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New York City, NY— (March 27, 2006) Between 2003 and 2005, the proportion of products receiving FDA approval from emerging pharmaceutical companies has increased relative to larger pharmaceutical companies. In 2005, 40% of newly approved products were developed by emerging pharmaceutical and biotech companies. Steve Budd, President of PDI, Inc., noted that this rise of products in the pipeline from emerging pharma is mirrored by an increase in opportunities for these companies to enter the commercialization process. Emerging pharma companies are now faced with the challenge of assessing and making choices on the many options available to them, including co-promotion or going-it-alone. At the same time, they must be able to accurately assess what they hope to gain from the process. Finding and investing in the right marketing opportunity offers the highest potential for gain and an opportunity to boost investor confidence, but also bears the greatest risks, including increased development costs and commercialization risks.
PDI assembled a panel of leaders, moderated by Budd, from small and mid-sized companies who shared their experiences in the commercialization process in a workshop sponsored by Windhover Information at the Grand Hyatt in New York City.
Jeremy G. Goldberg, Managing Director, Corporate Development, Endo Pharmaceuticals described his company’s experiences associated with marketing a neurology product. Co-promotion with Vernalis allowed Endo to establish a specialty-market foothold in the United States without going head-to-head with large pharmaceutical companies. The venture between Endo and Vernalis increased their sales force by 50% and will offer them the opportunity to test a new market for potential label expansion.
Jay Bua, Chief Executive Officer, Ascend Therapeutics, Inc., presented experiences of Ascend, a drug delivery company specializing in hydroalcoholic gels. The company has been pursuing greater commercial presence in the marketplace. Following co-promotion with PDI, Bua projects that their product will become the transdermal of choice.
William E. Yelle, Vice President, Business Development, Sepracor, Inc., urged the audience to conduct a serious sales force targeting analysis, taking into account all products and whether there is appropriate coverage for them. He emphasized the importance of understanding the size and scope of a potential co-promotion effort, including the size of the target audience, the number of competitors, share of voice needed, and the projected promotional response. In addition, he recommended an understanding of the therapeutic and target physician overlap, plans for sales force expansion, and the number and seasonality of products involved.
William Collins, Chief Executive Director, Align Pharmaceuticals, advised his listeners to know their potential partners. Align was founded to acquire and market pharmaceuticals to specialists in “quiet markets.” After partnering with PDI, they hired a 40-person dedicated sales force and, at the end of 9 weeks, are currently ahead of forecast and on budget with two of their products. Collins noted that “you need to seek companies not only with vision, but also with a proven record.”
Representing the first time these leaders have met in this forum, the workshop provided an opportunity for senior management at emerging pharmaceutical companies to glean valuable commercialization insights. PDI’s participation in the conference further demonstrated the growing need for outsourced solutions among emerging companies. This is consistent with PDI’s mission to fully support emerging companies through the entire commercialization process with sales force infrastructure, medical education, and marketing research solutions.
For more information about PDI’s Performance Sales Teams, visit www.PerformanceSalesTeams.com.
For more information contact:
Stephen P. Cotugno
Executive Vice President-Corporate Development
PDI, Inc.
201-574-8617
About PDI
PDI, Inc. (NASDAQ: PDII) is a diversified sales and marketing services provider to the biopharmaceutical industry. PDI's comprehensive set of outsourced sales and marketing solutions is designed to increase its clients' strategic flexibility and enhance their efficiency and profitability. Headquartered in Saddle River, NJ, PDI also has offices in Pennsylvania and Illinois.
PDI's sales and marketing services include our Performance Sales Teams™, which are dedicated teams for specific clients; and Select Access™, our targeted sales solution that leverages an existing infrastructure; marketing research and consulting; and medical education and communications. The company's experience extends across multiple therapeutic categories and includes office and hospital-based initiatives.
PDI's commitment is to deliver innovative solutions, unparalleled execution and superior results for its clients. Through strategic partnership and client-driven innovation, PDI maintains some of the longest standing sales and marketing relationships in the industry. Recognized as an industry pioneer, PDI remains committed to continued innovation.
For more information, visit the Company's website at www.pdi-inc.com.
Forward-Looking Statements
This press release contains forward-looking statements regarding future events and financial performance. These statements involve a number of risks and uncertainties and are based on numerous assumptions involving judgments with respect to future economic, competitive and market conditions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond PDI's control.
Some of the important factors that could cause actual results to differ materially from those indicated by the forward-looking statements are general economic conditions, changes in our operating expenses, adverse patent rulings, FDA, legal or accounting developments, competitive pressures, failure to meet performance benchmarks in significant contracts, changes in customer and market requirements and standards, the impact of
any stock repurchase programs, and the risk factors detailed from time to time in PDI's periodic filings with the Securities and Exchange Commission, including without limitation, PDI's Annual Report on Form 10-K for the year ended December 31, 2004, and PDI's periodic reports on Form 8-K filed with the Securities and Exchange Commission since January 1, 2005. The forward looking-statements in this press release are based upon
management's reasonable belief as of the date hereof. PDI undertakes no obligation to revise or update publicly any forward-looking statements for any reason.
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