Wyeth-Ayerst Acel-Imune Discontinued; DTaP Vaccine Had Sales Of $71 Mil.

Wyeth-Ayerst is discontinuing the DTaP vaccine Acel-Imune, the company said.

The decision to discontinue the diptheria, tetanus and acellular pertussis vaccine was made after Wyeth completed an evaluation of its product portfolio, production capabilities and the recent FDA consent decree, the company said.

During the review, Wyeth determined that Acel-Imune and its tetanus toxoids "generated minimal revenue and income," the company said. Sales for the combination were $71 mil. in 2000. Acel-Imune was manufactured in Wyeth's Pearl River, N.Y. facility.

Wyeth was the first company to market a DTaP vaccine when Acel-Imune came on the market in 1991. Acel-Imune was the leading DTaP vaccine with a 45% share of the $86.3 mil. market for the 12-month period ending in November, IMS Health data show.

The Acel-Imune discontinuation is included in a $267 mil. charge taken by American Home Products in the fourth quarter. The charge also covers expenses related to the closing of two manufacturing facilities as stipulated under Wyeth's consent decree with FDA.

The charge is related to the "costs associated with the closing of a substantial portion of our Marietta, Penn. manufacturing facility and certain product discontinuations," AHP CFO Kenneth Martin said on a Jan. 25 quarterly conference call with analysts. "The primary product involved is Acel-Imune," he added.

The $267 mil. charge includes the $30 mil. disgorgement fee AHP paid FDA in October for the good manufacturing practices violations committed in the Marietta and Pearl River facilities.

AHP also took a $401 mil. charge during the fourth quarter to write-down the goodwill associated with the generic pharmaceuticals business and the Solgar dietary supplement product line, Martin said. Another $80 mil. charge covered the withdrawal of PPA products.

The charges were announced alongside a $7.5 bil. charge to cover the ongoing Redux liability cases (¹ (Also see "AHP Sets Redux Liability Cost At $12 Bil.: 25% More Than Price Of Cyanamid" - Pink Sheet, 29 Jan, 2001.)).