Elan Corporation PLC's Future Shaky as Alzheimer's Program Crashes
Published: Aug 08, 2012
Elan Corp. fell to the lowest price since December in Dublin trading after the company's partners ended most plans to develop an Alzheimer's drug following a second failure in a clinical trial. Elan will take a charge of $117.3 million this quarter, writing down to zero the value of its venture with Johnson & Johnson to develop the drug, bapineuzumab, the Irish company said Monday. Now that J&J and Pfizer Inc. are ending most work on the treatment, Elan will have "a significant reduction in spending" through the end of 2013, the company said.