Pozen Inc. (POZN)

[surf1944]

7:32AM POZEN sees FY11 rev below consensus (POZN) 2.26 : As a result of the successful patent defense, co expects the royalty from Treximet sales will continue at 18% of net sales, at least through the August 2017 patent expiry, assuming the Court of Appeals upholds the decision. If the pediatric extension is granted, the exclusivity period could extend to February 2018. Co sees FY11 revs $18-19 mln vs $19.85 mln Capital IQ Consensus Estimate; they see FY11 op-ex of $45.5-47.5 mln and a net loss of $27-29 mln... Treximet is marketed by POZEN's exclusive U.S. licensee, GlaxoSmithKline (GSK). The District Court ruled U.S. Patent Nos. 6,060,499 and 6,586,458 to be valid, enforceable and infringed by Par Pharmaceutical (PRX), Alphapharm, and Dr. Reddy's Laboratories (RDY). A third patent, U.S. Patent No. 7,332,183 (the '183 patent) covering the Treximet formulation was held to be valid, enforceable and infringed by Par and DRL. The '183 patent was not asserted against Alphapharm. Each of the defendants have appealed the decision to the U.S. Court of Appeals for the Federal Circuit.