Boehringer Ingelheim

Summary

Boehringer Ingelheim GmbH (BI) is the world's largest private pharmaceutical enterprise, encompassing more than 137 affiliates worldwide, and employing around 39,800 people. The company's activities are concentrated on two businesses: Human Pharmaceuticals and Animal Health. BI is headquartered in Ingelheim, Germany, where the company was founded in 1885.

Branded prescription medicines remain BI's most significant source of income. In 2007, this segment generated 70.9 per cent of total sales, principally driven by the success of Spiriva, Flomax and Micardis. In 2006, Abbot returned its US distribution rights for Mobic to BI due to increasing generic competition. Having once been a core part of BI's product portfolio, Mobic sales are now so low, the company no longer reports them. The losses experienced by Mobic were expected to dent BI's medium-term growth prospects, however, it now appears that the company has enough growth drivers to overcome this significant setback. Successful lifecycle management is expected to help Flomax and Sifrol continue to contribute strong sales in spite of patent loss and increased competition, thus avoiding the same fate as Mobic.

The launches of Aptivus and Cymbalta may prove vital for the Virology and CNS therapeutic areas, both of which are currently threatened by falling sales of their major products in the short-to-medium term. Aptivus and Cymbalta have been in-licensed through agreements with Pfizer and Eli Lilly, respectively, and BI continues to actively seek similar deals with other companies. However, in order to generate the maximum value from its product portfolio, BI will have to increase the productivity of its own R&D activities. Currently, BI's pipeline is dominated by line extensions for its major products. In 2007, BI increased human pharma R&D expenditure by 9.9 per cent, and it now accounts for 15.1 per cent of total sales. Through this substantial investment, the company hopes to be able to broaden its research beyond effective lifecycle management of its major products. To this end, in 2005, new pharmaceutical compounds entered the Metabolic and Oncology pipelines, a notable milestone, as previously neither therapeutic area contained any pipeline projects.

Contents

• Executive Summary
  • A Detailed and Comprehensive Overview of Current Financial Position, Company Strategy, Product and Pipeline Analysis.
• Therapeutic Area Focus
  • Key Product Analysis and Forecasting
• Respiratory
  • Combivent (Ipratropium Bromide+Albuterol)
  • Spiriva (Tiotropium Bromide)
• Cardiovascular
  • Aggrenox (Dypyridamole+Acetylsalicylic Acid)
  • Micardis (Telmisartan)
  • Pradaxa (Dabigatran)
• Urology
  • Flomax/Alna (Tamsulosin)
• Central Nervous System
  • Cymbalta/Xeristar (Duloxetine)
  • Sifrol/Mirapex/Mirapexin (Pramipexole)
• Virology
  • Aptivus (Tipranavir)
  • Viramune (Nevirapine)
• Operational Data
  • A Wealth of Background and Detail
  • A Full 5-Year Financial Performance Assessment
  • Key Corporate Events
  • Key Agreements
  • Infrastructure
  • Subsidiaries and Joint Ventures