forecasts about technology companies whose financial statements were the least informative about new products;
Analysts help investors more during economic booms than during recessions; and
Analysts contribute more to investors' returns with respect to companies reporting losses than those reporting gains.
Will investors reject the need for securities professionals like brokers and analysts to help them sort through and interpret the information? If so, will investors become sophisticated enough to analyze financial information and industry trends on their own? Even more importantly, will they be able to distinguish reliable information from the unreliable or even fraudulent information?
Finally, armed with all kinds of information not previously readily available to them, will individual investors become more involved in corporate governance? We can only guess at the answers to these questions. While the Internet may be spawning a breed of die-hard "do-it-yourself" investors, the current trend for firms to offer more value-added and advice-related products shows that many will continue to seek these services from securities professionals. It also seems likely that the average investor will use the Internet to become better informed and more sophisticated.
Most likely, an informed investor will become a more involved investor. I don't know how corporate America feels about this potential for increased investor involvement in corporate governance -- cyber-style -- but I'm hopeful that it will benefit investors and companies alike.
We've been hearing for a while now from individual investors who want greater access to initial public offerings, roadshows, and analyst calls. The Internet is a perfect vehicle for creating cost-efficient and broad access. I'll talk a bit later about the Commission's initiatives relating to some of these issues, and some potential pitfalls associated with them.
The Informed Electronic Investor of the Future
First though, before getting into the details and problems we're all grappling with today, I'd like to do something rarely attempted by regulators. Let's look into the future and see what informed investors of the future could look like and how they might harness the power of the Internet -- to invest in stocks and participate more fully in the offering and corporate governance processes.
Due to the pace of electronic evolution, we don't need to venture too far into the future. So, let's fast forward to the year 2001 for a shareholder's cyberspace odyssey.
Okay, we're there. Most investors are cyber-savvy and have online brokerage accounts. They access real-time stock information and can trade at any time of the day or night in any securities market. Before investing, the future investor consults a number of trusted web sites that include reliable information. Believe it or not, this includes the EDGAR database. What's this? The future investor even reads prospectuses and periodic reports before investing and pays close attention to risk factors and the company's financial information.
Investors contemplating an IPO will be able to view an online road show to size up management, listen to the questions posed by the industry analysts and answers given in response and even ask a few questions of their own. For those investors who determine that an IPO investment is appropriate for them, an allocation is available. Investors also will be able to keep abreast of the companies they own an interest in by participating in analyst calls after earnings announcements and press releases.
The investors of the future compare notes with one another on the Net about things the company is doing right and wrong. The Internet helps unify their voices when there is a particular matter of concern. It also helps investors educate themselves and each other about certain issues without having to resort to proxy solicitations.
These shareholders receive the proxy statement electronically and always cast an informed electronic vote. Frequently, the shareholders even virtually participate in shareholder meetings held thousands of miles away. Shareholder apathy largely becomes a thing of the past and individual investors collectively become as involved and interested in corporate governance as their institutional brethren. As a result, corporate governance becomes more transparent and companies are held more accountable to all of their investors, not just the big ones.
Proxy contests occur in cyberspace and the barbs fly back and forth faster than ever. News about the company, whether good or bad, is available quickly. Information flows like water and the investors wouldn't have it any other way.
From a shareholder's perspective, the future looks pretty good. As you know, a lot of individual shareholders already conduct themselves like the future investor. Although not every shareholder will choose to take advantage of the opportunities and information made available by the Internet, I believe that a substantial percentage will. We probably all can agree that, in theory, investors generally will benefit from access to more information, especially high-quality information and information that comes directly from companies.
As a Commissioner of a disclosure-based agency, I believe that more information is generally better. But is that always the case? Right now, the Commission needs to consider what role it can or should play in regulating the information flow. In doing so, we must look beyond our traditional role of mandating specific company disclosures to determine what other information may help investors make meaningful voting and investment decisions. To illustrate this point, I thought it would be helpful to discuss briefly some of the ways that the Commission is looking to increase the information flow and improve upon the status quo.
Commission Initiatives to Make More Information Available to Investors
Selective Disclosure
The first initiative involves selective disclosure. The problem is how to prevent issuers from making selective disclosure of material non-public information, usually earnings-sensitive information, in meetings or conference calls with analysts, institutional investors or others but not to the investing public at large. If left unchecked, selective disclosure could eventually lead investors to question the fairness of and integrity of our markets.
Chairman Levitt has shown his commitment to reducing disparities between retail and institutional investors' access to investment information. He has spoken about it and had the staff draft proposed Regulation FD (Fair Disclosure) to accomplish this goal. The proposed rules would require issuers intentionally disclosing material nonpublic information to one or more outsiders to disclose that information to the rest of the world at the same time. If the issuer inadvertently discloses information, it would have to promptly tell the rest of the world.
Although I unequivocally share the goal of curbing selective disclosure, I am concerned that a proposal meant to get more information to investors could actually give them less. Of course, in theory, no one would have that information so the playing field would still be leveled- but at what cost?
The proposals don't mandate specific company disclosures – they state simply that if an issuer chooses to disclose material nonpublic information to someone, it has to tell everyone. This does present a danger of slowing the information flow if issuers decide not to talk at all rather than get it wrong.
Thousands of commenters submitted letters in response to the selective disclosure proposal. The staff is now analyzing comments. Not surprisingly, the common complaint from corporate commenters and securities lawyers is that the proposals would ultimately have a "chilling effect" on corporate communications. These commenters assert that determining materiality is too difficult and risky, making corporate officials less inclined to discuss important information at all.
What if companies choose to say very little or not talk at all outside of their filings and press releases? If companies won't talk to analysts, the financial press or shareholders, how will information reach the marketplace?
Ironically, another big concern voiced by some commenters is the opposite scenario – what if the proposals are adopted and result in significantly greater amounts of information coming out in the form of press releases. How will the information be disseminated and digested in a meaningful way?
Do we need to be concerned about potential "information overload?" Admittedly, it is a lesser concern than the one about information drying up. But still, if Regulation FD is adopted and does make significantly more information available to individual investors, will it be the sort of information the average investor would want to know?
Even though the release only calls for material information, many issuers will err on the side of caution - disclosing material and non-material information. Will investors be able to distinguish one from the other? Another important issue to consider is how investors will process information that isn't first filtered through industry analysts and the financial press.
News services are expressing concern that their systems are not equipped to handle the volume. They also worry that if issuers begin filing press releases every time they say anything to someone outside the company, they too will have a hard time culling out the newsworthy pieces.
Of course, the comments from individual investors support the proposals and are optimistic about how they will help level the playing field. Interestingly, over 5,000 of the individuals who commented e-mailed their support for the proposals. It is unusual for us to hear so much about our proposals from individual investors. (Maybe in another speech, I'll talk about the SEC's information overload!) The high response rate on these proposals signals how strongly they feel about getting more information. The fact that the commenters e-mailed their remarks suggests that they are an Internet-savvy group of individuals.
Although it is hard to argue with Regulation FD's premise, I would hate to see a lush, green playing field that has a few weeds turn dry and barren as a result of its application. Fortunately, many in the private sector have already moved to address some of our concerns about selective disclosure. An increasing number of companies are voluntarily opening up their analyst calls to all interested shareholders -- partly at the Chairman's behest and partly due to shareholder demand. As for the proposals, I hope that we will be able to achieve a balance among the sharply divergent views of the commenters to accomplish the goal of a more level - yet meaningful -- playing field for individual investors.
Electronic Road Shows
In a session this morning, you heard about the Interpretive Release issued by the Commission in April on the use of electronic media to deliver securities documents and conduct offerings. That release left open for another day Commission action to open up communications to individual investors by providing access to electronic roadshows.
Traditionally, road shows have been viewed as oral presentations not subject to the securities law requirements for written prospectuses. Since 1997, the staff has issued a series of no-action letters about transmitting electronic road shows. Before the staff issued a no-action letter to Charles Schwab & Co., Inc. late last year, the no-action letters restricted electronic road show access to typical live road show invitees, including brokers, institutional investors and investment advisers.
Schwab requested the staff for permission to transmit an electronic road show to a certain segment of its retail investors. The staff granted that request. Under the terms of the staff's no action letter, an underwriter could provide access to an electronic road show to a class of Schwab's customers meeting certain net worth and frequency of trading standards.
After the initial no action letter was granted, there was talk of firms developing two types of road shows. One would be a full-bodied version for traditional institutional audiences, complete with earnings projections and other information often presented at road shows, but not included in the prospectus. The second version would be a watered-down "road show lite" version for retail investors consisting primarily of management interviews. A few months ago, concerned about the potential for selective disclosure, the staff supplemented the Schwab letter to clarify that underwriters can't develop two different versions of the road show.
The Schwab letter has drawn both praise and criticism. Some have applauded the letter as a significant step towards democratizing access to road show information, while others have criticized it for not providing full access to all types of retail investors, regardless of their net worth and level of financial sophistication.
Although the staff originally had planned to recommend a proposal on electronic road shows soon after the first Schwab letter was issued, it now wants to hold off and see the public's reaction to the selective disclosure proposals. Before adopting a rule, the Commission will need to answer two main policy questions: (1) Should all investors be able to access electronic roadshows? (2) If so, may issuers have different versions of that road show for different investors?
Again, we'll need to consider whether average investors really want and need the level of information provided to professionals. Will most individual investors be able to separate marketing hype from offering fundamentals? Will crucial disclosure get lost in the crush of information that may circulate in a de-regulated environment? Will the quality or quantity of information provided by issuers and underwriters be affected when individual investors have widespread access to it?
Online Investor Behavior Survey
Just so you know, I am not just going to ask these questions about what information investors want or need. I actually have a little project underway to find out the answers to some of these questions and about the investing habits of online investors. My office will be working with the Securities Industry Association and its member firms to distribute an online investor behavior survey to several thousand investors. Some of the things we hope to learn from the survey include:
The sources of financial information that investors rely on;
Customer expectations at online firms;
The level of knowledge and experience of the average online investor;
The trading frequencies of online investors vs. off-line firms; and
How online investors analyze risk.
I hope that we can use the survey results to improve our investor education efforts and learn more about investors generally. We may ultimately publish the results of the survey on the Commission's website.
Conclusion
In conclusion, it looks as though investors stand to benefit greatly from the Information Revolution. The Internet has powered the revolution. It's also been a key element in the push for democratization of the flow of investment information.
We've already seen how the Internet is changing individuals' investment habits. The ease of Internet access, the unprecedented availability of online investment information and reduced transaction costs have caused investors to enter the financial markets in record numbers. About one half of all U.S. households are investing in our securities markets and about 20% of those investors trade online. We also know that the Internet will have a huge impact on capital-raising and corporate governance practices, but - -despite our odyssey earlier -- the extent of its impact in these areas isn't as clear yet.
As the Commission pursues new ways to help democratize access to investment information, we have to remember that information can only empower investors if they understand it and can effectively apply it. Access to information isn't a substitute for knowing how to interpret it. As Albert Einstein once said, "Knowledge is experience -- everything else is just information."
Interpretation of the data stream will be more than half the battle. As more information gets directly into the hands of investors, the press, analysts, brokers and other market professionals will continue to play an important role in giving meaning to the facts. Whatever we do, and however we do it, our primary goals should be to keep the information coming and to make sure that investors can make the best possible use of it.
1 David H. Peirez and Thomas D. Glascock, The Internet and its Impact, Banking Policy Report, June 21, 1999, Vol. 18 at p.12.
2 Gretchen Morgenson, Flying Blind in a Fog of Data, N.Y. Times, June 18, 2000, at C1.
OT: New SEC Rules On Selective Disclosure And Insider Trading Increase Risks.
Author/s: John Egan, & David Cifrino
Issue: Sept 25, 2000
Typically, the last act in a private equity investor's job is sitting on the board of a newly minted public company. Given the risks inherent in guiding the disclosure policies of an emerging company with a volatile stock price while simultaneously realizing upon their firm's investment in the company, this role often presents the greatest potential for liability to the investor. Recently, the Securities and Exchange Commission raised the stakes even higher by issuing Regulation FD (for Fair Disclosure) and two new insider trading rules.
Regulation FD
Regulation FD is intended by the SEC to end the practice of selective disclosure by public companies to analysts and large investors in closed conference calls and one-on-one meetings. Under Regulation FD, public companies that intentionally disclose material inside information to a select group of analysts or investors must simultaneously disclose it to the public.
In the case of unintentional disclosures, public companies must disclose the information within 24 hours of the inadvertent disclosure or by the start of the next trading day. Failure to comply with Regulation FD can result in enforcement action by the SEC, the mere threat of which could threaten a company's reputation and its market value.
The adoption of Regulation FD was controversial and the final rule contained several significant concessions in response to numerous comments to the rule as first proposed.
For example, Regulation FD does not cover communications made in connection with most registered public offerings and violation of Regulation FD will not affect an investor's ability to resell under Rule 144 or a company's ability to use a Form S-3 short form registration statement. In addition, the rule does not apply to conversations with suppliers, customers, the news media or rating agencies. In the final rule, the SEC also exempted foreign issuers from its coverage.
Many commentators objected to the rule as unnecessary given that the current practices of most public companies are designed to avoid selective disclosures. Many companies provide advance notice of their quarterly earnings calls with analysts and allow the public to listen in via a Webcast on the Internet or by telephone.
Moreover, Nasdaq and New York Stock Exchange listing requirements have mandated for years that public companies promptly disclose any material information.
Nonetheless the SEC adopted the rule in order to give the SEC enforcement powers, including injunctions and monetary penalties, to go after individuals and companies that engaged in selective disclosure.
Although the rule expressly states that violations cannot in and of themselves be the basis for a securities class action, the specter of an SEC enforcement action has already had a significant chilling effect on the willingness of public companies to talk with analysts privately.
Regulation FD may not have a significant impact on large-caps such as General Electric or Intel, which are covered by dozens of analysts and about which there is ample publicly available information. However, small start-up, emerging companies are often in need of analyst coverage to tell their story to investors, and the new rule will likely have a chilling effect on their ability to do that.
Typically, these companies have a limited investor following, so there's less incentive for analysts to cover them, and they are often in newer, emerging markets about which there is less publicly available information. As a result, analysts often require in-depth one-on-one meetings with management before they pick up coverage of these companies to develop the background information and knowledge they need. The potential for the new rule to disproportionally impact smaller, emerging companies will be a real concern.
vision2b, GET RID OF YOUR A.G. Edwards broker account. I had them 4 years ago and the last 3 sells they charged me $250. for one small buy $ 350. for another buy and I think the last one was around $400. all small buy and sells. I was so mad at them for steeling my money, I almost sue them but didn't I just fired them and went to Ameritrade.
I Like this to da moon - http://community.mikebonnell.com/gallery/showphoto.php?photo=455&size=big
ann441j, Yes I agree and so does Dnap. The problem is People and comp. that are in the news releases by Dnap are being called and e-mailed going far beyond the scope of the news release.
tomTrific,It takes many many posts to be able to tell if someone is disingenuous. I dont feel you to be disingenous and think your request a good one.Over on the Raging Bull board there were many fights over the issue of "How far is to Far" thus part of the reason for many leaving that board, this one of many issues fought over. The very best people in the know on this is at Dnap and they can give very good reasons why. This is what some of us were talking about.Keep posting and Please keep asking questions. Thanks
To"early_retirement, Tony just said "its dangerus to give out info. due to Sec. Crack down. This is your comp.,your investment. I should think you would respect Dnap's request in regards to this issue. If your looking for a better understanding of "How far is to far" to go in searching for info. then I would call or E-Mail Carrie ,Tony or phil and ask them. They would be very happy to speak with you on this issue. They are in a better position to help you understand and give very good reasons. HOW FAR IS TO FAR ? Call and ask or better yet E- Mail them so you can post their responce here and that would help us all.
To'earlyto_retire,A lot of Posters on the RB board were calling, E-Mailing any and every comp. that was in any of the News Releases and Press Releases demanding to know more info. so much so that it got back to Dnap and it became a real problem. With a total disregard for disclosure issues and privacy issues and on going agreements between partys, posters keep demanding more and more and more from other comp.'s. it got so bad that carrie went on record as saying please do not call these other comp's as it could effect good working relationships in a neg. way.
chig,Carrie and tony has many times in the past asked those on the RB board to restrain them selves, Please. I agree with your post and could have not said it better. Thanks Again.
Life Sciences, Bio-IT, and Healthcare Meeting Provides Opportunity to Describe Strategic Plans and Corporate Structure to Malaysian Business Community
KUALA LUMPUR, Malaysia – August 4, 2003 – DNA Phenomics Sdn Bhd, a development stage company focused on the emerging field of phenomics and engaged in the discovery of genomic-based diagnostic tests, recently accepted an invitation from the Malaysian Chapter of TiE (http://www.tiemalaysia.org/) to formally introduce the company to prominent members of Malaysia’s business and scientific community.
Mr. Kamaruz Fa’ad, DNA Phenomics’ Vice President of Marketing made the presentation to a group of over 100 Malaysian investment bankers, venture capitalists, corporate leaders and scientists. Assisting Mr. Fa’ad during the question and answer period following the presentation were Mr. Ezehan Reza Kamaluddin, Chief Operating Officer and Mr. Jason Lim, Project R & D Technician.
The presentation, “Taking DNA Detective Work to the Next Level: Solving Problems, Finding Cures,” outlined the role of genomics, proteomics and phenomics in the trait discovery process. As Mr Fa’ad stated, “the company’s mission is to become the pioneering phenomics company in the region and a leader in research, development, and the application of phenomic knowledge to the healthcare market.” To further make this point, Mr. Fa’ad briefly described three significant collaborative research projects already in the pipeline. “We have reached agreement with several of the region’s top institutes to conduct research into Hepatitis, Myopia and Syndrome X. Each of these projects is a significant scientific endeavor, especially for the populations in the Asia-Pacific region. As we continue to grow, DNA Phenomics will help spearhead the country’s efforts at making Malaysia the genomic/phenomic research and development center of the region.”
About DNA Phenomics
DNA Phenomics is a development stage company focused on the emerging field of phenomics and engaged in the discovery of genomic-based diagnostic tests for personalized medicine. The company's phenomics discovery platform offers university labs, and pharmaceutical and life science companies a powerful research tool for uncovering patterns in the genome associated with health factors and drug responses. The company’s goal is to become a leader in the discovery, development, and sale of genomic-based diagnostic healthcare products and biotech research services throughout Asia and the Pacific. Founded in 2003, DNA Phenomics is headquartered in Kuala Lumpur, Malaysia. DNA Phenomics is a privately held company. Additional information about DNA Phenomics and its genomic-based solutions can be found at www.DNAphenomics.com.
About Tie
TiE is the acronym for Talent Ideas Enterprise. Founded in 1992 in the Silicon Valley, it is an open and inclusive organization that has rapidly grown to more than forty chapters in nine countries. The TiE Malaysian Chapter was incorporated on January, 22nd, 2002. Its objectives include helping members integrate with the mainstream e-community, providing a networking platform for members and fostering entrepreneurships. Members of TiE are credited with creating over US $200 billion in wealth and hundreds of patents and inventions in the IT industry. Through the annual TiE World Conference, TiE hopes to achieve its many objectives.
Public Relations Contacts
Corporate Headquarters
Ezehan Reza Kamaluddin
Chief Operating Officer
DNA Phenomics
Kuala Lumpur, Malaysia
ezehan@dnaphenomics
Ming here is another on Dnaphenomics/Dnaprint Genome - Services
DNA Phenomics' research services include contract genotyping and SNP discovery.
Methods of Discovery
Until now, it has been very difficult and exceptionally expensive to determine which genetic characteristics make a person a good responder or poor responder to a drug. The reason for this is that most drug reaction traits are multi-factorial and heterogeneous in nature and exceedingly difficult to solve using traditional research methods. Because of this, scientists have often been forced to focus on problems involving simple traits caused by single genes. The difficulty lies in the fact that most healthcare problems are not simple. The large majority of human traits are exceptionally complex.
Recently, mathematical techniques and genotyping procedures have been developed which allow for a detailed exploration of the human genome and the discovery of elements within the genome which are systematically associated with those traits.
Until recently, to explain or solve the problem of differential drug response, for example, it has been necessary to perform pan-genome screening, but one cannot explain the genomic basis for these traits simply by screening genomes with randomly selected or publicly available markers. Our competitors do this - they select a small number of SNPs in a small number of genes (called a "Candidate gene" approach) in an attempt to study extreme responder and non-responder phenotypes. If they pick the wrong SNPs or genes, they do not find a solution - this is the problem with the traditional research approach used my most companies.
Another approach is to look at the entire genome. Genome based linkage analysis in large populations of unrelated individuals is not cost effective since it costs hundreds of thousands of dollars per patient to do this type of study properly. Other companies use "isolated populations" to bring the costs down, but this approach carries significant disadvantages because their results do not necessarily generalize to other populations.
As a result of these problems it has been difficult to obtain an accurate, predictive genomics based test. Only recently have new procedures been developed that provide a solution.
DNA Phenomics relies on an unusually innovative approach called Mapping by Admixture Linkage Disequilibrium (MALD), using a statistical program called ADMIXMAP. This method allows us to obtain more information and lower our costs of discovery making it possible to uncover the causal genetic factors underlying traits such as drug reactivity.
Worktoplay, thanks again. EOM
Ya, but Arch I cant help it. I just love it all. LOL
Arch look at this,something is up - http://www.yourdna.net/default.asp
My favorite quote from Tony -
"There has been a continuous stream of interest from all the major cities because of the case," said Tony Frudakis, DNAPrint's chief science officer. "Detectives from all around the country are saying they want to learn more about it."
Strategic Alliances
DNAPrint genomics, Inc. develops complex genetic analytics and information resource products for next generation personalized medicine. The company's products provide practitioners of genomic research and personalized medicine with a comprehensive system for complex trait dissection and patient classification. This work has real-life application to the germinating field of Personalized Medicine and helps to lay the foundation for a brand-new area of medical research called Phenomics. DNAPrint genomics Inc. was founded in 2000 by a group of scientists with 57 total years of research and commercial experience in high-level mathematical modeling, programming and molecular genetics. The company currently employs 14 people, 9 of whom are Ph.D.s in Computer Science, Molecular Genetics, Statistics and/or Mathematics. (www.dnaprint.com)
MDLogix is a small organization but has an unusual depth and breadth of knowledge and experience in relevant areas including: rule-based artificial intelligence, medicine, clinical psychiatry, social network methods, and public health (epidemiology, psychometrics, statistics, prevention, and services). The Company, located in Baltimore, Maryland, has developed cutting-edge logic technology, and is at the forefront of software design and architecture. Officers have extensive knowledge and experience with theory, research, and practical working applications for a number of government and commercial enterprises. Company personnel have working relationships with a network of software developers, computer scientists and logic programmers, physicians, mental health workers, and public health researchers.
GeoSpectra is a software design company specializing in the remote sensing and mapping of geographic and geological structure from space. The company developed the Automatic Topographic Mapper (ATOM™) software package. ATOM™ is one of only several software programs in the world that produces digital elevation models and the only one capable of approximating every-pixel, elevation extraction. GeoSpectra programs have mapped the coastal zone of South Carolina, performed research for the U. S. Bureau of Land Management leading to systems for monitoring grasslands from satellite data, and developed new methods for measuring soil trafficability for the U.S. Navy.
ALL READ YA YA YA - "There has been a continuous stream of interest from all the major cities because of the case," said Tony Frudakis, DNAPrint's chief science officer. "Detectives from all around the country are saying they want to learn more about it."
"There has been a continuous stream of interest from all the major cities because of the case," said Tony Frudakis, DNAPrint's chief science officer. "Detectives from all around the country are saying they want to learn more about it."
"There has been a continuous stream of interest from all the major cities because of the case," said Tony Frudakis, DNAPrint's chief science officer. "Detectives from all around the country are saying they want to learn more about it."
News Article from Wilmington Star : Tony Frudakis
Genetic sleuths
Ancestry narrowed down with a little help from DNA
DNAPrint chief science officer Tony Frudakis (left) stands with senior scientist Matthew Thomas and Zach Gaskin, technical director of forensic genomics.
Rob Mattson - NYT Regional Newspapers
By Margaret Ann Miille
NYT Regional Newspapers
SARASOTA, FLA. -
Louisiana authorities had swabbed the mouths of more than 1,000 white men in a DNA dragnet but seemed no closer to finding their serial killer.
They abruptly switched gears after a genetics test conducted by DNAPrint Genomics Inc. indicated the man they sought in the murders of at least five women was 85 percent African and 15 percent American Indian.
In other words, he probably was black.
That information led to a break in the case and resulted days later in the arrest of a suspect.
The many twists and turns of the investigation were documented in June in a Primetime Thursday report with Diane Sawyer. The publicity thrust the Sarasota research and development company onto the national forensics radar screen.
"There has been a continuous stream of interest from all the major cities because of the case," said Tony Frudakis, DNAPrint's chief science officer. "Detectives from all around the country are saying they want to learn more about it."
The test, marketed to forensics experts as "DNAWitness," analyzes bodily fluids to determine within a few percentage points to what extent a person is of American Indians, East Asian, Indo-European or sub-Saharan African heritage.
Genealogy buffs who want to explore ambiguous parts of their family trees can buy the same test under the name "ANCESTRYbyDNA2.0."
What makes the Louisiana case so unusual is that it appears to be the first time in U.S. history that DNA was used to cull details of a criminal's physical appearance.
Still, DNAWitness may prove to be as controversial as it is useful.
"There are certain areas of genetic testing that are hot buttons," said Fred Paola, a bioethicist and associate professor of medicine at the University of South Florida in Tampa.
"Race is one of them; sexual preference is another," Mr. Paola said. "People who want to find differences between the races will point to a test like this ... This is high-tech fodder for them."
New information
For decades, DNA tests have been used to track genetic relationships back generations by following paternal and maternal lineages. Those tests show only whether people are related; they don't reveal racial compositions.
DNAPrint's test does, by focusing on the 0.1 percent of DNA that makes us uniquely individual. The test targets regions of DNA that house single nucleotide polymorphisms, or SNPs. They are gene sequences, also known as "ancestry informative markers" because they vary by race.
Mark Shriver, who developed the test with DNAPrint, challenges concerns that test results could be used to promote racial stereotyping. Instead, he said, these measurements show how superficial racial categories are because they define a person only as a member of one race.
A person's DNA ancestry is more precise because it reveals a mixture.
"It doesn't make race more than it is," said Mr. Shriver, an assistant professor of anthropology and genetics at Pennsylvania State University.
"What we see is a continuum of genetic variation in all populations. I can definitely see using proportional measures as a way to replace simply classifying people as black and white and Hispanic and Asian. It makes a lot more sense to express their proportional ancestry."
DNAWitness costs $1,000, compared with the $158 charged for ANCESTRY. The forensics test is much more involved. Strict documentation is required each time a DNA sample is moved, and there is an assumed risk that the results could be challenged in court.
From five to 20 blind samples are used in each DNAWitness test.
Altogether, DNAPrint so far has tested more than 3,300 samples.
Broadening the search
Derrick Todd Lee, the man arrested in Atlanta in late May in the Louisiana serial slayings, remains in a prison near Baton Rouge.
A grand jury has indicted him on one charge of first-degree murder in East Baton Rouge. The district attorney's office there said the state will ask for the death penalty and intends to seek indictments related to three other murders in that parish.
Before Mr. Lee's capture, law enforcement agencies were seeking a 25- to 35-year-old white man, based on contradictory witness accounts and an FBI profile that says serial killers are usually white loners.
DNAPrint offered to help and analyzed DNA that was extracted by authorities from bodily fluid found at one of the crime scenes.
Mary Ann Godawa, a Baton Rouge police corporal and spokeswoman for the Multi-Agency Homicide Task Force, said that while DNAPrint's test was useful, authorities proceeded with it cautiously. Rather than narrow their search, they expanded it.
"This is so new and it's so cutting-edge," Ms. Godawa said. "We could not completely turn this case around on that. We felt more comfortable explaining to the public that we wanted to broaden the search, that it may not be a white male as we had said before."
Ms. Godawa said authorities also asked tipsters to focus not only on color and ethnicity, but on behavior.
About 10 law enforcement agencies, primarily in the Southeast, already were using DNAPrint's test before Mr. Lee's arrest hit the national news.
Sales expected to climb
Mr. Frudakis, DNAPrint's science officer, said he expects sales to climb because of heightened visibility and the potential appeal of using it to help solve "cold" cases.
"You can make some very worthwhile general inferences about physical appearance knowing the ancestry," Mr. Frudakis said. It's possible, for example, to identify a range of likely physical characteristics, including eye shape, nose shape and skin color.
High interest in the test is tempered, however, with concerns about its potential racial overtones, which have caused some law enforcement agencies to balk.
"Race is a hot potato because of political correctness," Mr. Frudakis said. "It's a shame. But every product goes through an acceptance cycle, especially this one."
For now, DNAWitness - or ANCESTRY, depending on who's using it - is DNAPrint's sole offering. In the works are upgraded versions that would further pinpoint the geographical areas of a person's heritage. So are other tests that would help forensic specialists determine eye and hair colors from DNA left at crime scenes.
Forensics is what put DNAPrint on the map, but the company is also looking at other areas. DNAPrint researchers continue to explore ways in which genetic information could be used to predict how individuals will react to certain prescription drugs.
Nonetheless, some experts are concerned that DNA testing as a whole can trample on the civil rights of people whose samples have been collected.
One of them is Barry Scheck, director of the Innocence Project at the Cardozo School of Law in New York, which uses DNA to reverse false convictions.
Mr. Scheck is unfamiliar with the specifics of DNAPrint's test but wasn't surprised that a company had found a way to reliably identify genetic markers for race.
His reservations focus on DNA archiving as a whole. Genetic data obtained from crime scenes, convicted offenders and even volunteers are stored - in the name of quality assurance - in various governmental databanks long after the purpose for which they were collected is served, Scheck said.
"My concern is that you can go back to those samples and to begin to do DNA analysis looking at other genes, and for what purpose? We now have information that certain genes taken together will show that somebody is a pedophile or has a propensity for violence or mental problems. That is what we are concerned about.
"People don't know that their profiles as well as their original DNA samples are being kept. This opens up a potential for serious abuse."
Margaret Ann Miille writes for the Herald-Tribune in Sarasota, Fla.
Theo, Thnkyou on the ignore info.
chrisbaskett, good point, it will take team work by all of us reporting them, should they start their game playing over here.count me in.
Miss Scarlet, most of the posters here came here to be rid of all the bashers on raging bull that numbered close to 100.We put up with them for well over a year,always responding to them over and over and over again with all the facts and figures you can think of. These Bashers tonytox, DragonEsquire,Indy_scent.ssob with several different alliases,Tdiamonds,Fatboy22 and others care only about themselves and profit.They are cynical, BASE and erroneous.
ustacud,thanks Again. Have a great weekend.
mjam,Ya.LOL Just having a little fun. This will be my 14 post today i think i have one more left.I'll just have to be happy w/ reading the rest of the day.
Next Stop FDA approval, YA !!!!!$$$$$$$$$$$$$