Highlights in 2015
Within the context of the economic instability that Russia experienced in 2015, group sales in the country experienced a decrease of €27,677 thousand compared to 2014, of which €8,096 thousand was due to the impact of unfavorable currency exchange rates. That decrease mainly impacted the second half and was offset by an increase in sales of €18,597 thousand in Mainland France and €11,401 thousand in the United States (of which, €8,745 thousand was due to a favorable exchange rate impact).
The year 2015 was highlighted by the launch of the following products:
- Magnesium 300+® in several countries: In Italy and Belgium in 160 tablet format, in Spain and Hungary in 80 tablet format.
- In Italy, new formats for Arnigel® (120 grams) and Euphralia® eye drops (30 doses).
- In Brazil, Coryzalia®, Homéoptic® and eight tube references.
- In France, sugarless Stodaline® syrup used in the treatment of coughing.
A new syrup production line has been operating since September and has permitted us to double our production capacity.
During the first quarter, BOIRON proceeded with the repurchase of 222,958 shares for a total amount of €17,172 thousand, within the framework of the share repurchase program approved by the Shareholders’ meeting on May 22, 2014.
Within the framework of the gradual harmonization of IT systems at the subsidiaries, the Oracle JD Edwards ERP was implemented in the Caribbean in the first half.
BOIRON announced plans to relocate its future logistics center in the town of Les Olmes near Tarare, west of Lyon, France. Meanwhile, work on the Messimy site expansion project began.
On January 19, 2015, the Superior Court of Montreal rejected the request for a class action lawsuit initiated against our Canadian subsidiary on April 13, 2012. That verdict is subject to appeal at the Court of Appeals of Quebec which should render its decision during 2016.
On February 24, 2015, the Los Angeles, California (USA) Court of Appeals provided their final approval of a legal settlement signed on March 6, 2012 intended to put an end to the class action lawsuits in process against our US subsidiary. That subsidiary is facing a new class action suit in the state of California related to the medication Oscillococcinum® for which the sales are allegedly not covered by the settlement agreement.
The UNDA products distributor in Italy, Ce.M.O.N., took the initiative of prematurely terminating its distribution contracts and production license that tied it to our Belgian subsidiary UNDA. Faced with the impossibility of finding an amicable agreement, UNDA has initiated arbitration proceedings before the International Court of Arbitration of the International Chamber of Commerce in Paris, in accordance with the contractual terms.
A new BOIRON subsidiary was created on December 22, 2015 in India. The first step will be to obtain marketing authorizations for our medicines.
The Board of Directors of December 16th, 2015 named on January 1st, 2016 Jean-Christophe Bayssat at the position of Chief Pharmacist and Deputy General Manager, following the retirement of Philippe Gouret.