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Healthcare

Genzyme restates results, discards more drugs

NEW YORK, Aug 9 (Reuters) - Genzyme Corp GENZ.O on Monday said it was restating quarterly results to account for additional inventories of drugs it has had to discard for failure to meet the company's quality standards.

The maker of drugs for rare genetic disorders, which is the target of an acquisition attempt by French drugmaker Sanofi-Aventis SASY.PA, said it would take an additional writeoff of $6.5 million for the latest batch of discarded products.

The special charges are in addition to the $21.9 million in writeoffs the company took when it reported second-quarter earnings on July 21.

The company, had reported a second-quarter net profit of $23,000, or nil per share. With the new writeoff, the company restated the quarterly results to reflect a net loss of $3.8 million, or 1 cent per share.

Genzyme said it will continue to work with minimal levels of inventories of its Cerezyme treatment for Gaucher disease and Fabrazyme for Fabry disease until its new plant in Framingham, Massachusetts, is approved.

Genzyme has been recovering from a manufacturing crisis after finding a viral contamination that forced the shutdown of its main manufacturing facility in Boston. (Reporting by Ransdell Pierson and Bill Berkrot; editing by Gunna Dickson)

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