Intervet, focusing on increasing its presence in the world animal health market, started the construction of a new R&D center in Angers, France (building site and computer image, right).
Sales of Pharmaceuticals made substantial progress compared to 1997, aided by incidental Norcuron® muscle relaxant sales in the United States. Esmeron® muscle relaxant (Zemuron® in the United States) shows satisfactory growth both by replacing Norcuron® and by further market penetration, demonstrating our world leadership in muscle relaxants. To aid anesthesiologists in monitoring muscle relaxation we have introduced TOF-Watch®. One of the year’s highlights was the submission to the U.S. FDA of the New Drug Application (NDA) file for Raplon® rapid onset short duration muscle relaxant, in June 1998. Market introduction is anticipated in late 1999. In Diagnostics, Microbiology performed well, continuing to show double-digit growth for its BacT/Alert® systems for automated blood culture. BacT/Alert® 3D, the new generation diagnostic for the culture and detection of bacteria (including mycobacteria) and fungi was introduced in May 1998 at the conference of the American Society of Microbiology in Atlanta, Georgia. Nucleic Acid Diagnostics also registered strong sales growth, notably for its HIV and CMV assays. We also have high expectations for our NucliSens® Extractor introduced at the 12th World Aids Conference in Geneva, Switzerland. The extractor provides an automated solution for the extraction of nucleic acids from human body fluids, replacing labor-intensive manual procedures. Immunodiagnostics reported a favorable development of sales, despite the economic situation in Southeast Asia. The FDA approved Vironostika® HTLV I/II assay for blood screening. Through an arrangement with Ortho Clinical Diagnostics (Johnson & Johnson), the combined assay for detection of types I and II Human T-cell Lymphotrophic Virus, a causal agent of certain types of leukemia, lymphoma, and neurological disorders, was successfully introduced in the U.S. blood screening market. A fourth generation HIV screening assay Vironostika® HIV Uni-Form II Ag/Ab was launched in late 1998. This assay helps reduce the period between infection and detection from three to two weeks. Hemostasis improved its geographic mix by further placements of its MDA®-180 and Coag-A-Mate® MTX systems. Two new clotting assays (MDA® D-dimer assay and Simplastin® HTF assay) were FDA approved and introduced. Conventional assay sales failed to meet expectations in the United States, but higher sales outside the United States compensated for the shortfall. AKZO NOBEL ANNUAL REPORT 1998 29 PHARMA Organon Teknika’s installed base of diagnostic systems improved substantially in 1998, providing an attractive platform for future growth in a highly competitive environment. INTERVET – VETERINARY PRODUCTS Sales NLG 780 million (1997: NLG 720 million) Further expansion in difficult year Intervet’s product range comprises biologicals for use in farm animals, fish and pets, fertility products to enhance reproduction performance, corticosteroids, nonsteroidal anti-inflammatory drugs (NSAIDs), and antibiotics. Although 1998 was a rather difficult year, particularly in Asia, satisfying sales and excellent income were achieved. Volume growth was good in Europe and the Americas. In particular, the range of biological products contributed to this positive development. During the year new Intervet subsidiaries were established in Korea and Taiwan. In Switzerland, Veterinaria AG was acquired, while in Australia—through the acquisition of AusVac—a foothold in the biological market was secured. Worldwide, a number of new products were registered and introduced. In the United States various new animal vaccines were launched; in Europe registration for an NSAID for use in dogs was obtained. Several other vaccines were introduced in the various European markets. In Japan, eight new products were registered, creating sufficient potential for healthy growth in that country. Our strategy continues to focus on achieving substantial autonomous growth through R&D and simultaneous improvements in the geo mix. Aside from this, Intervet remains interested in opportunities to acquire smaller businesses that fit this strategy. Construction of the new R&D center in France for the development of pharmaceutical products is on schedule. During the year the construction of a new NLG 50 million bacterin production plant in Boxmeer, the Netherlands, was authorized.
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