Patterson-UTI Expands Rigging Activity in Shale Basins

The drilling slowdown has eroded Patterson-UTI Energy’s (PTEN-$15.25) U.S. land rig market share, which is down some 50 percent in the last 24 months to about 7.5 percent. Competitor Helmerich & Payne has been able to snag market share and maintain a relatively higher utilization due to stronger drilling demand — and longer duration of term contracts — for their higher horse-power rigs specially adapted for shale play operations.

With about 350 marketable rigs, Patterson-UTI is the second largest onshore driller in North America. The contractor has deployed six of its new-build Apex to shale and unconventional resource plays …. “Recovery but No Recovery” – continue reading at BNET Energy….

Editor David J Phillips does not hold a financial interest in any stocks mentioned in this article. The 10Q Detective has a Full Disclosure Policy.

Novartis Breathes Life Into Blood Pressure Franchise

Novartis AG (NVS-$55.85) loses patent protection for its $4.4 billion blood pressure medicine Diovan (valsartan) in the major countries of the European Union in 2011 and the following September here in the U.S. Expect generic challengers to strangle Exforge’s (valsartan-amlodipine) lease-on-life, too. Does anyone know CPR? The drugmaker is reaching into its life-cycle playbook to introduce several new fixed-dose combinations before much of its anti-hypertensive franchise experiences near-fatal wheezing episodes.

The two brands comprised almost 23 percent of global pharmaceutical sales for the nine-months ended September 30.

To find out if the novel renin-inhibitor Tekturna can resuscitate Novartis' BP franchise, click through to BNET Pharma….

Editor David J Phillips does not hold a financial interest in any stocks mentioned in this article. The 10Q Detective has a Full Disclosure Policy.

Johnson & Johnson Itches for Successful Stelara Launch

Stelara (ustekinumab), the Johnson & Johnson (JNJ-$62.76) drug approved for the treatment of moderate-to-severe plaque psoriasis in adult patients, could be a blockbuster drug. This first-in-class interleukin (IL) inhibitor offers the appeal of fewer injections than the established biologics for psoriasis, the tumor necrosis factor-alpha inhibitors.

Commercial success of Stelara, however, could hinge on acceptance by dermatologists. Which TNF-alpha inhibitor has the most to lose if Stelara changes prescribing habits—Humira or Enbrel? To find out, continue reading at BNET Pharma….

Editor David J Phillips does not hold a financial interest in any stocks mentioned in this article. The 10Q Detective has a Full Disclosure Policy.

Should Genzyme Hire Beer Girls Instead?

Genzyme (GENZ-$49.63) has already spent more than $1 billion in the last two years to build new and bigger bioreactors — notably in the U.S., Ireland, and Belgium. Eventual plans call for total perfusion bioreactor capacity to climb from 20,000 Liters to 32,000 Liters by 2012. The global brewer of enzyme replacement therapies for rare genetic diseases disclosed this week that the FDA was delaying final approval of the company’s application to market Lumizyme (alglucosidase alfa) for the treatment of Pompe disease.

Can Genzyme finally redress its quality control problems at Allston Landing and keep unwanted particles out of its enzyme stews? Find out at BNET Pharma….

Editor David J Phillips does not hold a financial interest in any stocks mentioned in this article. The 10Q Detective has a Full Disclosure Policy.

ITT Educational Services' Healthy Assets Hide Growing Loan Defaults

Do not be mislead by ITT Educational Services (ESI-$93.00) impressive balance sheet or 27 percent gains in new student enrollments for the third quarter, as the trail of money starts and ends back at ITT itself. Federal loan programs are falling short, so the for-profit educator is dipping into its own coffers to help students cover this widening tuition gap. Up to 65 percent of its students need private lending, and analysts estimate that $100 million to $120 million in loans and scholarship assistance will need to come from ITT’s internal lending program.

With a likely deliquency rate of 40 – 50 percent from internally generated loans, how much bad debt expense will likely fall to ITT’s bottom line? Read more at BNET Technology….

Editor David J Phillips does not hold a financial interest in any stocks mentioned in this article. The 10Q Detective has a Full Disclosure Policy.

Biogen Idec's Social Media Successes

In the battle for market share and sales, Biogen Idec (BIIB-$46.75) has successfully conveyed the Tysabri message to providers and potential customers alike through popular social media websites ranging from YouTube to Facebook. Despite the increasing amount of PML cases that have been diagnosed since Tysabri was re-introduced to the U.S. market in July 2006, neurologists’ confidence in the drug remains strong – with 63 percent of providers agreeing to a survey statement: “Tysabri’s benefits outweigh the risk it poses to MS patients.”

Notwithstanding the drug’s known efficacy, would it not be interesting to find out (a) to what extent do busy physicians rely on the Internet for drug education and updates? And, (b) how much of this information originates from company-sponsored sources?

To read more about Biogen’s web-enabled social media strategies, click though to BNET Pharma….

Editor David J Phillips does not hold a financial interest in any stocks mentioned in this article. The 10Q Detective has a Full Disclosure Policy.

Generics Pressure Johnson & Johnson -- Motrin Anyone?

Johnson & Johnson’s Invega (paliperidone) is no Dorothy Hamill poised to skate away with the gold anytime soon. The heralded successor to the schizophrenic drug Risperdal took a tumble after flubbing the double lutz. Third-quarter U.S. revenue fell 16.4 percent to $61 million, and Invega slowly wobbled away out of the rink – but not out of sight of prying eyes: providers voicing skepticism that the drug was nothing more than an expensive “me-too” Risperdal — and health insurers restricting its usage and reimbursement (Tier-3, non-preferred status on the drug formulary plans of Kaiser and United).

Generic challenges to the marketing exclusivity of the attention deficit disorder medicine Concerta (methylphenidate), Aciphex (rabeprazole) for heartburn and acid reflux, and Levaquin (levofloxacin), an antibiotic for urinary tract infections means repleneshing a once-robust portfolio will take more effort than a missed “toe off” jump.

Read How the Venerated J&J Management Team Plans to Turn Dust into Gold at BNET Pharma….

Editor David J Phillips does not hold a financial interest in any stocks mentioned in this article. The 10Q Detective has a Full Disclosure Policy.

MannKind Inhales -- Exhales, Awaits FDA Meeting

MannKind (MNKD-$6.58) is seeking FDA approval of Afresa for the treatment of adults with type 1 or type 2-diabetes. Afresa is a drug-device combination product, consisting of an ultra, rapid-acting insulin [an inhalation powder formulation] pre-metered into single unit dose cartridges and an inhaler. In a one-on-one interview, chief financial officer Matt Pfeffer provides an update on the status of Afresa’s assigned Prescription Drug User Fee Act (PDUFA) date of January 16, 2010 and company plans for the next-generation inhaler.

Read exclusive interview at BNET PHARMA….

Editor David J Phillips does not hold a financial interest in any stocks mentioned n this article. The 10Q Detective has a Full Disclosure Policy.

Teva Pharmaceutical Learns Legal Sword Cuts Both Ways

Teva Pharmaceutical (TEVA-$52.03) became the world’s largest generic manufacturer through an unflinching willingness to knock down the patented walls protecting the branded products owned by Big Pharma. This legal brashness has helped the company to build a portfolio of cheaper versions of such well-known drugs as the colorectal chemotherapeutic agent Eloxatin (oxaliplatin) and blockbuster drugs like Adderall XR (amphetamine salts) for narcolepsy and ADHD and Protonix (pantoprazole) for acid reflux.

In recent years the company has sought to mitigate encroaching generic competition – and resultant pressure that shorter pricing life cycles have on margins – by broadening its drug portfolio to include leading branded products. For example, Teva markets in the U.S. the self-administered, subcutaneous injectable for multiple sclerosis, Copaxone (glatiramer acetate), which now accounts for 25 percent of its total domestic sales.

Teva’s own Sword of Damocles, however, now threatens to cut short the patented life of Copaxone, as Mylan and other generic companies are petitioning the FDA to permit market access for their own cheaper, copy-cat versions of Teva’s MS drug. Ergo, Teva has initiated patent infringement lawsuit(s) against Mylan [and others]. Teva scientists argue, too, that the “seriousness of the disease” warrants a thorough review of its competitors’ products, including clinical trials assessing efficacy.

Is Teva learning the legal sword cuts both ways? Continue Reading at BNET Pharma ….

Editor David J Phillips does not hold a financial interest in any stocks mentioned n this article. The 10Q Detective has a Full Disclosure Policy.

Can BioCryst Pharma's Peramivir Boost Obama's Poll Numbers?

Does the totality of scientific evidence on Biocryst Pharma’s (BCRX-$10.00) peramivir support the intravenous administration of the drug in patients with suspected 2009 H1N1 influenza — and outweigh the known and potential risks? FDA Commissioner Margaret Hamburg opines that the answer is “yes” in her Letter of Authorization granting EUA to peramivir, despite knowing the following facts:

Dosing in pediatric patients is based on modeling of pharmacokinetic data from adult healthy volunteers and adult patients with influenza. No children (under the age of 18) have received peramivir in clinical trials… .Continue Reading at BNET PHARMA….

Editor David J Phillips does not hold a financial interest in any stocks mentioned n this article. The 10Q Detective has a Full Disclosure Policy.

Biogen Idec - Sacrificing Integrity for Profits?

On its recent earnings call, Biogen-Idec (BIIB-$42.59) management brushed aside alleged safety advantage [PML-related] to “drug holidays” for long-term Tysabri users. Specifically, when asked to comment on the proportion of patients in Biogen’s database where providers implemented drug holidays, senior researcher Al Sandrock tersely replied: “From the data we have — we are seeing very, very isolated cases of that.”

About 13,400 patients receiving monthly infusions (or approximately 29 percent of all patients taking the drug) have been on Tysabri therapy for more than two years — paying, on average, $28,500 per year for 13 infusions. It’s easy to do the math, subtract number of infusions and units sold decline.

Could physician and patient distrust lead to Tysabri (once again) losing market share to Teva Pharmaceutical’s (non-interferon) immunomodulator Copaxone?

Read More at BNET PHARMA ….

Editor David J Phillips does not hold a financial interest in any stocks mentioned in this article. The 10Q Detective has a Full Disclosure Policy.