S&P: Wyeth unaffected by subpoena

Standard & Poor's said Monday that the ratings and outlook on drug maker Wyeth (A/negative/A-1) would not be affected after the company said it received a subpoena from the U.S. Office of Personnel Management Office of the Inspector General for documents pertaining to the marketing of the company's antidepressant Effexor.

Other drug makers, such as Johnson & Johnson (AAA/stable/A-1+), have also recently received subpoenas for information regarding the marketing of central nervous system drugs. S&P said it believes that it is too early to determine what effect, if any, the investigation will have on the marketing of Effexor or whether there will be a monetary fine for marketing improprieties.

However, the development creates an uncertainty regarding Wyeth's top product. Effexor generated $2.7 billion in sales in 2003, and has annual sales growth of 29%. Wyeth is already suffering from lost sales of its hormone replacement therapy Premarin, another major franchise, in the wake of unfavorable findings on HRTs in a study sponsored by the National Institute of Health.

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