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Savient Pharmaceuticals Announces U.S. Launch of KRYSTEXXA™; Reports Fourth Quarter and Year-End 2010 Financial Results
Date:2/25/2011

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Research and development expenses increased $0.1 million, or 2%, to $9.8 million for the three months ended December 31, 2010, as compared to the three months ended December 31, 2009.  The increase in expenses related primarily to current year costs associated with a validation manufacturing campaign at a potential secondary source supplier of pegloticase drug substance.  The increase in costs year over year was offset by higher expenses in the prior year relating to the production of the first commercial batches of KRYSTEXXA.

Selling, general and administrative expenses increased $2.8 million, or 53%, to $8.2 million for the three months ended December 31, 2010, from $5.4 million for the three months ended December 31, 2009.  The higher expenses were primarily due to an increase in pre-launch selling and marketing expenses associated with preparation for the commercial launch of KRYSTEXXA on February 28, 2011.

Other income, net increased $6.0 million, or 49%, to $18.3 million for the three months ended December 31, 2010, from $12.3 million for the three months ended December 31, 2009, primarily as a result of the non-cash mark-to-market valuation adjustment to the Company's warrant liability.  

Financial Results of Operations for the Year Ended December 31, 2010 Total revenues increased $1.0 million, or 36%, to $4.0 million for the year ended December 31, 2010, as compared to $3.0 million for the year ended December 31, 2009.  The increase in revenues was primarily due to higher product sales of Oxandrin, partially offset by a decrease in sales for our authorized generic oxandrolone product.

Research and development expenses decreased by $19.3 million, or 37%, to $32.4 million for the year ended December 31, 2010, from $51.7 million for the year ended December 31, 2009.  The lower expenses partially resulted from a $7.0 million decrease in manufacturing development and technology transfer rel
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SOURCE Savient Pharmaceuticals, Inc.
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