Pfizer turns attention to emerging markets

TRENTON, N.J. - Pfizer Inc. is dramatically stepping up sales efforts in emerging markets, overhauling US business operations, and slashing more costs ahead of the 2011 patent loss for cholesterol blockbuster Lipitor, its head of pharmaceutical operations said yesterday.

Ian Read, speaking at the 2008 UBS Global Life Sciences conference in New York, told analysts and investors the company has reduced annual costs by $1.2 billion from 2006 levels and expects to meet its goal of cutting a total of $2 billion by year-end.

Most of the remaining reductions will come in the fourth quarter, he said, possibly signaling more job cuts.

New York-based Pfizer faces a big hurdle in replacing its nearly $13 billion in annual revenue from Lipitor, the world's top-selling drug, which loses patent protection and will face generic competition in the United States starting in late 2011.

The world's biggest drug maker already is battling a loss of sales to a generic version of another cholesterol drug in the same class, Zocor, with a new consumer TV ad campaign and is pushing Lipitor sales in parts of Europe, Canada, and Latin America.

"We believe Lipitor still has a lot of life left," Read said.