Annual Report 2006 - Boehringer Ingelheim

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Counterfeits – a real threat for patients According to World Health Organization (WHO) figures, about 10 % of all pharmaceuticals are counterfeit, are fakes or substandard drugs. People in developing countries are regularly confronted with this problem, also developed countries too are increasingly affected by this kind of criminal activity. The main sources for counterfeit drugs are in Asia and Latin America. Boehringer Ingelheim products were also subject to this criminal activity. Since 2001, when the Corporate reporting system was installed, over 100 cases had been reported from inside or outside the Corporation. There are several reasons for the rise of counterfeit medications: weak regulatory oversight, missing legal framework for prosecution and penalisation, untrained customs and a supply chain which is not sufficiently Two-dimensional barcodes are small and can store much more information than older one-dimensional barcodes. They are therefore useful for pharma packages. To give the maximum protection for the patient they should be combined with tamper-resistant closures. our customer orientation controlled by inspections and not well protected against penetration of faked products. New distribution channels like the internet are not yet sufficiently controlled either. “One company alone cannot solve the problem,” says Dr Thomas Zimmer, Head of Corporate Safety, Quality & Environmental Protection. Dr Zimmer represents Boehringer Ingelheim in the European Federation of Pharmaceutical Industries Associations (EFPIA) as the chairman of the anticounterfeiting ad hoc group and as a member of the WHO taskforce IMPACT. The strategy for combating counterfeits in the developed world involves a couple of different approaches: a tamper- resistant package, which is combined with a two-dimensional randomised barcode specific to one individual package, and a database to support the authentication process of products as close to the customer as possible, ideally in pharmacies. In the USA, other techniques, such as radio frequency identification (RFID) labels are currently being discussed as too are so-called “pedigrees” which document each stop a product has made in the supply chain. To specifically address the Latin American market Boehringer Ingelheim founded an internal taskforce intended to collaborate with other companies and local agencies to contribute to respective solutions. “But the solution is not only a technical one,” Dr Zimmer says. “There is in general an over-reliance on technology. Communication with the public is needed.” It is a fight which requires patience, persistence and sustained effort. “This battle can be won, but you can only win it step by step,” underlines Dr Zimmer. Investments / Counterfeits 9
9 Boehringer Ingelheim A n n u A l R e p o R t 2 0 0 6
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Value through Innovation Annual Rep
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Contents 1 Value Through Innovation
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The Shareholders’ Perspective Dea
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Key Aspects of 2006 2006 was again
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This growth was clearly restrained
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Shareholders’ Committee Dr Heribe
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“There is help” “The woman wh
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1 continued from page 10 A Kenyan m
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1 Our people In pursuing our vision
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Company childcare enters new territ
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1 Caring for our neighbours We are
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0 Children from St Margaret Clither
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Our environment & employee safety A
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thanks to the use of the wood-fired
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Our goals We shall continue to inve
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Targeting tomorrow’s therapies Th
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0 continued from page 28 “Boehrin
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Our R & D strategy Research and dev
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Ridgefield, USA Cardiovascular, imm
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Vienna, Austria Oncology Boehringer
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Our expertise in landmark studies L
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From mind to man - the R & D proces
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New biological entities (NBE) One o
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The development of our businesses W
Page 49: Rin Fujima, Kyoto, Japan, suffers f
Page 52 and 53: Human Pharmaceuticals Branded presc
Page 54 and 55: cal exercise capacity and the reduc
Page 56 and 57: “Like a great round of golf“
Page 58 and 59: gives patients a better chance of g
Page 60 and 61: aptivus® was launched in the USA i
Page 62 and 63: enzymes, such as the HCV serine pro
Page 64 and 65: Børge Madsen, Copenhagen, Denmark.
Page 66 and 67: Cardiovascular diseases Despite sig
Page 68 and 69: actilyse® is the first and only th
Page 70 and 71: fibrillation in some 40 countries i
Page 72 and 73: Treatment modalities used to reliev
Page 74 and 75: HuCAL antibody directed against a c
Page 76 and 77: hand, the end of exclusivity in Eur
Page 78 and 79: Generic Prescription Medicines The
Page 80 and 81: Ben Venue - a world leader in steri
Page 82 and 83: Mara Lovera, Buenos Aires, Argentin
Page 84 and 85: Consumer Health Care Our Consumer H
Page 86 and 87: Switching reinforces the trend towa
Page 88 and 89: Alexander (left) and Christopher pl
Page 90 and 91: Animal Health The sound progress of
Page 92 and 93: located, trained and placed with fi
Page 94 and 95: Our Customer Orientation Our custom
Page 96 and 97: On a biopharmaceutical compound’s
Page 98 and 99: Pharmaceuticals Production Our Phar
Page 102 and 103: Group Management Report 2006
Page 104 and 105: companies lost their patent protect
Page 106 and 107: To summarise, we see the success of
Page 108 and 109: Production Production sites belongi
Page 110 and 111: In the area of HIV/AIDS therapy, we
Page 112 and 113: only 2 %. The region’s overall ne
Page 114 and 115: of the cash flow, which rose by EUR
Page 116 and 117: Report on expected developments The
Page 118 and 119: Consolidated Financial Statements 2
Page 120 and 121: C. H. Boehringer Sohn Grundstücksv
Page 122 and 123: C. H. Boehringer Sohn, Ingelheim Co
Page 124 and 125: C. H. Boehringer Sohn, Ingelheim St
Page 126 and 127: The following subsidiaries were exe
Page 128 and 129: 2 Accounting and evaluation methods
Page 130 and 131: 3 Notes to the consolidated balance
Page 132 and 133: 3.3 Financial assets (in millions o
Page 134 and 135: Pension provisions Boehringer Ingel
Page 136 and 137: 4 Notes to the consolidated profit
Page 138 and 139: 4.7 Holding income (in millions of
Page 140 and 141: Other mandatory disclosures accordi
Page 142 and 143: Derivative financial instruments at
Page 144 and 145: With the following exception, our a
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Product name Active ingredient Indi
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Comparison of Balance Sheets/ Finan
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Annual Report 2006 - Boehringer Ingelheim

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