Businessweek

Warner Chilcott plc announced unaudited consolidated earnings results for the first quarter ended March 31, 2013. Total revenue in the quarter ended March 31, 2013 was $593 million, a decrease of $92 million, or 13%, compared to the quarter ended March 31, 2012 revenue of $685 million. For the quarter ended March 31, 2013, the decrease in revenues as compared to the prior year quarter was driven by a decrease in ASACOL net sales of $58 million, due primarily to the decision to cease trade shipments of ASACOL 400 mg in the United States as transitioned from ASACOL 400 mg to DELZICOL in March 2013, and a decrease in ACTONEL revenues of $35 million, due in large part to continuing declines in ACTONEL revenues in Western Europe and Canada following the 2010 loss of exclusivity in both regions. The company reported GAAP net income of $113 million, or $0.45 per diluted share, in each of the quarters ended March 31, 2013 and 2012. Cash net income for the quarter ended March 31, 2013 was $231 million, compared to $249 million in the prior year quarter. Adjusted CNI was $232 million in the quarter ended March 31, 2013, a decrease of $59 million, or 20%, compared to adjusted CNI of $291 million in the prior year quarter. Income before taxes was $145 million against $148 million a year ago. Net cash provided by operating activities was $114 million against $208 million a year ago. Capital expenditures were $7 million against $6 million a year ago. Adjusted EBITDA was $340 million against $405 million a year ago. Based on its first quarter results and current outlook for the remainder of 2013, the company is updating its guidance. The company currently expects total revenue in the range of $2,300 to $2,400 million, total SG&A expense in the range of $750 to $800 million, total R&D expense in the range of $115 to $135 million, GAAP net income in the range of $361 to $386 million, adjusted cash net income in the range of $805 to $830 million and adjusted cash net income per share in the range of $3.20 to $3.30 compared with previously expected total revenue in the range of $2,300 to $2,400 million, total SG&A expense in the range of $750 to $800 million, total R&D expense in the range of $115 to $135 million, GAAP net income in the range of $362 to $387 million, adjusted cash net income in the range of $805 to $830 million and adjusted cash net income per share in the range of $3.20 to $3.30.

Actavis, Inc. said that it is in early stage discussions to acquire Warner Chilcott plc which is valued at more than $4.5 billion. ''Actavis has entered into early stage discussions with Warner Chilcott Plc regarding a potential combination of the two companies,'' Actavis said in a statement, which was issued in response to a Bloomberg report on the potential merger talks. Warner Chilcott said that the talks with Actavis, were at an early stage and the deal could fall apart. Actavis has reportedly not yet lined up financing for any bid. The shares of Warner Chilcott shares shot up 20% by the news.

Warner Chilcott plc announced that the United States Food and Drug Administration has approved a new oral contraceptive, norethindrone acetate and ethinyl estradiol chewable tablets and ferrous fumarate tablets, for the prevention of pregnancy. This product does not currently have a brand name. The company anticipates that it will commercially launch the product in early August 2013.

Warner Chilcott plc announced that its Board of Directors declared a semi-annual cash dividend in the amount of $0.25 per share, payable June 14, 2013, to shareholders of record at the close of business on May 31, 2013. Under the dividend policy, the company expects to pay a total annual cash dividend to its ordinary shareholders of $0.50 per share in equal semi-annual installments of $0.25 per share. Any declaration by the Board of Directors to pay future cash dividends, however, will depend on the company's earnings and financial condition and other relevant factors at such time.

Warner Chilcott plc announced that its Board of Directors has voted unanimously to appoint Paul Herendeen, the Company's Executive Vice President and Chief Financial Officer, to the Company's Board effective as of May 2, 2013. Mr. Herendeen will continue to serve as Executive Vice President and Chief Financial Officer of the Company. Mr. Herendeen joined Warner Chilcott as Executive Vice President and Chief Financial Officer in April 2005 and is responsible for the Company's finance, accounting and treasury functions. From April 2001 until March of 2005, he was Executive Vice President and Chief Financial Officer of MedPointe Inc., now part of Meda AB. From 1996 through March of 2001, he served in various capacities with Warner Chilcott's predecessor companies including as a director and Executive Vice President from 1996 to 2001 and as Chief Financial Officer from 1997 to 2000. The Company also announced that, effective May 2, 2013, Liam M. Fitzgerald resigned from the Board. Mr. Fitzgerald's resignation was not the result of any disagreement between the Company and Mr. Fitzgerald on any matter relating to the Company's operations, policies or practices.