Biotech Values

[zipjet]

Under the terms of Momenta's 2003 Collaboration and License Agreement with Sandoz, upon the launch of an authorized generic Lovenox, for the remainder of the product year ending June 30, 2012, Sandoz is obligated to pay Momenta a 10-12% royalty on its net sales of enoxaparin sodium until the contractual profits from those net sales reaches a prorated contractual amount of approximately $99.1 million.

Thereafter, provided that no other third party is marketing a generic Lovenox, Sandoz is obligated to pay Momenta 45% of contractual profits on net sales through the remainder of the product year ending June 30, 2012.

What does that mean?

NS - C - R = CP

NS - C = CP

Anyone understand this?

ij

NS is net sales
C is associated costs other than royalties
R is the royalty payment