Replies to post #157912 on Biotech Values

[DewDiligence]

MRK—Some color on the Perlmutter hiring (and Kim firing) from FierceBiotech:

http://www.fiercebiotech.com/story/ex-amgen-research-czar-perlmutter-helm-mercks-struggling-rd-ops/2013-03-07

[DewDiligence]

Nearly lost amid MRK’s “bad” quarter was this:

http://seekingalpha.com/article/1389381-merck-s-ceo-discusses-q1-2013-results-earnings-call-transcript

…emerging markets grew 8% excluding exchange and accounted for approximately 21% of pharmaceutical sales for the quarter. We continue to make investments in commercial, manufacturing and R&D to align with the long-term potential of the emerging market. For example, just last month, we opened a new manufacturing facility in Hangzhou, China with capability to supply a high quality medicines to China and Asia-Pacific region at lower cost.

Although MRK doesn’t have the kind of branded generics business in emerging markets that ABT and PFE do, MRK is nonetheless a major beneficiary of The Global Demographic Tailwind. This is particularly true for MRK’s animal-health business, which comprises almost 10% of sales; it will grow as increasing global affluence leads to more meat consumption and greater use of companion animals.

p.s. MRK’s hiring Roger Perlmutter makes me more bullish on the company’s pipeline.