In Brief
This article was originally published in The Tan Sheet
Executive Summary
Canada shifts energy drinks, possibly other NHPs to foods; Consumer Reports takes on fish oil; OTC diabetic products lift Hi-Tech sales; MJN restructures management and LipiGesic M sold at CVS, Walgreens
Canada shifts energy drinks, possibly other NHPs to foods
Health Canada’s plan to transition energy drinks from natural health products to foods could “open the floodgates” for reclassifying more than a thousand other food-like NHPs, including nutrition bars and functional beverages, an agency official says. At the Institute of Food Technologists’ Food Policy Impact meeting Dec. 1, William Tan, director of the counry’s Bureau of Nutritional Sciences, said Health Canada will publish a guidance document in January on how to manage such products as foods. In October, the Canadian health authority announced its reclassification of energy drinks will allow regulators to limit and force disclosure of the caffeine per serving, as well as ensure vitamins and minerals are within safe levels. Shifting many products out of the NHP category also could reduce Health Canada’s backlog of product license applications (Also see "Canada Natural Health Product Reg Chips Away At Application Backlog" - Pink Sheet, 25 Apr, 2011.).
Consumer Reports takes on fish oil
The 15 top-selling brands of fish oil contained the labeled amount of eicosapentaenoic acid and docosahexaenoic omega-3 fatty acids and did not exceed limits for lead, mercury, dioxins or polychlorinated biphenyls, according to lab tests ordered by Consumer Reports. However, the Consumers Union publication found five of the brands “fell a bit short” on other quality measures, according to a Dec. 6 announcement. Consumer Reports found two samples of Kirkland Signature Enteric 1200 failed the U.S. Pharmacopeia disintegration test for enteric coating. It also found PCB amounts in CVS Natural, GNC Triple Strength, Sundown Naturals and Nature’s Bounty Odorless could trigger California’s Proposition 65 requirement to include on labels warnings about compounds that may cause cancer, birth defects or reproductive harm.
Nordic Naturals Ultimate Omega 1000 mg met all quality tests, but Consumer Reports could not include the results because the product includes lemon oil, which renders the industry-standard spoilage test unreliable. The process of adding lemon oil to the products prompted the National Advertising Review board to recommend Nordic Naturals discontinue purity and freshness claims (Also see "National Advertising Division In Brief" - Pink Sheet, 18 Jul, 2011.). The firm announced Dec. 5 that it is exploring new testing methods for naturally flavored fish oil.
Diabetic OTCs help lift Hi-Tech sales
Increased sales of Zostrix pain relief creams and DiabetiDerm skin care treatment contributed to a 40.2% second-quarter net sales gain for Hi-Tech Pharmacal Co. Inc.’s health care products division. The unit, which markets OTC drugs and supplements to diabetic consumers, reported net sales of $4.7 million in the August-October period, while the company’s overall sales rose 27.4% to $56.9 million. Strong sales of generic Rx equivalents of Flonase, Neurontin and Zantac also helped drive growth for the Amityville, N.Y.-based firm. Hi-Tech said Dec. 5 its net income grew 38.2% to $13.8 million in the second quarter and 47.7% to $27.6 million in the first half of its fiscal 2012.
MJN restructures management
Mead Johnson Nutrition Co. reorganizes its top leadership to support its global expansion, the Glenview, Ill., infant formula maker announces Dec. 7. Kasper Jakobsen, president of the Americas, also will assume the new role of executive VP and chief operating officer with oversight of all regional business activities.The firm also names Pete Leemputte executive VP and chief financial officer in recognition of his work as “the main architect of Mead Johnson’s robust financial structure as a public company,” CEO Steve Golsby said in the release (Also see "Mead Johnson Set Loose To Navigate Market, Shifting Economic Winds " - Pink Sheet, 16 Feb, 2009.). Finally, Charles Urbain, president of Asia and Europe, will become senior VP of stakeholder relations & chief development officer with responsibility for the firm’s business development activities and external relations.
Mead Johnson also announced the same day it will spend $325 million to build a new manufacturing and technology center in Singapore. The facility will support product demand across Asia, which has increased at a double-digit rate for the past 10 years, and will include the firm’s first spray dryer in Asia, according to the release.
LipiGesic M sold at CVS, Walgreens
The homeopathic migraine medication LipiGesic M will appear on CVS store shelves in January, PuraMed BioSciences Inc. announces Dec. 6. The national drugstore chain’s initial purchase order will almost double the stores that carry the feverfew- and ginger-based pain reliever, the Schofield, Wis., firm says. Walgreens also carries the all-natural product. PuraMed touts a recent study in the journal Headache that found LipiGesic M effectively treated migraines (Also see "In Brief" - Pink Sheet, 21 Mar, 2011.).