PainMed Investing

[geodan]

NPHC put out numbers, missed it till just now.

The NPHC #s were very low for 2Q. It has to be recognized that NPHC gets about $3 and XCHO gets about $10 per bottle and XCHO built up a lot of inventory.

In other words NPHC's 1Q #s were greatly aided by XCHO building up inventory, and their 2Q #s hurt because XCHO built large inventories in 1Q.

In XCHO case is different, it is actual sales, although a big chain like CVS would build up some inventory.

So XCHO 2Q #s will be much better than NPHC's both because they get 3.3 times more per bottle and the inventory build factor is tiny in comparison.

What they will be it hard to say, but much better than NPHC's. XCHO had enough inventory to sell $3 mill worth, but I would guess its more like $1 mill or they would have ordered more.

There was some frictioni the PR, bad to see that. We want them to get along. The contract is tight, as long as XCHO meets teh mins which is no problem, they have exclusive.