Spartan to close five Pharm drug stores
GRAND RAPIDS, Mich. Spartan Stores on Thursday announced the closing of five Pharm drug stores and one convenience store, all of which were acquired through the recent Felpausch acquisition, by the end of September.
The five Pharm retail stores generated approximately $30 million in net sales and recorded an operating loss of approximately $0.4 million during fiscal 2007.
“The closing of any of our retail stores is always a difficult but necessary decision,” stated Spartan chairman, president and chief executive officer Craig Sturken. “These particular stores did not meet our performance criteria, were located in outlying markets with limited growth potential and had leases expiring in a relatively short time period.”
The Company expects to record a pretax gain of approximately $0.8 million from the sale of related assets in its fiscal 2008 second quarter. The net gain on the transaction will be recorded as discontinued operations on the company’s financial statements.
The Pharm retail stores are located in Napoleon, Findlay, Bowling Green, Lima, and Port Clinton, Ohio. The ExpressMart convenience store is located in Mason, Michigan. Following the closing of these retail stores, Spartan Stores retail store base will consist of 88 retail supermarkets and 14 Pharm drug stores.
Roche to sue Teva over patent of Boniva
BASEL, Switzerland Swiss pharmaceutical company Roche Holding has filed suit against generic pharmaceutical maker Teva over Roche’s patented osteoporosis treatment, the company said Tuesday.
Roche filed a complaint at a New Jersey district court to prevent Teva from selling their generic version of Boniva, the company’s spokeswoman said.
Sales of Boniva for the first six months of the year totaled $314 million. Recently, Roche’s rival Novartis filed for an injunction against the generic pharmaceutical maker to halt the creation and production of its Famvir herpes treatment. Novartis was denied the injunction but was granted one by the U.S. District Court of Appeals a few days later.
King Pharma announces intention to fight Actavis’ generic Avinza
BRISTOL, Tenn. King Pharmaceuticals has recently learned that Actavis has filed paperwork with the Food and Drug Administration to make a generic version of their pain medication Avinza (morphine sulfate).
King “intends to vigorously enforce the patent on Avinza” by starting legal procedures that will most likely ending up with the two companies meeting in federal court. King spokesman James Green said, “The business of generic manufacturers is to challenge as many patents as possible, hoping to win a few.”
At the beginning of the year King acquired all the rights to Avinza from Ligand Pharmaceuticals and has seen revenues of $9 million and $35 million in the first and second quarters of 2007.
Avinza’s patent does not end until Nov. 25, 2017.