Other Businesses
Astra Tech
Astra Tech AB (Astra Tech) is engaged in the research, development, manufacture and marketing of medical devices and implants for use in healthcare, primarily in urology, surgery and odontology. Astra Tech has two main business divisions: Astra Tech Dental, which is responsible for the odontology area of the business, and Astra Tech Healthcare, which is responsible for the surgery and urology areas of the business. Astra Tech has a leading position in several countries in Europe and is expanding its operations in key markets, particularly in the US, Japan and South East Asia.
All product lines showed continued good sales growth in 2009. The downturn in the world economy has had a dramatic impact on the dental implant market, which is estimated to have declined by 5% during 2009. However, Astra Tech Dental has performed well in this declining market, growing its implant sales and increasing its market share in several key markets. In pursuit of the growth strategy for Astra Tech Dental, the sales and marketing organisation for dental implants was further strengthened and adapted to the prevailing market conditions. The downturn in the world economy has had no significant impact on the market for Astra Tech Healthcare products.
Since Astra Tech's acquisition of Atlantis Components Inc. (Atlantis) in 2007, Astra Tech has introduced the Atlantis product range into most European markets and the market response has been very favourable. The European manufacturing facility for Atlantis products, which Astra Tech opened in late 2008, is now in full operation, meeting an increasing demand from the European market. The acquisition of Atlantis has given Astra Tech a strong platform for development within digital dentistry, offering an important opportunity for continued growth for the dental implants product line.
Major investments have been made in new production equipment for the manufacturing of new LoFric catheter products, which will be launched early in 2010.
The Astra Tech training and education programme has been further developed and, in combination with its state-of-the-art centre for training and education at its headquarters, advanced international education programmes and seminars are continuously being offered to existing and potential customers. Further investments have been made in R&D, clinical research and new production facilities to strengthen the product portfolio.
Aptium Oncology
For more than 25 years, Aptium Oncology, Inc. (Aptium Oncology) has been developing and managing hospital-based outpatient cancer centres in the US. Ownership of Aptium Oncology provides AstraZeneca with a unique window into the provider sector of the US oncology market and, through Aptium Oncology's network of over 175 physicians, access to many opinion leaders in the field of oncology who can help to shape early phase drug development decisions. It is also involved in clinical study delivery for a number of our pipeline products and provides scientific advice and staff training for oncology teams.
In 2009, Aptium Oncology continued to perform well in its cancer centre management business with positive profit and cash flow contributions. As anticipated, in the second half of the year, two of Aptium Oncology's long-term management contracts expired. In both cases, Aptium Oncology successfully established the infrastructure and services to allow the hospitals to manage independently their programmes after 15 and 25 years, respectively.
During 2009, Aptium Oncology continued to refine its business model to adapt to the ever-changing dynamics of the US healthcare industry. Aptium Oncology remains focused on growth and its consultancy business continues to lay the groundwork for new management relationships although, due to the loss of the long-term management contracts referred to above, Aptium Oncology's growth will be from a lower base.
Clinical research is an integral part of care delivery at Aptium Oncology's cancer centres and an area of strategic strength for the company. Aptium Oncology's Gastrointestinal Cancer Consortium, established in 2008, has been successful in bringing together eight leading US academic institutions to speed up the process of finding and testing active new compounds for patients with gastrointestinal cancers. In 2010, Aptium Oncology plans to create a similar consortium focused on multiple myeloma.
