Biotech Values

[DewDiligence]

>You're right the margins will draw the ire of congress to light a fire under the FOB legislation. It may also act to attract other players into the FOB space.<

If I were Arthur Levinson, I would have told my line managers at DNA to pull out all the stops on expenditures for a quarter or two—until the biogenerics legislation is either signed into law or killed. There ought to be some discretionary items from next year’s budget they could have accelerated to get the operating margin down a few points. 42% is insane and it surely won’t be overlooked by the Waxman types in Congress.