Alcon Shares Surge On Settlement Over Glaucoma Drug

Alcon Inc., a Swiss eye-care products company, said Thursday it won the right to continue selling its Travatan anti-glaucoma medication throughout the world, after settling a patent dispute with Pharmacia Corp. News of the settlement sent Alcon's shares surging 12 percent, or $4.19, to close at $39.85 on the New York Stock Exchange.

Alcon's Travatan competes with Pharmacia's glaucoma medication, Xalatan. As a part of the settlement, Alcon will pay Pharmacia royalties for a specified time based on Alcon's past and future sales of Travatan. Alcon, with annual revenue of $2.75 billion last year, added that since it had anticipated continuing litigation expenses or settlement costs, the deal won't materially affect the company's financial results.

Pharmacia is a New Jersey-based pharmaceutical concern with 2001 revenue of $14 billion. Its proposed merger with New York-based Pfizer Inc. is slated to close by the end of this year.

(Source: APBiscom)