Based on the call yesterday and RZ's response to some of the challenging questions, I am convinced more than ever that RZ does not have a clue on how to turn this ship around. Anytime you get more than 10 "um-ums" in a sentence, you know he is struggling. Based on the declining value, lack of true product innovation, and the unavoidable losses coming with the expiring patents, major changes need to happen from the BOD down if they are going to survive. Their last attempt to sell off one of their books of business failed horribly because they wanted too much money for it, and nobody wanted to buy it.

Jerome Lande, Managing Partner of Coppersmith Capital, said: “Over the last ten years Alere’s management and Board have spent nearly $8 billion on acquisitions. The result is a company with a $2.2 billion market capitalization with declining margins, a convoluted business portfolio and a staggering debt load. Stockholders deserve better than Alere’s commitment to the status quo. Stockholders deserve directors that will proactively address the significant issues facing Alere and work with a reconfigured Board that is committed to maximizing stockholder value.”

Coppersmith Capital also delivered a letter to Alere:

http://www.fortmilltimes.com/2013/05/08/2677272
/coppersmith-capital-announces.html

Old news. Read below.

Alere, Zeus, and Dynex to form a new company? Rumor has it RZ is looking to spin off ELISA, Magellan is placing Dynex on the blocks, and Zeus is looking to sell. Molecular or novel multiplexing to follow? Anyone else heard this?

MK is at the helm now. God help us. And I thought he was horrible as an RD. Guess it pays to be a friend of Jim. Watch out KS and JE. Looks like you boys are on the way out. Maybe the Zeus conspiracy holds some truth.

The blood-letting started this morning. Looks like most of the "new" reps are the same old Biosite reps. Let the downward spiral continue. Way to go RZ. Run our company into the ground.

Notice date now postponed one more week. I feel a repeat of last year coming and this thing dragging out two months.

January 4th is the scheduled notice date for the employees.

Alere has a habit of getting "notice of concern" letters. It does not surprise me. In the states they have gotten their hand slapped by the FDA many times. Have we all forgotten the problems with ABI and the Wampole line a few years ago? Or the issues of Acceava when they moved it from Genzyme over to China? Or with FOBT when they moved it from Polymedco to some mom and pop shop operating out of the garage? RZ is in this to make his millions and retire. Along the way the patients and the labs get screwed.

Speaking of Standard Diagnostics, I see they have a current NoC with the WHO related to their Bioline HIV products following an poor result during an on-site audit and a follow up that didn't go better.

The most interesting bit from the NoC is that after completing the audit and producing there report they found a corporate hierarchy document, and get this the person presenting themselves as the head of quality was actually responsible for marketing.

The WHO were so stunned they updated the NOC. Smashing job there.

http://www.who.int/entity/diagnostics_laboratory/procurement/ 120711_sd_bioline_revised_notice_of_concern.pdf

I don't care what Alere does. I would like to see them disappear. They burned us on the pregnancy tests a few years back and now Traige has been a nightmare for the past year. We have stopped using everything except flu and RSV and we are thinking about moving to BD on those. Ever since Alere took over, the quality has gone down hill.

If by SD you mean Standard Diagnostics, I only see RZ selling off their ELISA and keeping the lateral flow. If by SD you mean San Diego, I think he is moving everything out there to sell off the book of business that he has with Zeus. ELISA does not fit into the current business model of near patient testing.

My two cents...Zeus and Dynex have been working together behind the scenes. Zeus will buy back their contract from Alere (who is needing some cash due to the Triage situation), acquire the Alere ELISA sales force as part of the deal, then partner with Dynex. Dynex will allow their current distribution agreements to expire, then sign an exclusive with the "new" Zeus.

Alere is getting ready to unload ELISA for sure (at least here in the states). The whole lateral flow product management team has been moved out to the Biosite facility and the ELISA and instrument management and field technical team are going to report into the VP of marketing for those products. It wouldn't surprise me if Zeus is trying to buy back their contract and everyone on the ELISA side is part of the package.

Read the transcript of the 3Q conference call. He speaks generally about off loading the in-lab tests - finding buyers. RZ mentions that some purchases came with products that dont fit the vision. He doesn't specify ELISA specifically but ELISA would be one device type to fit the description.

If Alere is looking to spin off ELISA why are they still partnering with Dynex on Agility? That does not make sense to me. Looks like they are in it for the long haul.

I know Alere has had quality issues with its Strep A tests and hCG that come out of its China facility. Zeus has had numerous quality problems with their IgM ELISA and their Athena assays. Now the Biosite issues. Sounds like there is a systemic quality issue.

SD makes mostly near-patient tests. Some small-scale ELISA, but the big money is in the lateral flow tech. The Indian affiliate is a former subsidiary from when SD was independent.

I'd think all in-lab diagnostics are on the way to market, or the trash.

I figure SD will be spun off soon enough. I would also bet money RZ is trying to find a buyer for Osteomark and the book of business at Zeus.

SD is offloading some of their ELISA products also - to an Indian affiliate. I'd imagine there would be plans separate from it in the future. This would be in-line with what RZ said in the investor conference call.

I just got a new rep at the beginning of this year after the last reorganization. Haven't hardly seen them all year. Why doesn't Alere focus on their products first instead of trying to save money on reps?

I heard they were laying off all the sales reps who weren't from Biosite.