todays meeting , page-38

Re Vap and viral meningitis

It was argued that Biota could sell direct to hospitals with a small sales force and this would make it economic. Development of the drug would be done without support from a third party.

Given that retail sales/marketing costs may vastly exceed manufacturing costs, a drug sold through the cost sensitive retail market could well struggle. A direct to customer channel using a small sales force could well be very profitable. RP ran a strong line that if the target market would not easily support a product it would not be developed.

I think the chances are we already know whether vap is coming or going. Biota has had a long time to get a third party interest in the asthma treatment without any success. So it is definitely going unless another market can be found.