Biotech Values

[DewDiligence]

Teva has reserved $2.1B of damages stemming from infringing PFE’s US Protonox patent:

http://online.wsj.com/article/SB10001424127887324162304578302550657347058.html

Teva Pharmaceutical Industries Ltd. may be on the hook for up to $2.1 billion in damages because it sold generic copies of Pfizer Inc.'s heartburn reliever Protonix before the drug's U.S. patent exclusivity expired in 2011.

The Israel-based generic-drug maker already booked a $670 million provision for the third quarter of 2012 to cover a potential Protonix loss. Now, in its 2012 annual report filed Tuesday with the U.S. Securities and Exchange Commission, Teva has disclosed that its management estimates the "ultimate resolution of this matter could result in a loss of up to $1.4 billion in excess of the amount accrued."

It would be one of the highest tabs for damages from a so-called "at-risk" launch of generic drug.