The forecast looks sunny for the plasma-products industry, says Turner Investment Partners commentary

Business Wire, Feb 13, 2008

BERWYN, Pa. -- After a stretch of lean years due to excess blood-plasma supply and lack of pricing power, the plasma-products industry, which produces life-saving products for patients with maladies ranging from liver disease to hemophilia, appears poised to generate double-digit growth in earnings over the next two years. That's the conclusion of the latest Sector Focus commentary by four health-care sector analysts at Turner Investment Partners.

Turner, an investment firm based in Berwyn, Pennsylvania, publishes Sector Focus commentaries monthly as part of the continuing efforts of its five analyst teams to monitor the market sectors for its growth-stock portfolios.

The commentary, entitled Will plasma products' prospects remain sunny?, was written by Theresa Hoang, security analyst; Heather Flick McMeekin, security analyst/portfolio manager; Vijay Shankaran, security analyst/portfolio manager; and Frank Sustersic, senior portfolio manager/security analyst. In the piece they note, "The fundamentals of the industry currently are as strong as they have ever been."

The team explores the contributing factors to the $6.9-billion industry's sunny financial outlook, including a potential alternative use for the market's most profitable product, intravenous immunoglobulin (IVIG), in treating Alzheimer's disease; the steady demand created by patients' long cycles of treatment; and the fast-growing market for plasma products in emerging nations. The analysts identified industry leaders Baxter International, CSL Limited, and Grifols as having particularly good near-term prospects.

The analysts note that profit growth in the plasma-collection supply chain would be disrupted with the entrance of new competitors, which often happens in businesses with above-average profitability. "At least for the time being, though, the fundamentals of the industry should remain bright, in our judgment."

To read this February 2008 Sector Focus in its entirety, see the Turner Investment Partners Web site, www.turnerinvestments.com/sectorfocus. Or call 484-329-2439 for a free copy of the piece.

As of December 31, 2007, Turner held in client accounts 3.8 million shares of Baxter International. Turner held no shares of CSL Limited and Grifols.

The views expressed represent the opinions of Turner Investment Partners and are not intended as a forecast, a guarantee of future results, or investment recommendations. Past performance is no guarantee of future results. A company's fundamentals or earnings growth is no guarantee that its share price will increase.