UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of Earliest Event Reported): March 3, 2014
PDL BioPharma, Inc.
(Exact name of Company as specified in its charter)
000-19756
(Commission File Number)
Delaware | 94-3023969 | |
(State or Other Jurisdiction of Incorporation) | (I.R.S. Employer Identification No.) | |
932 Southwood Boulevard
Incline Village, Nevada 89451
(Address of principal executive offices, with zip code)
(775) 832-8500
(Company’s telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the Company under any of the following provisions:
¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 2.02 Results of Operations and Financial Condition.
On March 3, 2014, PDL BioPharma, Inc. (the Company) issued a press release announcing the financial results for the fourth quarter and year ended December 31, 2013. A copy of this earnings release is attached hereto as Exhibit 99.1. The Company will host an earnings call and webcast on March 3, 2014, during which the Company will discuss its financial results for the fourth quarter and year ended December 31, 2013.
Item 7.01 Regulation FD Disclosure.
Presentation Materials
On March 3, 2014, the Company posted to its website a set of presentation materials that it will use during its earnings call and webcast to assist participants with understanding the Company’s financial results. A copy of this presentation is attached hereto at Exhibit 99.2.
Information Sheet
On March 3, 2014, the Company distributed to analysts covering the Company’s securities a summary of certain information regarding the Company’s net income, dividends, recent transactions and licensed product development and sales (the Information Sheet) to assist those analysts in valuing the Company’s securities. The Information Sheet and its associated tables are attached hereto as Exhibit 99.3.
Limitation of Incorporation by Reference
In accordance with General Instruction B.2. of Form 8-K, the information in this report, including the exhibits, is furnished pursuant to Items 2.02 and 7.01 and shall not be deemed to be “filed” for the purpose of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section.
Cautionary Statements
This filing and its exhibits include “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. Important factors that could impair the Company’s royalty assets or business are disclosed in the “Risk Factors” contained in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission. All forward-looking statements are expressly qualified in their entirety by such factors. We do not undertake any duty to update any forward-looking statement except as required by law.
Item 9.01 Financial Statements and Exhibits.
Exhibit No. | Description | |
99.1 | Press Release | |
99.2 | Presentation | |
99.3 | Information Sheet | |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
PDL BIOPHARMA, INC. | ||
(Company) | ||
By: | /s/ Peter S. Garcia | |
Peter S. Garcia | ||
Vice President and Chief Financial Officer | ||
Dated: March 3, 2014
Exhibit Index
Exhibit No. | Description | |
99.1 | Press Release | |
99.2 | Presentation | |
99.3 | Information Sheet | |
Exhibit 99.1
Contacts: | ||
Peter Garcia | Jennifer Williams | |
PDL BioPharma, Inc. | Cook Williams Communications, Inc. | |
775-832-8500 | 360-668-3701 | |
Peter.Garcia@pdl.com | jennifer@cwcomm.org | |
PDL BioPharma Announces Fourth Quarter and Full Year 2013 Financial Results
-Annual Revenues Increased 18 percent during 2013-
INCLINE VILLAGE, NV, March 3, 2014 – PDL BioPharma, Inc. (PDL) (NASDAQ: PDLI) today reported financial results for the fourth quarter and year ended December 31, 2013.
Total revenues in 2013 increased 18 percent to $442.9 million from $374.5 million in 2012. For the fourth quarter of 2013, total revenues were $110.1 million, compared to $86.0 million in the fourth quarter of 2012. Royalty revenues for the fourth quarter of 2013 are based on third quarter 2013 product sales by PDL’s licensees to the Queen et al. patents and on Depomed’s Glumetza® royalties related to October and November 2013 U.S. sales. PDL recognized $11.2 million in revenue related to the Depomed royalties in the fourth quarter of 2013.
The full year 2013 royalty revenue growth over the full year 2012 is driven by increased sales of Avastin®, Herceptin®, Lucentis®, Xolair®, Perjeta®, Kadcyla®, Tysabri®, and Actemra® by PDL's licensees, along with the addition of the royalty payments from PDL's purchase of Depomed's diabetes-related royalties. Net sales of Avastin, Herceptin, Lucentis, Xolair, Perjeta, and Kadcyla were subject to a tiered royalty rate except in the case when the product is ex-U.S. manufactured and sold, in which case it was subject to a flat three percent royalty rate. Under the terms of a settlement agreement, entered into on January 31, 2014, and effective retroactively to August 15, 2013, Genentech will pay a fixed royalty rate of 2.125 percent on worldwide sales of all licensed products, as compared to the previous tiered royalty rate in the U.S and the fixed rate on all ex-U.S based manufactured and sold licensed products. The retroactive change in royalty rate from August 15, 2013, to December 31, 2013, will be recognized as royalty revenue by PDL in the first quarter of 2014.
Operating expenses in 2013 were $35.4 million, compared with $25.5 million in 2012. The increase in expenses the year ended December 31, 2013, was a result of the amortization for the Depomed intangible asset, an increase in professional services for other income generating assets, and increased legal expenses related to the settled litigation. For the fourth quarter of 2013, operating expenses were $13.5 million compared with $7.7 million for the same period in 2012. The increase in expenses for the quarter ended December 31, 2013, was a result of the Depomed intangible asset amortization.
Net income in 2013 was $264.5 million, or $1.66 per diluted share as compared with net income in 2012 of $211.7 million, or $1.45 per diluted share. Net income for the fourth quarter of 2013 was $61.1 million, or $0.39 per diluted share, as compared with net income of $49.4 million in the same period of 2012, or $0.34 per diluted share. The increase in net income in the fourth quarter is primarily due to a 27 percent increase in royalty revenues.
Net cash provided by operating activities in 2013 was $270.9 million, compared with $210.2 million in 2012. At December 31, 2013, PDL had cash, cash equivalents and investments of $99.5 million, compared with $148.7 million at December 31, 2012. The decrease was primarily attributable to the purchase of the Depomed intangible asset of $241.3 million, cash advanced on notes receivable of $148.7 million, payment of dividends of $84.0 million, offset in part by net cash provided by operating activities of $270.9 million and repayment of notes receivable of $58.1 million.
Recent Developments
Settlement Agreement
On January 31, 2014, PDL entered into a settlement agreement with Genentech and Roche that resolved all outstanding legal disputes between the parties, including its Nevada litigation with Genentech and Roche and its arbitration proceedings with Genentech related to the audit of royalties on sales. Under the terms of the agreement, effective retroactively to August 15, 2013, Genentech will pay a fixed royalty rate of 2.125 percent on worldwide sales of Avastin, Herceptin, Lucentis, Xolair, Kadcyla and Perjeta, as compared to the previous tiered royalty rate in the U.S and the fixed rate on all ex-U.S based manufactured and sold licensed products. Genentech will pay these royalties on all worldwide sales of Avastin, Herceptin, Xolair, Perjeta and Kadcyla occurring on or before December 31, 2015. With respect to Lucentis, Genentech will owe no royalties on U.S. sales occurring after June 30, 2013, and will pay a royalty of 2.125 percent on all ex-U.S. sales occurring on or before December 28, 2014. Pursuant to a separate agreement, Roche Glycart agreed that Gazyva® is a licensed product. The royalty term and royalty rate for Gazyva remain unchanged from the existing license agreement pertaining thereto. The settlement agreement precludes Genentech and Roche from challenging the validity of PDL’s Queen patents, including its SPCs in Europe, from contesting their obligation to pay royalties, from contesting patent coverage for Avastin, Herceptin, Lucentis, Xolair, Perjeta, Kadcyla and Gazyva and from assisting any third party in challenging PDL’s Queen patents and SPCs. The agreement further outlines the conduct of any audits initiated by PDL of the books and records of Genentech in an effort to ensure a full and fair audit procedure.
February 2018 Notes
On February 6, 2014, PDL agreed to sell $260.87 million aggregate principal amount of its February 2018 Notes in an underwritten public offering. The conversion rate of the February 2018 Notes was set at 109.1048 shares of common stock per $1,000 principal amount of the February 2018 Notes equivalent to an initial conversion price of approximately $9.17 per share of common stock. The Company granted the underwriters an option, which they subsequently exercised in full, to purchase up to an additional $39.13 million aggregate principal amount of the February 2018 Notes solely to cover overallotments (or $300 million principal amount in the aggregate). The conversion rate, subject to increase under certain circumstances, will not be increased in respect of regular quarterly cash dividends paid by us that do not exceed $0.15 per share.
On February 12, 2014, PDL issued $300 million aggregate principal amount of February 2018 Notes. In connection with the offering of the February 2018 Notes, the Company entered into privately negotiated convertible note hedge transactions with RBC Capital Markets and Wells Fargo Securities.
Series 2012 Notes Exchange
On February 7, 2014, PDL entered into exchange and purchase agreements with certain holders of approximately $131.7 million aggregate principal amount of outstanding Series 2012 Notes. The exchange agreements provide for the issuance, by the Company, of shares of common stock and a cash payment for the Series 2012 Notes being exchanged, and the purchase agreement provides for a cash payment for the Series 2012 Notes being repurchased. The Company issued a total of approximately 20.3 million shares of its common stock and paid an aggregate cash payment of approximately $34.2 million pursuant to the exchange and purchase agreements.
Paradigm Spine
On February 14, 2014, PDL entered into a credit agreement with Paradigm Spine, LLC (Paradigm), under which it made available to Paradigm up to $75 million to be used by Paradigm to refinance its existing credit facility and expand its domestic commercial operations. A portion of the amount available under the agreement in an aggregate principal amount equal to $50 million, net of fees, was funded at the close of the transaction. In the event that certain specified sales and other milestones occur before December 31, 2014, the Company will fund Paradigm between an additional $6.25 million and $12.5 million, at Paradigm’s discretion. In the event that additional specified sales and other milestones occur before June 30, 2015, the Company will fund up to an additional $12.5 million, also at Paradigm’s discretion. Paradigm’s landmark coflex® interlaminar stabilization device for patients with spinal stenosis was approved by the U.S. Food and Drug Administration (FDA) in late 2012 and is sold in more than 50 countries.
2014 Dividends
On January 29, 2014, PDL’s Board of Directors declared regular quarterly dividends of $0.15 per share of common stock, payable on March 12, June 12, September 12 and December 12 of 2014 to all stockholders who own shares of PDL on March 5, June 5, September 5 and December 5 of 2014, the record dates for each of the dividend payments, respectively. On
December 12, 2013, PDL paid the fourth quarterly dividend to stockholders of record totaling $21.0 million using earnings generated in the fourth quarter of 2013.
Revenue Guidance for 2014
As previously announced, PDL will continue to provide revenue guidance for each quarter in the third month of that quarter. First quarter 2014 revenue guidance will be provided later this month.
Conference Call Details
PDL will hold a conference call to discuss financial results at 4:30 p.m. Eastern Time today, March 3, 2014.
To access the live conference call via phone, please dial (800) 668-4132 from the United States and Canada or (224) 357-2196 internationally. The conference ID is 3074960. Please dial in approximately 10 minutes prior to the start of the call. A telephone replay will be available beginning approximately one hour after the call through March 9, 2014, and may be accessed by dialing (855) 859-2056 from the United States and Canada or (404) 537-3406 internationally. The replay passcode is 3074960.
To access the live and subsequently archived webcast of the conference call, go to the Company’s website at http://www.pdl.com and go to “Events & Presentations.” Please connect to the website at least 15 minutes prior to the call to allow for any software download that may be necessary.
About PDL BioPharma, Inc.
PDL BioPharma manages a portfolio of patents and royalty assets, consisting primarily of its Queen et al. antibody humanization patents and license agreements with various biotechnology and pharmaceutical companies. PDL pioneered the humanization of monoclonal antibodies and, by doing so, enabled the discovery of a new generation of targeted treatments for cancer and immunologic diseases for which it receives significant royalty revenue. PDL is currently focused on intellectual property asset management, acquiring new income generating assets, and maximizing value for its shareholders.
The company was formerly known as Protein Design Labs, Inc. and changed its name to PDL BioPharma, Inc. in 2006. PDL was founded in 1986 and is headquartered in Incline Village, Nevada.
In 2011, PDL initiated a strategy to bring in new income generating assets from the healthcare sector. To accomplish this goal, PDL seeks to provide non-dilutive growth capital and financing solutions to late stage public and private healthcare companies and offers immediate financial monetization of royalty streams to companies, academic institutions, and inventors. PDL continues to pursue this strategic initiative for which it has already deployed approximately $550 million to date. PDL is focused on the quality of the income generating assets and potential returns on investment.
NOTE: PDL BioPharma and the PDL BioPharma logo are considered trademarks of PDL BioPharma, Inc.
Forward-looking Statements
This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Each of these forward-looking statements involves risks and uncertainties. Actual results may differ materially from those, express or implied, in these forward-looking statements. Important factors that could impair the value of the Company's royalty assets, restrict or impede the ability of the Company to invest in new royalty bearing assets and limit the Company's ability to pay dividends are disclosed in the risk factors contained in the Company's Annual Report on Form 10-K filed with the Securities and Exchange Commission. All forward-looking statements are expressly qualified in their entirety by such factors. We do not undertake any duty to update any forward-looking statement except as required by law.
PDL BIOPHARMA, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME DATA
(Unaudited)
(In thousands, except per share amounts)
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Revenues | ||||||||||||||||
Royalties | $ | 109,643 | $ | 86,046 | $ | 441,421 | $ | 374,525 | ||||||||
License and other | 500 | — | 1,500 | — | ||||||||||||
Total revenues | 110,143 | 86,046 | 442,921 | 374,525 | ||||||||||||
Operating Expenses | ||||||||||||||||
Cost of royalty revenues (amortization of intangible asset) | 5,637 | — | 5,637 | — | ||||||||||||
General and administrative expenses | 7,861 | 7,732 | 29,755 | 25,469 | ||||||||||||
Operating income | 96,645 | 78,314 | 407,529 | 349,056 | ||||||||||||
Non-operating expense, net | ||||||||||||||||
Interest and other income, net | 7,500 | 4,728 | 19,218 | 7,113 | ||||||||||||
Interest expense | (6,702 | ) | (5,950 | ) | (24,871 | ) | (29,036 | ) | ||||||||
Total non-operating expense, net | 798 | (1,222 | ) | (5,653 | ) | (21,923 | ) | |||||||||
Income before income taxes | 97,443 | 77,092 | 401,876 | 327,133 | ||||||||||||
Income tax expense | 36,351 | 27,684 | 137,346 | 115,464 | ||||||||||||
Net income | $ | 61,092 | $ | 49,408 | $ | 264,530 | $ | 211,669 | ||||||||
Net income per share | ||||||||||||||||
Basic | $ | 0.44 | $ | 0.35 | $ | 1.89 | $ | 1.52 | ||||||||
Diluted | $ | 0.39 | $ | 0.34 | $ | 1.66 | $ | 1.45 | ||||||||
Shares used to compute income per basic share | 139,876 | 139,764 | 139,842 | 139,711 | ||||||||||||
Shares used to compute income per diluted share | 157,993 | 145,419 | 159,343 | 146,403 | ||||||||||||
Cash dividends declared per common share | $ | — | $ | — | $ | 0.60 | $ | 0.60 | ||||||||
PDL BIOPHARMA, INC.
CONDENSED CONSOLIDATED BALANCE SHEET DATA
(Unaudited)
(In thousands)
December 31, | ||||||||
2013 | 2012 | |||||||
Cash, cash equivalents and investments | $ | 99,540 | $ | 148,689 | ||||
Total notes receivable | $ | 193,853 | $ | 93,208 | ||||
Total intangible asset | $ | 235,677 | $ | — | ||||
Total assets | $ | 543,955 | $ | 279,966 | ||||
Total term loan payable | $ | 74,397 | $ | — | ||||
Total convertible notes payable | $ | 320,883 | $ | 309,952 | ||||
Total stockholders' equity (deficit) | $ | 113,489 | $ | (68,122 | ) | |||
PDL BIOPHARMA, INC.
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOW DATA
(Unaudited)
(In thousands)
Year Ended | ||||||||
December 31, | ||||||||
2013 | 2012 | |||||||
Net income | $ | 264,530 | $ | 211,669 | ||||
Adjustments to reconcile net income to net cash provided by operating activities | 18,393 | 26,644 | ||||||
Changes in assets and liabilities | (12,033 | ) | (28,097 | ) | ||||
Net cash provided by operating activities | $ | 270,890 | $ | 210,216 | ||||
PDL BIOPHARMA, INC.
MIX OF EX-U.S. SALES AND EX-U.S.-BASED MANUFACTURING AND SALES
OF GENENTECH PRODUCTS
(Unaudited)
Three Months Ended | Year Ended | |||||||||||
December 31, | December 31, | |||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||
Avastin | ||||||||||||
% Ex-U.S. Sold | 58 | % | 57 | % | 58 | % | 56 | % | ||||
% Ex-U.S.-based Manufactured and Sold | 39 | % | 40 | % | 43 | % | 29 | % | ||||
Herceptin | ||||||||||||
% Ex-U.S. Sold | 67 | % | 69 | % | 68 | % | 69 | % | ||||
% Ex-U.S.-based Manufactured and Sold | 45 | % | 35 | % | 40 | % | 37 | % | ||||
Kadcyla | ||||||||||||
% Ex-U.S. Sold | 4 | % | 0 | % | 2 | % | 0 | % | ||||
% Ex-U.S.-based Manufactured and Sold | 0 | % | 0 | % | 0 | % | 0 | % | ||||
Lucentis | ||||||||||||
% Ex-U.S. Sold | 62 | % | 66 | % | 64 | % | 63 | % | ||||
% Ex-U.S.-based Manufactured and Sold | 0 | % | 0 | % | 0 | % | 0 | % | ||||
Perjeta | ||||||||||||
% Ex-U.S. Sold | 38 | % | 2 | % | 24 | % | 1 | % | ||||
% Ex-U.S.-based Manufactured and Sold | 0 | % | 0 | % | 0 | % | 0 | % | ||||
Xolair | ||||||||||||
% Ex-U.S. Sold | 39 | % | 38 | % | 40 | % | 39 | % | ||||
% Ex-U.S.-based Manufactured and Sold | 39 | % | 38 | % | 40 | % | 39 | % | ||||
Exhibit 99.2
Exhibit 99.3
PDL BioPharma, Inc.
Q4-Year End 2013
March 3, 2014
Following are some of the key points regarding PDL’s fourth quarter and full year 2013 financial and business results.
Net Income
• | Net income in 2013 was $264.5 million, or $1.66 per diluted share, as compared with net income in 2012 of $211.7 million, or $1.45 per diluted share. Net income for the fourth quarter of 2013 was $61.1 million, or $0.39 per diluted share, as compared with net income of $49.4 million for the same period of 2012, or $0.34 per diluted share. The increase in net income in the fourth quarter is primarily due to a 27 percent increase in royalty revenues, which included royalty revenues related to the first two months of Glumetza royalties from Depomed. |
2014 Dividends
• | On January 29, 2014, PDL’s Board of Directors declared regular quarterly dividends of $0.15 per share of common stock, payable on March 12, June 12, September 12 and December 12 of 2014 to all stockholders who own shares of PDL on March 5, June 5, September 5 and December 5 of 2014, the record dates for each of the dividend payments, respectively. On December 12, 2013, PDL paid the fourth quarterly dividend to stockholders of record totaling $21.0 million using earnings generated in the fourth quarter of 2013. |
Board Decision to Continue Operations
• | PDL’s board of directors, having evaluated the operational and financial results and forecasts of the Company, as well as the successes to date in acquiring income generating assets, has made the strategic decision to continue its operations post expiration of the Queen et al. patents and to continue the strategy of pursuing new income generating assets so as to extend its ability to pay dividends to its shareholders. |
Settlement Agreement with Genentech/Roche
• | In January, we reached an agreement with Roche and Genentech to resolve all outstanding legal disputes between us. We are pleased with the outcome and believe that our shareholders benefit from this settlement given that the royalty rate reflects an increase over historical rates, and there is now certainty around the period for which we will continue to receive royalties. Further details can be found in the earnings release or 10-K. |
Reduction of Principal in Existing 2.875% Convertible Notes (Feb 2015)
• | In February, we entered into exchange and purchase agreements for approximately $131.7 million of principal outstanding of the 2.875% Convertible Notes due in February 2015 in return for 20.3 million shares and $34.2 million in cash. The effect of this transaction is to reduce the principal outstanding from approximately $180 million to about $48 million. One of the reasons that we retired most of these Notes is that the conversion rate adjusts with each quarterly dividend payment potentially resulting in more dilution to our shareholders. With the retirement of most of these Notes, we were able to mitigate some of that potential dilution. |
New 4% Convertible Notes
• | Also in February, we sold $300 million in principal of new 4.00% Convertible Notes due February 1, 2018. The conversion rate on these new Notes is of 109.1048 shares of common stock per $1,000 principal or $9.17 per share. In addition, we have implemented a bond hedge that effectively increases the conversion rate to $10.36 per share. Unlike the 2.875% Convertible Notes, these new Notes do not adjust for dividends of up to $0.15 per quarter - our dividend rate for the last four years. |
Updates on Approved Royalty Bearing Products
Avastin® (bevacizumab):
• | On January 30, 2014, Genentech/Roche reported that 2013 worldwide sales increased by 13% year over year. |
◦ | There was significant increase in sales in US in colorectal cancer due to label expansion through multiple lines of therapy. |
◦ | Strong sales in EU were driven by ovarian and colorectal cancers with the latter due to the label expansion through multiple lines of therapy. |
◦ | Steady growth in Japan in colorectal cancer, breast cancer and non-small cell lung cancer. |
Page 1
PDL BioPharma, Inc.
Q4-Year End 2013
March 3, 2014
• | On July 25, 2013, Genentech/Roche stated that it intends to file for approval for treatment of cervical cancer in US and EU in 2014. |
• | On December 12, 2012 and January 24, 2013, Genentech/Roche announced EU and US approval, respectively for second line metastatic colorectal cancer. |
Herceptin® (trastuzumab):
• | On January 30, 2014, Genentech/Roche reported that 2013 worldwide sales increased by 6% year over year with volume growth driven by Asia and Latin America. |
• | On September 2, 2013, Genentech/Roche said European Commission approved a subcutaneous formulation of Herceptin to treat HER2-positive breast cancer. |
◦ | Subcutaneous administration takes 2-5 minutes instead of 30-90 minutes with the approved IV administration. |
Lucentis® (ranibizumab):
• | On January 30, 2014, Genentech/Roche reported that 2013 US sales increased by 15% year over year. |
◦ | Less frequent than monthly dosing regimen is stabilizing market share in AMD. |
◦ | Increasing share in RVO and DME markets. |
• | On January 29, 2013, Novartis reported that 2013 ex-US sales were $2.38 billion, up 1% year over year. |
Tysabri® (natalizumab):
• | On January 29, 2014, Biogen Idec reported that global sales in 2013 were $1.5 billion. |
Xolair® (omalizumab):
• | On January 30, 2014, Genentech/Roche reported that 2013 US sales increased by 13% year over year. |
• | On January 29, 2014, Novartis reported that 2013 ex-US sales were $613 million, up 24% year over year. |
• | On January 24, 2014, Novartis reported that the EMA Committee for Medicinal Products had adopted a positive opinion for the use of Xolair as an add on therapy for chronic spontaneous idiopathic urticaria. |
• | On October 10, 2013, Genentech/Roche announced that the FDA had accepted for filing the US approval application for chronic idiopathic urticaria (CIU) with a PDUFA date in second quarter of 2014. |
• | On June 26, 2013, Novartis announced that the second Phase 3 trial in 335 patients ages 12-75 with moderate to severe refractory chronic idiopathic urticaria (CIU) treated with 300 mg subcutaneous Xolair given every 4 weeks for 24 weeks as an add-on to antihistamine therapy met the primary efficacy endpoint with a similar incidence and severity of adverse events between treated and placebo patients. |
◦ | In February 2013, Novartis reported data from the first Phase 3 in 323 patients ages 12-75 with moderate to severe refractory CIU showing that 150 and 300 mg doses of Xolair as an add-on to antihistamine therapy each met the primary efficacy endpoint. |
Actemra® (tocilizumab):
• | On January 30, 2014, Genentech/Roche reported that 2013 worldwide sales increased by 30% year over year. |
◦ | Sales growth was driven by monotherapy use with the US being the biggest contributor to growth. |
• | On December 20, 2013, Genentech/Roche announced positive CHMP opinion in EU with respect to approval of the subcutaneous formulation. |
• | On October 21, 2013, Genentech/Roche announced approval of the subcutaneous formulation in the US. |
Perjeta® (pertuzumab):
• | On January 30, 2014, Genentech/Roche reported 2013 worldwide sales increased by 498% year over year. |
◦ | Genentech/Roche announced EMA approval in March 2013. |
◦ | Sales growth driven by metastatic breast cancer with continued increase in first line HER2-positive metastatic breast cancer. |
• | On September 30, 2013, Genentech/Roche announced that FDA had granted accelerated approval for the neo-adjuvant indication. |
Page 2
PDL BioPharma, Inc.
Q4-Year End 2013
March 3, 2014
Kadcyla® (TDM-1 or ado-trastuzumab emtansine):
• | On January 30, 2014, Genentech/Roche reported 2013 worldwide sales of CHF 234 million. |
◦ | Strong uptake in second line treatment of HER2-positive metastatic breast cancer in US. |
◦ | Product launched in some EU countries. |
• | On July 25, 2013, Genentech/Roche announced that a Phase 3 trial comparing Kadcyla to the physician's choice of treatment in patients with HER2-positive breast cancer who have already been treated with a HER2-targeted therapy, met its co-primary endpoint of progression free survival. The other endpoint is overall survival, but these data are not yet mature. |
Gazyva™ (Obinutuzumab or GA101):
• | On November 1, 2013, Genentech/Roche announced that Gazyva™ (obinutuzumab), formerly known as GA101, became the first therapy approved through the FDA’s breakthrough therapy designation, indicated in combination with chlorambucil to treat previously untreated chronic lymphocytic leukemia (CLL). |
◦ | Much earlier than PDUFA date of December 20, 2013. |
◦ | Genentech/Roche expect Gazyva to be on the market shortly. |
◦ | On May 15, 2013, Genentech/Roche announced approval applications for the treatment of CLL had been submitted to European Medicines Association. |
◦ | PDL expects to receive royalties beginning in 1Q14. |
• | On November 7, 2013, Genentech/Roche announced that the results from Stage 2 of Phase 3 trial showed CLL patients treated with Gazyva + chlorambucil had a median progression free survival (PFS) of 26.7 months compared to 15.2 months for patients receiving Rituxan + chlorambucil. |
◦ | Previously, Genentech/Roche announced that results from Stage 1 of same Phase 3 trial showed CLL patients treated with Gazyva + chlorambucil had a PFS of 23 months compared to 10.9 months for patients treated with chlorambucil only. |
Forward-looking Statements
This document contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Each of these forward-looking statements involves risks and uncertainties. Actual results may differ materially from those, express or implied, in these forward-looking statements. Important factors that could impair the value of the Company's royalty assets, restrict or impede the ability of the Company to invest in new income generating assets and limit the Company's ability to pay dividends are disclosed in the risk factors contained in the Company's Annual Report on Form 10-K filed with the Securities and Exchange Commission. All forward-looking statements are expressly qualified in their entirety by such factors. We do not undertake any duty to update any forward looking statement except as required by law.
Page 3
PDL BioPharma, Inc.
Q4-Year End 2013
March 3, 2014
Royalty Revenue by Product ($ in 000's) * | ||||||||||
Avastin | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 33,234 | 46,720 | 32,224 | 32,287 | 144,464 | |||||
2012 | 23,215 | 41,670 | 25,955 | 30,041 | 120,882 | |||||
2011 | 22,283 | 41,967 | 23,870 | 22,886 | 111,006 | |||||
2010 | 16,870 | 44,765 | 29,989 | 24,922 | 116,547 | |||||
2009 | 13,605 | 35,161 | 21,060 | 15,141 | 84,966 | |||||
2008 | 9,957 | 30,480 | 19,574 | 12,394 | 72,405 | |||||
2007 | 8,990 | 21,842 | 17,478 | 9,549 | 57,859 | |||||
2006 | 10,438 | 15,572 | 15,405 | 12,536 | 53,952 | |||||
Herceptin | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 30,287 | 47,353 | 30,961 | 33,038 | 141,640 | |||||
2012 | 25,702 | 44,628 | 30,433 | 28,307 | 129,070 | |||||
2011 | 25,089 | 42,209 | 31,933 | 21,812 | 121,042 | |||||
2010 | 23,402 | 38,555 | 27,952 | 25,441 | 115,350 | |||||
2009 | 16,003 | 32,331 | 26,830 | 18,615 | 93,779 | |||||
2008 | 14,092 | 34,383 | 28,122 | 20,282 | 96,880 | |||||
2007 | 19,035 | 28,188 | 22,582 | 14,802 | 84,608 | |||||
2006 | 15,142 | 19,716 | 21,557 | 20,354 | 76,769 | |||||
Lucentis | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 12,032 | 30,066 | 13,536 | 12,127 | 67,760 | |||||
2012 | 10,791 | 27,938 | 12,552 | 11,097 | 62,377 | |||||
2011 | 8,878 | 24,313 | 12,157 | 10,750 | 56,099 | |||||
2010 | 7,220 | 19,091 | 10,841 | 8,047 | 45,198 | |||||
2009 | 4,621 | 12,863 | 8,123 | 6,152 | 31,759 | |||||
2008 | 3,636 | 11,060 | 7,631 | 4,549 | 26,876 | |||||
2007 | 2,931 | 6,543 | 6,579 | 3,517 | 19,570 | |||||
2006 | — | — | 289 | 3,335 | 3,624 | |||||
Xolair | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 5,930 | 10,025 | 7,334 | 7,330 | 30,619 | |||||
2012 | 5,447 | 8,609 | 6,504 | 6,145 | 26,705 | |||||
2011 | 4,590 | 7,621 | 5,916 | 5,823 | 23,949 | |||||
2010 | 3,723 | 6,386 | 4,980 | 4,652 | 19,741 | |||||
2009 | 2,665 | 5,082 | 4,085 | 3,722 | 15,553 | |||||
2008 | 1,488 | 4,866 | 3,569 | 2,927 | 12,850 | |||||
2007 | 1,684 | 3,942 | 3,332 | 2,184 | 11,142 | |||||
2006 | 2,263 | 2,969 | 3,041 | 2,495 | 10,768 | |||||
Perjeta | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 340 | 1,414 | 748 | 879 | 3,381 | |||||
2012 | — | — | 58 | 250 | 308 | |||||
2011 | — | — | — | — | — | |||||
2010 | — | — | — | — | — | |||||
2009 | — | — | — | — | — | |||||
2008 | — | — | — | — | — | |||||
2007 | — | — | — | — | — | |||||
2006 | — | — | — | — | — | |||||
Kadcyla | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | — | 551 | 830 | 859 | 2,240 | |||||
2012 | — | — | — | — | — | |||||
2011 | — | — | — | — | — | |||||
2010 | — | — | — | — | — | |||||
2009 | — | — | — | — | — | |||||
2008 | — | — | — | — | — | |||||
2007 | — | — | — | — | — | |||||
2006 | — | — | — | — | — | |||||
Tysabri | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 12,965 | 13,616 | 11,622 | 12,100 | 50,304 | |||||
2012 | 11,233 | 12,202 | 11,749 | 12,255 | 47,439 | |||||
2011 | 9,891 | 10,796 | 11,588 | 11,450 | 43,725 | |||||
2010 | 8,791 | 8,788 | 8,735 | 9,440 | 35,754 | |||||
2009 | 6,656 | 7,050 | 7,642 | 8,564 | 29,912 | |||||
2008 | 3,883 | 5,042 | 5,949 | 6,992 | 21,866 | |||||
2007 | 839 | 1,611 | 2,084 | 2,836 | 7,370 | |||||
2006 | — | — | — | 237 | 237 | |||||
Actemra | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 2,631 | 2,816 | 2,939 | 3,744 | 12,131 | |||||
2012 | 1,705 | 2,074 | 2,145 | 2,462 | 8,385 | |||||
2011 | 913 | 1,136 | 1,401 | 1,460 | 4,910 | |||||
2010 | 1,587 | 237 | 315 | 688 | 2,827 | |||||
2009 | 585 | 537 | 909 | 1,197 | 3,228 | |||||
2008 | 44 | — | 146 | 369 | 559 | |||||
2007 | 32 | — | — | 17 | 49 | |||||
2006 | — | — | — | — | — | |||||
* As reported to PDL by its licensees | ||||||||||
Totals may not sum due to rounding | ||||||||||
Page 4
PDL BioPharma, Inc.
Q4-Year End 2013
March 3, 2014
Reported Net Sales Revenue by Product ($ in 000's) * | ||||||||||
Avastin | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 1,653,108 | 1,694,678 | 1,746,135 | 1,819,877 | 6,913,798 | |||||
2012 | 1,502,757 | 1,573,727 | 1,551,327 | 1,662,977 | 6,290,788 | |||||
2011 | 1,597,461 | 1,582,705 | 1,581,095 | 1,469,994 | 6,231,255 | |||||
2010 | 1,506,788 | 1,596,892 | 1,594,707 | 1,646,218 | 6,344,605 | |||||
2009 | 1,345,487 | 1,295,536 | 1,439,730 | 1,514,053 | 5,594,806 | |||||
2008 | 980,715 | 1,084,930 | 1,180,427 | 1,239,382 | 4,485,454 | |||||
2007 | 678,068 | 746,587 | 797,013 | 875,084 | 3,096,752 | |||||
2006 | 439,318 | 516,052 | 570,551 | 592,897 | 2,118,817 | |||||
Herceptin | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 1,681,574 | 1,744,145 | 1,681,860 | 1,726,551 | 6,834,130 | |||||
2012 | 1,515,255 | 1,625,313 | 1,663,695 | 1,650,495 | 6,454,759 | |||||
2011 | 1,391,568 | 1,559,975 | 1,642,898 | 1,432,771 | 6,027,211 | |||||
2010 | 1,270,846 | 1,349,512 | 1,300,934 | 1,409,310 | 5,330,602 | |||||
2009 | 1,210,268 | 1,133,993 | 1,226,435 | 1,278,626 | 4,849,323 | |||||
2008 | 1,105,426 | 1,195,215 | 1,211,982 | 1,186,806 | 4,699,428 | |||||
2007 | 891,761 | 949,556 | 979,602 | 1,015,033 | 3,835,952 | |||||
2006 | 529,585 | 659,719 | 761,099 | 803,576 | 2,753,979 | |||||
Lucentis | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 1,203,179 | 1,171,423 | 1,200,791 | 1,212,651 | 4,788,045 | |||||
2012 | 1,079,092 | 1,086,543 | 1,097,541 | 1,109,695 | 4,372,871 | |||||
2011 | 887,757 | 943,418 | 1,052,809 | 1,075,015 | 3,958,999 | |||||
2010 | 721,967 | 698,890 | 745,376 | 804,684 | 2,970,917 | |||||
2009 | 462,103 | 469,736 | 555,296 | 615,212 | 2,102,347 | |||||
2008 | 363,615 | 393,682 | 460,167 | 454,922 | 1,672,386 | |||||
2007 | 224,820 | 219,579 | 299,995 | 322,300 | 1,066,695 | |||||
2006 | — | — | 10,689 | 157,742 | 168,431 | |||||
Xolair | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 341,309 | 365,778 | 391,900 | 401,333 | 1,500,321 | |||||
2012 | 310,234 | 314,638 | 347,796 | 340,431 | 1,313,100 | |||||
2011 | 267,754 | 277,642 | 310,874 | 314,911 | 1,171,182 | |||||
2010 | 228,859 | 225,878 | 251,055 | 263,389 | 969,179 | |||||
2009 | 184,669 | 181,086 | 211,006 | 219,693 | 796,454 | |||||
2008 | 137,875 | 169,521 | 177,179 | 183,753 | 668,329 | |||||
2007 | 129,172 | 130,700 | 144,250 | 147,754 | 551,876 | |||||
2006 | 95,241 | 99,354 | 112,608 | 118,002 | 425,204 | |||||
Perjeta | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 34,008 | 55,076 | 66,353 | 87,949 | 243,386 | |||||
2012 | — | — | 5,080 | 25,000 | 30,079 | |||||
2011 | — | — | — | — | — | |||||
2010 | — | — | — | — | — | |||||
2009 | — | — | — | — | — | |||||
2008 | — | — | — | — | — | |||||
2007 | — | — | — | — | — | |||||
2006 | — | — | — | — | — | |||||
Kadcyla | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | — | 21,459 | 73,626 | 85,906 | 180,991 | |||||
2012 | — | — | — | — | — | |||||
2011 | — | — | — | — | — | |||||
2010 | — | — | — | — | — | |||||
2009 | — | — | — | — | — | |||||
2008 | — | — | — | — | — | |||||
2007 | — | — | — | — | — | |||||
2006 | — | — | — | — | — | |||||
Tysabri | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 434,677 | 451,358 | 387,407 | 403,334 | 1,676,776 | |||||
2012 | 374,430 | 401,743 | 391,623 | 408,711 | 1,576,508 | |||||
2011 | 329,696 | 356,876 | 388,758 | 381,618 | 1,456,948 | |||||
2010 | 293,047 | 287,925 | 293,664 | 316,657 | 1,191,292 | |||||
2009 | 221,854 | 229,993 | 257,240 | 285,481 | 994,569 | |||||
2008 | 129,430 | 163,076 | 200,783 | 233,070 | 726,359 | |||||
2007 | 30,468 | 48,715 | 71,972 | 94,521 | 245,675 | |||||
2006 | — | — | — | 7,890 | 7,890 | |||||
Actemra | Q1 | Q2 | Q3 | Q4 | Total | |||||
2013 | 87,703 | 91,374 | 97,961 | 124,815 | 401,852 | |||||
2012 | 56,662 | 66,624 | 71,505 | 82,053 | 276,843 | |||||
2011 | 30,433 | 35,370 | 46,709 | 48,671 | 161,183 | |||||
2010 | 52,908 | 5,405 | 10,493 | 22,919 | 91,725 | |||||
2009 | 19,504 | 17,920 | 30,313 | 39,888 | 107,625 | |||||
2008 | 1,452 | 1,377 | 5,981 | 12,305 | 21,115 | |||||
2007 | — | — | — | 1,137 | 1,137 | |||||
2006 | — | — | — | — | — | |||||
* As reported to PDL by its licensee. Dates in above charts | ||||||||||
reflect when PDL receives royalties on sales. Sales occurred | ||||||||||
in the quarter prior to the dates in the above charts. | ||||||||||
Totals may not sum due to rounding | ||||||||||
Page 5
PDL BioPharma, Inc.
Q4-Year End 2013
March 3, 2014
Manufacturing Location & Sales - Genentech / Roche & Novartis ($ in 000's) * | ||||||||||||||
Avastin Sales | 2012 - Q2 | 2012 - Q3 | 2012 - Q4 | 2013 - Q1 | 2013 - Q2 | 2013 - Q3 | 2013 - Q4 | |||||||
US Made & Sold | 724,483 | 679,914 | 710,501 | 664,109 | 750,491 | 716,337 | 765,636 | |||||||
US Made & ex-US Sold | 532,979 | 428,976 | 281,905 | 161,369 | 165,651 | 360,177 | 349,836 | |||||||
ex-US Made & Sold | 316,265 | 442,437 | 670,572 | 827,629 | 778,536 | 669,621 | 704,405 | |||||||
Total | 1,573,727 | 1,551,327 | 1,662,977 | 1,653,108 | 1,694,678 | 1,746,135 | 1,819,877 | |||||||
US Made & Sold | 46 | % | 44 | % | 43 | % | 40 | % | 44 | % | 41 | % | 42 | % |
US Made & ex-US Sold | 34 | % | 28 | % | 17 | % | 10 | % | 10 | % | 21 | % | 19 | % |
ex-US Made & Sold | 20 | % | 29 | % | 40 | % | 50 | % | 46 | % | 38 | % | 39 | % |
Herceptin Sales | 2012 - Q2 | 2012 - Q3 | 2012 - Q4 | 2013 - Q1 | 2013 - Q2 | 2013 - Q3 | 2013 - Q4 | |||||||
US Made & Sold | 497,109 | 503,612 | 515,790 | 514,113 | 583,677 | 518,790 | 561,990 | |||||||
US Made & ex-US Sold | 466,477 | 545,625 | 552,127 | 486,400 | 563,243 | 522,159 | 383,439 | |||||||
ex-US Made & Sold | 661,727 | 614,459 | 582,578 | 681,060 | 597,225 | 640,911 | 781,123 | |||||||
Total | 1,625,313 | 1,663,695 | 1,650,495 | 1,681,574 | 1,744,145 | 1,681,860 | 1,726,551 | |||||||
US Made & Sold | 31 | % | 30 | % | 31 | % | 31 | % | 33 | % | 31 | % | 33 | % |
US Made & ex-US Sold | 29 | % | 33 | % | 33 | % | 29 | % | 32 | % | 31 | % | 22 | % |
ex-US Made & Sold | 41 | % | 37 | % | 35 | % | 41 | % | 34 | % | 38 | % | 45 | % |
Lucentis Sales | 2012 - Q2 | 2012 - Q3 | 2012 - Q4 | 2013 - Q1 | 2013 - Q2 | 2013 - Q3 | 2013 - Q4 | |||||||
US Made & Sold | 412,131 | 385,746 | 381,592 | 392,207 | 419,030 | 449,834 | 461,380 | |||||||
US Made & ex-US Sold | 674,411 | 711,795 | 728,103 | 810,972 | 752,393 | 750,958 | 751,271 | |||||||
ex-US Made & Sold | — | — | — | — | — | — | — | |||||||
Total | 1,086,543 | 1,097,541 | 1,109,695 | 1,203,179 | 1,171,423 | 1,200,791 | 1,212,651 | |||||||
US Made & Sold | 38 | % | 35 | % | 34 | % | 33 | % | 36 | % | 37 | % | 38 | % |
US Made & ex-US Sold | 62 | % | 65 | % | 66 | % | 67 | % | 64 | % | 63 | % | 62 | % |
ex-US Made & Sold | — | % | — | % | — | % | — | % | — | % | — | % | — | % |
Xolair Sales | 2012 - Q2 | 2012 - Q3 | 2012 - Q4 | 2013 - Q1 | 2013 - Q2 | 2013 - Q3 | 2013 - Q4 | |||||||
US Made & Sold | 193,600 | 211,702 | 210,892 | 207,976 | 218,860 | 236,180 | 242,991 | |||||||
US Made & ex-US Sold | — | — | — | — | — | — | — | |||||||
ex-US Made & Sold | 121,039 | 136,094 | 129,540 | 133,333 | 146,918 | 155,720 | 158,342 | |||||||
Total | 314,638 | 347,796 | 340,431 | 341,309 | 365,778 | 391,900 | 401,333 | |||||||
US Made & Sold | 62 | % | 61 | % | 62 | % | 61 | % | 60 | % | 60 | % | 61 | % |
US Made & ex-US Sold | — | % | — | % | — | % | — | % | — | % | — | % | — | % |
ex-US Made & Sold | 38 | % | 39 | % | 38 | % | 39 | % | 40 | % | 40 | % | 39 | % |
Perjeta Sales | 2012 - Q2 | 2012 - Q3 | 2012 - Q4 | 2013 - Q1 | 2013 - Q2 | 2013 - Q3 | 2013 - Q4 | |||||||
US Made & Sold | — | 5,080 | 24,571 | 32,377 | 48,979 | 49,111 | 54,168 | |||||||
US Made & ex-US Sold | — | — | 428 | 1,632 | 6,096 | 17,242 | 33,781 | |||||||
ex-US Made & Sold | — | — | — | — | — | — | — | |||||||
Total | — | 5,080 | 25,000 | 34,008 | 55,076 | 66,353 | 87,949 | |||||||
US Made & Sold | — | % | 100 | % | 98 | % | 95 | % | 89 | % | 74 | % | 62 | % |
US Made & ex-US Sold | — | % | — | % | 2 | % | 5 | % | 11 | % | 26 | % | 38 | % |
ex-US Made & Sold | — | % | — | % | — | % | — | % | — | % | — | % | — | % |
Kadcyla Sales | 2012 - Q2 | 2012 - Q3 | 2012 - Q4 | 2013 - Q1 | 2013 - Q2 | 2013 - Q3 | 2013 - Q4 | |||||||
US Made & Sold | — | — | — | — | 21,459 | 72,887 | 82,395 | |||||||
US Made & ex-US Sold | — | — | — | — | — | 739 | 3,510 | |||||||
ex-US Made & Sold | — | — | — | — | — | — | — | |||||||
Total | — | — | — | — | 21,459 | 73,626 | 85,906 | |||||||
US Made & Sold | — | % | — | % | — | % | — | % | 100 | % | 99 | % | 96 | % |
US Made & ex-US Sold | — | % | — | % | — | % | — | % | — | % | 1 | % | 4 | % |
ex-US Made & Sold | — | % | — | % | — | % | — | % | — | % | — | % | — | % |
Total Sales | 2012 - Q2 | 2012 - Q3 | 2012 - Q4 | 2013 - Q1 | 2013 - Q2 | 2013 - Q3 | 2013 - Q4 | |||||||
US Made & Sold | 1,827,323 | 1,786,053 | 1,843,345 | 1,810,783 | 2,042,496 | 2,043,139 | 2,168,559 | |||||||
US Made & ex-US Sold | 1,673,867 | 1,686,395 | 1,562,564 | 1,460,373 | 1,487,383 | 1,651,276 | 1,521,837 | |||||||
ex-US Made & Sold | 1,099,031 | 1,192,990 | 1,382,690 | 1,642,023 | 1,522,679 | 1,466,252 | 1,643,870 | |||||||
Total | 4,600,221 | 4,665,438 | 4,788,598 | 4,913,178 | 5,052,559 | 5,160,667 | 5,334,267 | |||||||
US Made & Sold | 40 | % | 38 | % | 38 | % | 37 | % | 40 | % | 40 | % | 41 | % |
US Made & ex-US Sold | 36 | % | 36 | % | 33 | % | 30 | % | 29 | % | 32 | % | 29 | % |
ex-US Made & Sold | 24 | % | 26 | % | 29 | % | 33 | % | 30 | % | 28 | % | 31 | % |
* As reported to PDL by its licensee. Dates in above charts | ||||||||||||||
reflect when PDL receives royalties on sales. Sales occurred | ||||||||||||||
in the quarter prior to the dates in the above charts. | ||||||||||||||
Totals may not sum due to rounding | ||||||||||||||
Page 6