Moody's may upgrade Wyeth

Moody's Investors Service said it placed Wyeth's Baa1 senior unsecured debt rating under review for possible upgrade and affirmed the company's Prime-2 short-term debt rating for commercial paper with a positive outlook.

The agency said the review is prompted by Wyeth's continuing progress at resolving diet drug legal liabilities and strong operating results through the first nine months of 2006 driven by good growth in core products.

The review will primarily consider Wyeth's ability to continue generating strong operating results organically, the likelihood that future diet drug costs can be paid within the amount of the current litigation accrual and other legal developments including patent challenges on Effexor XR and Protonix and product safety litigation involving hormone therapy products, and the potential that manufacturing deficiencies at Wyeth's plant in Guayama, Puerto Rico could delay new FDA approvals or disrupt the manufacturing of currently marketed products, the agency said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.