Chiron Corp. on Monday said it expects to take a write-offrelated to its acquisitions of the vaccine business of Sclavo SpAand IntraOptics Inc., an ophthalmics company, in the firstquarter of 1992.
The size of the charge was not disclosed, but relates to write-offs of in-process technology and other expenses associatedwith the deals.
Chiron (NASDAQ:CHIR) also said its initial investment in Sclavo,a 50-50 venture with Ciba-Geigy, would reduce its cash duringthe first quarter by some $63 million.
Chiron made the announcements in releasing its 1991 earnings,which included a $426 million write-off of in-processtechnology associated with its acquisition of Cetus Corp.
The fourth-quarter charge was expected. The Emeryville, Calif.,company reported a net loss of $425.1 million, or $22.11 ashare, on revenues of $118.5 million. In the prior year, netincome was $6.8 million, or 40 cents, on $78.5 million inrevenues.
Revenues from the company's joint blood screening anddiagnostics business with Ortho Diagnostic Systems jumped to$49.8 million from $26.1 million in 1990. Chiron Ophthalmicsrevenues climbed to $16.9 million from $6.6 million.
Research and development expenses increased to $79.4 millionfrom $50.2 million in the prior year.
Shares closed at $50.25 on Monday, down 25 cents.
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